SHAH ALAM, Aug 25 (Bernama) -- An egg producer, LTKM Bhd, diversifying into
processed glass manufacturing, expects the new business to start contributing to
its earnings in the next financial year ending March 31, 2012.
Managing Director Tan Kok (rpt Tan Kok) said the company has allocated RM35
million to build the new plant at Jalan Kapar in Klang.
The plant is to commence operations by early next year.
It will have a production capacity close to 200,000 square metres of glass
annually, he told BERNAMA after the company's annual general meeting here
Wednesday.
The new business will be managed by the company's subsidiary, Lumiglass Sdn
Bhd.
Tan said though the diversification provides a good prospect for the company
to re-invest and diversify its sources of income, poultry business would remain
its core activity and key financial contributor.
"However, we expect the poultry business to be more challenging due to
stringent operating requirements, higher price of raw materials and keen
competition from other egg producers," he said.
The 160-hectare LTKM's poultry farm in Melaka produces over a million eggs in
a day. Almost 60 per cent of its eggs are for the domestic market while the
balance 40 per cent are exported to Singapore.
Its main brand is "LTK Omega Plus".
For the financial year ended March 31, 2010, the company s pre-tax profit
jumped 74 per cent to RM21.069 million from RM12.132 million in the same period
last year.
Revenue however eased by two per cent to RM131.429 million from RM133.537
million.
-- BERNAMA |