SEMICONDUCTOR play Micro-Mechanics (Holdings) : 5DD +0.96% posted a 5.8 per cent rise in net profit to S$4.4 million for its third quarter ended Mar 31, 2022, from S$4.2 million a year ago.

 

This was driven by a stronger revenue in the quarter, which rose 11.2 per cent to S$19.7 million, from S$17.7 million a year earlier.

 

The company had registered double-digit sales in its 3 largest geographical markets in China, the US and Malaysia, amid the continuing uptrend in the global semiconductor market, it said in a bourse filing on Friday (Apr 29).

 

Earnings per share stood at 3.18 Singapore cents for the quarter, up from 3 cents a year ago.

 

No dividend was declared for the quarter, unchanged from a year ago.

 

For the 9 months ended Mar 31, net profit increased 5 per cent to S$13.9 million on the back of revenue growth of 10.8 per cent to S$60.5 million.

 

In the 9 months, the company said its sales in China &ndash its largest geographical market &ndash grew 23.1 per cent to S$21.1 million, while sales from its second largest market in the US rose 10 per cent to S$12.1 million. Meanwhile, sales from Malaysia rose 13.5 per cent to S$9.6 million.

 

Micro-Mechanics chief executive Chris Borch noted that it saw many challenges to its operations in the period, including government restrictions due to Covid-19, supply chain disruptions, rising energy costs and other economic and political concerns.

 

&ldquo Indeed, these challenges are helping us to accelerate structural changes, implement process improvements and develop innovations while strengthening our focus on key initiatives which we believe will make Micro-Mechanics an even more valuable supplier to our customers and a stronger competitor in the industry,&rdquo Borch said.

SEMICONDUCTOR play Micro-Mechanics (Holdings) Micro-Mechanics: 5DD +0.6% posted a 2.3 per cent rise in net profit to S$4.6 million for its second quarter ended Dec 31, 2021, from S$4.5 million a year ago.

 

Revenue for Q2 also rose 8.7 per cent to S$20.4 million, from S$18.7 million in the same period last year.

 

This was mainly due to sales growth in the company' s 3 largest geographical markets in China, the US and Malaysia, amid continued growth in the semiconductor industry, Micro-Mechanics said in a bourse filing on Friday (Jan 28).

 

For the first half ended Dec 31, its net profit was S$9.5 million, up 4.6 per cent from S$9.1 million a year ago. Revenue was up 10.7 per cent to S$40.8 million, from S$36.9 million a year ago.

 

Q2' s earnings per share stood at 3.28 Singapore cents, up from 3.2 cents a year ago, while earnings per share for the first half also rose to 6.85 cents from 6.55 cents a year earlier.

 

An interim dividend of 6 cents per share was declared for the half year, unchanged from a year ago. Noting that the payout is around 88 per cent of its earnings per share for H1 FY2022, the group said it is " a reflection of the group' s confidence in its long-term prospects" .

 

The dividend will be paid out on Feb 22, after books closure on Feb 10.

 

As for the second half of FY2022, Micro-Mechanics said it expects a challenging operating landscape, amid a worsening supply-chain situation, trade friction between the US and China, spiking energy costs and rapidly rising costs for materials, shipping and labour.

 

It also warned that volatile energy markets may also result in power cutbacks that can hit its plant in China, which had been unable to operate for several days in Q1 due to electricity rationing by the local provider.

 

Micro-Mechanics manufactures high precision tools and parts used in process-critical applications for the semiconductor industry.

MICRO-MECHANICS (Holdings) Micro-Mechanics: 5DD +0.93% saw its earnings benefit from the global semiconductor boom, with the maker of high-precision tools and parts for the industry reporting a net profit of S$5 million for the quarter to September, 6.9 per cent higher year on year.

 

The improved bottom line, noted Micro-Mechanics in a regulatory filing on Thursday (Oct 28), was due to record quarterly revenue of S$20.5 million, up 12.7 per cent year on year from Q1FY21.

 

The company' s sales across the majority of its key geographical markets went up, led by the performance in the US and China.

 

Particularly, sales in China went up 33.7 per cent to S$7.3 million in the quarter, accounting for 36 per cent of Micro-Mechanics' revenue, making the country its largest market.

 

US sales increased by approximately 8.8 per cent to S$4 million, contributing to 20 per cent of Micro-Mechanics' revenue, emerging as the second largest market for the mainboard-listed company.

 

The company has cash and cash equivalents of S$24.6 million, total assets of S$77.3 million and shareholders' equity of S$63.2 million - with no bank borrowings.