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Qian Hu's Q2 profit jumps 66.7%
ORNAMENTAL fish service provider Qian Hu Corporation's net profit for the second quarter jumped 66.7 per cent to S$25,000 compared to S$15,000 in the same period last year.
Revenue for the three months ended June 30, 2107, went up 13.7 per cent to S$21.7 million as all business segments - ornamental fish, accessories and plastics - registered improvements.
The group's earnings per share increased to 0.02 Singapore cent while net asset value per share rose marginally to 44.52 Singapore cents as at June 30.
Revenue from its ornamental fish segment went up by about S$0.6 million or 7.4 per cent year on year, due to the continued growth in dragon fish sales, as the group added more customers and export markets.
Coupled with the sales generated from its newly acquired subsidiary in Guangzhou, the company saw a leap in revenue contribution from its accessories segment, which was about S$1.8 million or 20.8 per cent higher than its corresponding period in 2016.
Kenny Yap, Qian Hu's executive chairman and managing director, said: "Our ornamental fish segment would have yielded higher levels of profitability if not for the initial start-up expenses for our new aquaculture business in Hainan.
"Off to a good start in the last few months, this new business segment hopes to gain excellence in the sustainable farming of edible fish for the massive China consumer market, which has the potential of being many times bigger than our existing ornamental fish business, if executed correctly. We are expecting positive contributions from this new business in 2018."