Dufu Technology Corp Bhd, a component and machine parts manufacturing firm faces a major challenge in the third quarter of 2024, due to foreign exchange (forex) losses.
This loss of RM16.4 million is big enough to prompt the company to experience a net loss of RM3.2 million, compared to a profit of RM3.38 million in the same period last year.
Interestingly, Dufu's revenue actually increased by 19.3%, reaching RM65.89 million due to strong sales in hard disk drive components.
However, this positive performance was not enough to cover the forex losses.
During the first nine months of 2024, the company's net profit fell by more than 45%, ending at RM9.65 million, despite a modest 6.6% increase in revenue to RM188.74 million.
Dufu managed to earn more money from selling their products, but they lost a large amount due to foreign currency exchange.
