NutryFarm quashes rumour that packaging on durians imported from Thailand to China carry coronavirus

Just out this evening: https://links.sgx.com/1.0.0/corporate-announcements/BSD9CIZ8F9ZYA8A0/ea7d22734430ce6500b47623e3e203f69f27349fab9a392438e96066f37d882d

Turnaround in 3Q2021 with Strong Growth from NutryFarm&rsquo s Durian Business Revenue Surged 42-Fold to HK$516.77 Million with Net Profit of HK$19.24 Million 

 

Singapore, 15 August 2021 &ndash NutryFarm International Limited (&ldquo NutryFarm&rdquo or the &ldquo Company&rdquo , and together with its subsidiaries, the &ldquo Group&rdquo ), is pleased to announce that it has recorded a strong set of third quarter results for the financial period ended 30 June 2021 (&ldquo 3Q2021&rdquo ). 

 

Significant growth and contribution from the Group&rsquo s durian trading business: Majority of the revenue was generated by the Group&rsquo s subsidiary, Global Agricapital Holdings Pte Ltd. (&ldquo GAH&rdquo ), which is involved in the fruit business. GAH contributed revenue of HK$494.9 million in 3Q2021 through the fulfilment of durian shipments to its customers in the period. Separately, the Group&rsquo s nutrition business reported sales of HK$21.9 million in 3Q2021, representing an increase of 79.5% over the previous corresponding period.

 

The Group&rsquo s revenue growth in 3Q2021 was mainly driven by its durian trading business, which has been on a growth trajectory since 2Q2021.

 

Strong turnaround in 3Q2021 with net profit of HK$19.24 million:  With the strong revenue contribution of the durian trading business and improved performance of the nutrition business, the Group marked a strong turnaround with a net profit of HK$19.24 million in 3Q2021 as compared to a loss in the previous corresponding period. 

 

As a result, the Group&rsquo s revenue for the nine months ended 30 June 2021 (&ldquo 9M2021&rdquo ) increased substantially to HK$572.4 million with net profit of HK$18.7 million. 

 

 

Since December 2020, the Group has announced various agreements to sell fresh durians from Thailand to major Chinese fruit importers and the total contract value of these agreements has exceeded RMB 1.15 billion as at 30 June 2021.

 

Demonstrating its growing capabilities in the durian industry, the Group has been undertaking the   fulfilment of the current order book on hand. At the same time, the Group is proactively looking to secure new orders from existing and new customers in Asia.

 

To accelerate its growth plans in Asia&rsquo s durian industry, the Group has expanded its business presence in Singapore over the past few months. Starting with a memorandum of understanding with established e-commerce company, EBUY, in May 2021, the Group has separately incorporated another new subsidiary, Kong Jun Global Pte Ltd (&ldquo KJG&rdquo ), which is a joint venture between the Group 

and Kong Jun Durian Pte Ltd. (&ldquo Kong Jun&rdquo ) with a focus on the sales and distribution of pre-packed durians. Kong Jun is a company set-up by Mr Ang Seck Puan, the founder of Singapore&rsquo s well-known durian retailer, Combat Durian, and certain members of the Ang family.

 

On 4 June 2021, the Group announced a share placement exercise to raise S$6.38 million via the issuance of   22 million new ordinary shares which will be used for business expansion and working capital purposes in relation to the Group&rsquo s growth plans in Asia&rsquo s durian industry.

 

In June 2021, the Group appointed as the sole distributor of Malaysia&rsquo s leading durian brand, DKING&rsquo s (帝 一 榴 ) Musang King (猫 山 王 ) frozen durian pulp in Singapore for a period of two years. The Group will be tapping on its existing partner channels, Ebuy Pte Ltd and its own subsidiary, KJG, to market and sell the products.

 

In August 2021, the Group obtained approval from shareholders via an Extraordinary General Meeting to diversify its business and expand its core business to include fruit trading, including the principal activities of GAH.