Listed firms report sharp rise in profits

25 Jun 2019 2049 | Business & Trade Fairs

The CSX reported yesterday that the higher profits brought the Net Profit Margin (NPM) to 20.89 percent, a rise from previous years.

Leading the pack was state-owned Phnom Penh Autonomous Port (PPAP) which reported a high increase of 39.09 percent followed by Phnom Penh Water Supply Authority (PWSA), Preah Sihanoukville Deep Sea Port (PPSP) and Phnom Penh Special Economic Zone (PAS) which registered 27.77 percent, 19.86 percent and 16.54 in profits respectively.

Taiwan-owned garment manufacturing factory Grand Twins International (GTI), on the other hand, registered the lowest net profit margin of 1.2 percent. Compared to 2017, the average net profit margin of all listed stocks increased by more than 40 percent.

“During the last 3 years, all stocks showed a positive performance, in terms of both revenue and net income, except for GTI where the net income dropped in 2017 and slightly recovered in 2018,” the report said.

“Last year was a remarkable year. CSX index closed at 480.98 point, an increase of more than 40 percent compared to 2017. Out of the 5 listed stocks, PAS and PPAP showed a dramatic increase in their stock price with the figure of 98 percent and 49.4 percent respectively. PWSA, GTI and PPSP, on the other hand, remained quite stable during the year,” it added.

Kim Sophanita, director of CSX’s market operations department, said based on their 2018 annual reports, each listed company, increased their overall operating profits in 2018 due to a rise in sales and other revenues, and a drop in prices of raw materials.

“This data shows clearly the potential of investing in listed companies since they could generate relatively high net profit margin compared to other investments,” she said. “Moreover they are more transparent and reliable due to a strong regulation compliance compared to unlisted companies. I think it will attract more public investors to eye stock investment.”