KUALA LUMPUR (Aug 30): As part of its restructuring plan, Datasonic Group Bhd, which saw its net profit jump 89.5% in the first quarter ended June 30 (1QFY20), announced that it is downsizing its board to eight members from 14.  

Consequently, the e-government service provider announced the resignations of six directors.

The board members who have stepped down are Handrianov Putra Abu Hanifah, Md Diah Ramli, Mohamed Zulkhornain Ab Ranee, Raghbir Singh Hari Singh, Talya Zholeikha Abu Hanifah and Safia Zuleira Abu Hanifah.

These directors, however, will continue to be part of the senior management of the group, according to the company’s filing with Bursa Malaysia this evening. "The operations of Datasonic Group will continue as usual," said Datasonic.

In a separate filing, Datasonic announced that its net profit for the first financial quarter ended June 30, 2019 (1QFY20) leapt 89.5% to RM14.01 million from RM7.39 million a year ago.

This resulted in higher earnings per share of 1.04 sen for 1QFY20 compared with 0.55 sen for 1QFY19.

Quarterly revenue increased 19.6% to RM58.32 million from RM48.78 million a year ago.

The group declared a first interim dividend of 0.75 sen per share for the financial year ending March 31, 2020 (FY20), of which the entitlement and payment will be announced in due course.

Datasonic said the prospects for growth are expected to be satisfactory for FY20.

Its order book stood at RM722 million as at June 30, which it said would have a positive impact on revenue generation in future operations.

"The management has continuously negotiated for better competitive pricing for purchases of the required materials and services from suppliers, coupled with the prevalent cost control initiatives implemented in the administration of the group's operations," it added.

Datasonic share price gained one sen to close at 88.5 sen, with 6.26 million shares done, giving it a market capitalisation of RM1.195 billion.