Electronic Manufacturing Services (EMS) provider registered 33.4% higher net profit of RM5.6 million in the third quarter ended 31 March 2022 (3Q22) from RM4.2 million previously, driven by higher sales of data storage products.
The positive bottom line followed the 32.1% revenue rise to RM306.0 million as compared to RM231.6 million in the corresponding quarter a year ago.
EG Industries recorded net profit of RM15.5 million for the nine months ended 31 March 2022 (9M22), 12.8% higher than the RM13.7 million posted in the previous corresponding period, on 4.6% topline growth to RM861.5 million in 9M22 from RM823.7 million previously. This vast improvement in 9M22 performance reflected the more favourable product sales mix and savings in operating expenses.
“We remain positive on our outlook for the current financial year ending 30 June 2022 (FY2022) despite ongoing macroeconomics challenges such as the worldwide shortages of components, foreign currency fluctuations and China’s unexpectedly long lockdowns due to COVID-19 that could result in prolonged disruption on global supply chain,” Dato’ Alex Kang Group Chief Executive Officer and Executive Director of EG Industries Berhad was quoted as saying in its official statement released to the press.
He also added that the company will continue in efforts to improve product margins by enhancing their product mix through expanding their revenue contribution from their vertical integrated EMS. At the same time, the company intends to widen the revenue base from new and/or existing customers to optimize our current production capacity from the ready enlarged machineries base.
“We are also on a lookout for new opportunities back by our strong research and development capabilities by engaging with multinational companies to enlarge our customer base,” he added.
EG Industries was ranked 48th out of the top 50 EMS providers in the world for Year 2021. There are four Malaysian-based companies made it in the list.
