KUALA LUMPUR: Dutch Lady Milk Industries Bhd said its net profit for the fourth quarter ended Dec 31, 2016 (4QFY16) rose 49.9% to RM37.8 million, from RM25.2 million a year ago, mainly due to a favourable impact of a revaluation of derivatives.

Revenue edged higher by 0.28% to RM271.7 million from RM270.9 million in 4QFY15.

The group  declared an interim dividend of 50 sen per share and a special interim dividend of 60 sen per share,  payable on April 21.

For the full FY16, net profit grew 5.74% to RM149.1 million from RM141 million in FY15.

The group attributed this to improved margins amid continuous investment behind Dutch Lady’s brand and investments made for a system upgrade.

Revenue in FY16 rose 4.6% to RM1.05 billion from RM1 billion in FY15.

The group’s gross profit margin improved to 42.4% from 42% in FY15, while net profit margin also showed improvement to 14.2% from 14.1%.

Gross profit margin in 4QFY16, however, deteriorated to 40.4% from 42.1% in 4QFY15.

Moving forward in FY17, the group said the domestic market is expected to remain weak with poor consumer confidence.