Jardine Matheson Holdings achieves ‘strong overall performance’ in 1QFY2023 although challenges remain

During the quarter, most of the group’s businesses performed strongly y-o-y.

For the 1QFY2023 ended March 31, Jardine Matheson Holdings J36 achieved a “strong overall performance” although it noted that there are still challenges arising from the global economic environment and softening commodity prices.

“The group, however, remains confident in the economic resilience of its markets and is well-positioned to benefit from their recovery,” reads the statement put out by the group on May 18.

During the quarter, most of the group’s businesses performed strongly y-o-y. Astra, DFI Retail Group D01, Mandarin Oriental M04 and Jardine Pacific saw increases in underlying net profit.

DFI reported a significantly improved y-o-y performance in the first quarter while Mandarin Oriental reversed into profitability in the 1QFY2023. At the same time, Hongkong Land’s H78 underlying profit in the first quarter was lower than the same period in 2022

Jardine Cycle & Carriage saw growth in the 1QFY2023 mainly due to higher contribution from Astra.

Astra reported a 25% y-o-y increase in its underlying earnings excluding fair value gains from its equity investments, with improvements across most divisions. The company’s automotive division saw improvements with higher car and motorcycle sales which led to higher lending volumes in its financial services division. Meanwhile, the heavy equipment and mining division continued to benefit from high coal prices, resulting in higher volumes in its mining contracting and mining businesses and an increase in heavy equipment sales. The agribusiness division, however, was adversely impacted by lower crude palm oil prices and sales volumes.

Jardine Pacific saw an improved performance in the 1QFY2023 although Jardine Restaurants were impacted by the softer sales in Hong Kong and the absence of government support received last year.

Beyond Astra, JC&C’s Direct Motor Interests also delivered improved performance, but THACO and Siam City Cement saw lower profits primarily as a result of challenging market conditions in Vietnam.

Shares in Jardine Matheson closed 23 US cents lower or 0.46% down at US$49.60 on May 18.

See Also:

• Click here to stay updated with the Latest Business & Investment News in Singapore

• Hongkong Land says underlying profit for 1QFY2023 lower y-o-y

• DFI Retail Group saw 'significant' y-o-y improvement in 1QFY2023 business update

• Mandarin Oriental reports underlying profit of US$3 mil for 1QFY2023, reversing from its loss the year before

• Read more stories about where the money flows, and analysis of the biggest market stories from Singapore and around the World

• Get in-depth insights from our expert contributors, and dive into financial and economic trends

• Follow the market issue situation with our daily updates

• Or want more Lifestyle and Passion stories? Click here