NutryFarm reaps fruits of labour in Q2 from durian sale

NUTRYFARM International slid back into the black for the second quarter ended March 31, helped by a boost in revenue after shipping 35 containers of fresh durians to a customer.

The group, whose core business is in producing nutrition and health food products, posted a net profit of HK$457,000 (S$78,363) compared with a net loss of HK$5 million the year before.

Revenue came in at HK$41 million, about seven times its HK$5.7 million topline the previous year.

Subsidiary Global Agricapital Holdings (GAH) contributed HK$27.9 million in revenue from the fruits trading business. As at April 30, GAH has fulfilled its import purchase agreement with Beijing-based fruits business Moonda to ship 200 containers of fresh durians for 130 million yuan (S$26.9 million). NutryFarm expects Q3 revenue to also increase.

The group's nutrition business under Nutryfarm (Chengdu) Biomedicine posted a 130 per cent rise in revenue to HK$13.1 million.

Earnings per share was 0.41 HK cents, compared with a loss per share of 5.15 cents the year before.

NutryFarm said its health supplements business continues to face challenging conditions, with marketing activities seriously impacted by the virus outbreak.

It believes that its new fruits business offers reasonable prospects for profit contribution and positive cash flow. It intends to seek shareholders' approval to diversify into the fruits business as a new core business.

The counter closed at 36.5 Singapore cents on Friday, down two cents or 5.2 per cent.