On Wednesday, Malaysia’s Thong Guan Industries Bhd. said that it has proposed a one-for-one bonus issue of up to 191.41 million new shares towards its shareholders following it soaring profit in the second quarter of the year.
Thong Guan said that the proposed bonus issue follows the surge in net profit by almost 50% in the April-June period to MYR20.46 million (USD4.9 million). Revenue in the period was MYR228.03 million (USD54.7 million) compared to the second quarter of 2019’s of MYRR229.7 million (USD55 million).
The company attributed the robust net profit to the increased premium product mix, the beneficial exchange rate for its exports, and lower material prices compared to the same period a year ago.
The real number of bonus shares would rely on the total issued shares on the entitlement date. As of August 14, the company’s issued share capital was at MYR225.89 million (USD54.2 million), comprised of 186.69 million shares.
