Unisem Q3 net profit falls 13.4%

Semiconductor maker’s revenue declines 7.2% to RM355mil

PETALING JAYA: Semiconductor company Unisem (M) Bhd has recorded a 13.4% decline in its net profit for the third quarter to RM35.1mil due to the depreciation of the US dollar-ringgit exchange rate compared to a year ago.

The group’s revenue for the quarter ended Sept 30 also fell 7.2% to RM354.7mil. Unisem has also announced a second interim dividend of two sen per share for the financial year ending Dec 31, 2018 (FY18).

It said its net profit for the period, as well as for the first nine months of FY18, were further impacted by the lower profit margins arising from a change in product mix, but partly mitigated by the gain on foreign exchange (forex) as opposed to the forex losses incurred previously.

Net profit for the financial period to date was down 43.2% to RM72.34mil, while revenue was 8.01% lower at RM1.02bil.

The group’s Unites States and Asia segments recorded a 3.1% and 16.1% decrease in revenue, respectively, while the Europe segment revenue increased marginally by 0.4%. Compared to the preceding quarter, the group said profit before tax improved by 8.7% to RM39.4mil.

It said the improvement was mainly attributable to the increase in gross profit margin arising from an increased sales volume, coupled with the appreciation of the US dollar-ringgit exchange rate.

Moving forward, the group said it expects its performance to remain satisfactory for the remaining period to the end of the financial year.