SEMICONDUCTOR equipment maker UMS Holdings saw net profit soar 41 per cent to S$12.9 million in the third quarter ended Sept 30, on the back of strong semiconductor sales, in results released by the Mainboard-listed firm on Thursday after market close.

 

Revenue for the quarter was up 37 per cent at S$45.2 million. All core business segments grew, led by the core semiconductor business, which rose 39 per cent.

 

This was driven by higher sales of integrated systems, up 63 per cent to S$23.4 million. Component sales revenue was up 18 per cent at S$19 million, and revenue from the " others" segment rose 13 per cent, due mainly to higher material distributions from subsidiary Starke Singapore.

 

Geographically, all key markets except the United States reported strong revenue growth, including increases of 52 per cent in Malaysia due to higher material distribution 47 per cent in Singapore with increased semiconductor integrated system sales, and 40 per cent in Taiwan with higher component spares sales.

 

Earnings per share for the quarter were 2.43 Singapore cents, compared with 1.71 Singapore cents in the year-ago period.

 

A dividend of 0.5 Singapore cent per share has been recommended, the same as a year ago. UMS chairman and chief executive officer Andy Luong said this was a prudent measure taken against a backdrop of global economic challenges.

 

UMS said that barring any unforeseen circumstances, it will stay profitable in FY2020.

 

The latest quarter' s results meant a 45 per cent rise in net profit for the first nine months of the financial year to S$35.2 million, already exceeding 2019' s full-year earnings of S$33.6 million.

 

Revenue for the first nine months was S$120.3 million, up 32 per cent from S$91.5 million in the year-ago period.

 

Mr Luong said the performance in the first nine months demonstrated the firm' s " operational resilience and ability to respond quickly to customer demands in spite of unprecedented supply-chain disruptions and factory lockdowns caused by the Covid-19 pandemic" .

 

" We are also in a sweet spot as we continue to benefit from the strong and sustained global semiconductor boom, driven by the digitalisation wave worldwide spurred by the pandemic," he added.