International Palm Oil Congress and Exhibition (PIPOC 2023)
26/10/2023
Agritech Group IRGA Appoints Country Head for Indonesian Operations
27/10/2023
Agritech Solutions Provider IRGA and Subsidiaries Register Strong Financial Growth for 2022
IRGA Group of Companies achieves 78% y-o-y revenue growth for 2022
KUALA LUMPUR, 17th October 2023 - IRGA Sdn Bhd reported robust audited financial performance for 12 months ending 31st January 2023 amid continued global economic uncertainty associated with supply chain disruptions and slower than expected recovery in China. The Group’s strong performance was mainly attributed to favourable performance within the company’s agritool products and consultancy segments.
Audited Financial Results of IRGA Consolidated for the Year Ending 31st January 2023
The Group recorded a Gross Revenue of RM 30.01 million for the financial year ending 31st January 2023, as compared to RM 16.32 million in the corresponding financial year ending 31st January 2022, achieving an annual revenue growth of 84%. This was mainly due to sales from the Group’s agritools segment as well as increased engagements with clients in the plantation sector and the rendering of consultancy services.
Earnings Before Interest, Tax, Depreciation and Amortisation, Research and Development (EBITA RDCI) improved to RM 1.61 million from the previous year in which the group recorded a loss of RM 2.26 million. The improvement was largely due to higher product and services profit margins derived from operational adjustments made to production process flows as well as organisational restructuring exercises.
Unaudited Financial Results for IRGA Consolidated for H1 2023
The Group registered strong momentum for the first half of the 2023/2024 financial year. For the first 6 months from the 1st February to the 31st July 2023, the Group recorded a Gross Revenue of RM 17.39 million, as compared to RM 11.81 million during the same period in 2022, achieving a 47% growth increase. This was mainly due to increasing demand from the oil palm sector for technology driven products and digital solutions, and advisory services from the built environment sector.
Earnings Before Interest, Tax, Depreciation and Amortisation, Research and Development (EBITA RDCI) for the same period of 6 months from the 1st of February to the 31st of July 2023 increased to RM 3.59 million from the previous year’s loss of RM 0.53 million during the same period, largely due to FOREX gains from the agritools segment, streamlining of operational processes, increased orderbooks from the Software Platforms Solutions (SPS) division and higher margins from the consultancy segment.
Harish Subramaniam, Chief Digital Officer (CDO) of IRGA
“IRGA's strong financial performance in 2023 reflects the growing awareness in the Malaysian agricultural sector of the importance of digital technologies and 4IR solutions for enhancing process efficiency and productivity. Specifically, the oil palm sector is increasingly embracing technological innovation to meet the rising demand for palm oil while aligning with goals related to food security and environmental, social, and governance (ESG) principles.”
“IRGA's iPLANT Digital Plantation Management System is gaining traction among plantation clients, reinforcing their commitment to capturing the agribusiness market by offering comprehensive digital solutions that support clients in achieving both financial and non-financial objectives.”
“IRGA continues to focus on addressing on-the-ground challenges within the plantation sector through targeted product innovations and sustainable technological enhancements that improve operational efficiency and overall productivity.”
Francis Lau, Chief Operating Officer (COO) and Group Accountant of IRGA
“In 2023, the group experienced significant high-level growth, attributed to post-acquisition operational adjustments, full integration of various entities, and organisational restructuring exercises.”
“Despite global economic challenges like the long-standing supply chain disruptions and the slow reopening of China’s markets, the group was able to remain resilient through favourable foreign exchange conditions and its strong position in the food production industry, aligning with global food security objectives.”
“The group plans to sustain its growth by focusing on product innovation, optimising R&D processes and operational workflows, with expectations of continued growth in the second half of 2023 and promising financial returns in 2024 through the launching of new agritech products leveraging 4IR, digital and automation technologies for the region."
About IRGA
IRGA is an Agriculture Technology enabler that provides estate owners, farmers and landowners with integrated digital software, innovative hardware, data analytics and consultancy for better decision-making and enhanced business efficiencies. With an ambition to be a disruptor in the space of plantation crops and farms, the company aims to improve food security, sustainability and ESG by enabling the agrifood industry with solutions-driven technologies leveraged on emerging and 4IR technologies in the form of digital tools, strong analytics, and advanced robotics. It’s four divisions of IRGA Engineering, IRGA Advisory, IRGA Digital and Kingoya Agritools offer targeted solutions which effectively resolve challenges in the industry through the delivery of strategic consultancy, purpose-built agricultural technology innovations and digital software solutions geared towards improving oversight and operational efficiencies.
For Media Inquiries:-
Name: Shyam Raaj
Contact: +6011 3586 2624
Email: shyam@irga
