CTOS Digital Bhd posted a net profit of RM16.58 for the first three months till March, up 32.9% from the same period last year, on strong performance from the operations but offset by higher finance costs.
The credit reporting provider posted a revenue of RM59.59 million for the first quarter ended March 31, 2023 (1Q23), up 39.6% for the same period the year before.
In an exchange filing yesterday (17/4/2023), the company said it expects continued growth momentum into 2023 on the back of the continued recovery of the Malaysian and regional economies.
It said growth in its key accounts segment is expected to be driven by continued adoption of its digital solutions and analytical insights, and organic growth in the BAU business.
The commercial segment should see growth through new account activations as well as increasing consumption of products and solutions as SMEs look to onboard and assess creditworthiness of customers more seamlessly, it said.
“We expect to expand our Direct-to-Consumer business through financial literacy programmes and partnerships targeting the circa 15 million credit active consumers in Malaysia. The Group will continue developing synergistic opportunities in its strategic investments in Malaysia and Thailand,” it said.
CTOS Digital said the Malaysia operations recorded a 41.3% growth in segment profit to RM21.6 million driven by the strong growth in revenue.
It said revenue grew by 39.5% in the current quarter to RM56.1 million, with higher revenue from all the three types of customers: Key accounts, commercial – Malaysia and direct-to-consumer.
Its international operations recorded a 41.8% higher revenue to RM3.5 million and 51.1% higher segment profit to RM2.4 million in the current quarter contributed by the higher bulk data sales.
CTOS Digital’s share price closed unchanged at RM1.31 on Monday (17/4/2023), valuing the group at RM3.03 billion. – TMR
Source: TheMalaysianReserve
