KUALA LUMPUR (Nov 16): JF Technology Bhd’s (JF Tech) quarterly net profit hit a fresh record of RM5.04 million for the first quarter ended Sept 30, 2021 (1QFY22), a 25.68% increase from RM4.01 million in the same quarter last year, on the sustained strong demand from its customers stemming from the Covid-19 pandemic.

This is the first time JF Tech’s quarterly net profit hit the RM5 million mark, translating to a respectable profit margin of 44.5% for the quarter under review.

Earnings per share (EPS) rose to 0.55 sen from 0.43 sen as a result.

The group, which manufactures high-performance test contacting solutions for global integrated circuit makers, said its quarterly revenue increased by 23.77% to RM11.31 million in 1QFY22, from RM9.14 million in 1QFY21.

“Revenue from Malaysia and China rose 56.7% and 26.7% y-o-y (year-on-year) to RM4.6 million and RM3.6 million respectively in 1QFY22. The group’s gross profit margin remained high at 78.4%,” said JF Tech in a bourse filing on Tuesday (Nov 16).

Its 1QFY22’s profit before tax soared 48.3% to RM6 million versus RM4 million a year ago, attributed to a lower operating cost to revenue ratio, in addition to stronger sales.

On a quarterly basis, its net profit in 1QFY22 jumped 44.71% from RM3.48 million in 4QFY21. Revenue, meanwhile, expanded 11.03% from RM10.19 million in the immediate preceding quarter.

In terms of its balance sheet strength, JF Tech continues to be in a net cash position, with net cash per share of 8.7 sen as at end-September 2021, backed by net assets of 13 sen per share.

Looking ahead, JF Tech’s managing director Datuk Foong Wei Kuong said the group continues to hold a positive view on its outlook premised upon the growth plans and the upward trajectory of the global semiconductor industry notwithstanding the challenging landscape.

“With the group’s prudent planning and careful execution, we are confident to navigate through any challenges ahead.

“We anticipate more growth drivers to come on-stream in the coming quarters,” he added in a statement.

He also noted that the group expects its financial performance in the current financial year to be satisfactory, barring any unforeseen circumstances.

At Tuesday’s closing bell, JF Tech’s shares were down by 1.28% or two sen at RM1.54, with a market capitalisation of RM1.42 billion. The stock has risen 15.79% year-to-date.