Revenue fell 20.01% to RM327.01 million compared to RM408.84 million a year earlier, mainly attributed to a lower average tin price of RM116,500 per metric tonne (mt) in Q2 FY2023, from RM158,900 per mt in the same period last year despite higher sales of refined tin, the group said in a filing with Bursa Malaysia today.

Its quarterly earnings per share stood at 6.8 sen, reflecting a decline from the 9.4 sen per share reported in the same period last year.

No dividend was declared for the quarter under review.

Meanwhile, on a quarter-on-quarter (q-o-q) basis, net profit fell 19.66% from RM35.41 million in the preceding quarter due to reduced earnings in both its tin mining and tin smelting divisions. This decline occurred as revenue dropped 3.84% q-o-q from RM340.06 million, stemming from lower sales of refined tin.

Notably, even though the average tin price rose from RM116,100 per mt in Q1 FY2023 to RM116,500 per mt in Q2 FY2023, it couldn’t compensate for the decrease in profit.

Moving forward, the group remains cautious and continues to prioritise operational effectiveness and advancements across its smelting and mining divisions.

“At the Pulau Indah (Selangor) smelter, we look forward to higher yields with lower carbon footprint, as well as lower manpower and energy costs, using the more efficient top submerged lance furnace,” said group CEO Patrick Yong in a statement.

“With the planned decommission of the Butterworth plant in 2024, we expect to achieve cost savings of up to 30%,” he added.

At the close of trade, MSC’s share price was down 6 sen or 2.59% to RM2.26, valuing the group at RM949.20 million. Over the past year, the counter has risen 47.7%.