This article first appeared in The Edge Financial Daily on October 3, 2019

ViTrox Corp Bhd (-ve)

TRADING of shares in ViTrox Corp Bhd (fundamental: 3/3, valuation: 0.7/3) yesterday triggered our momentum algorithm for the first time this year.

The counter closed 25 sen or 3.23% higher at RM8, valuing the company at RM3.77 billion. Some 1.01 million shares were traded yesterday. In contrast, the stock’s 200-day average trading volume was 244,937 shares.

For the second quarter ended June 30, 2019, group net profit declined 12.14% year-on-year (y-o-y) to RM24.39 million, from RM27.76 million. Revenue declined 15.22% y-o-y to RM89.03 million, from RM105.02 million. The group attributed the lower revenue and net profit to a 33% decline in customer demand for its machine vision system during the quarter.

For the cumulative six months ended June 30, 2019, net profit was flat at RM48 million, while revenue declined 2.38% to RM177.99 million, from RM182.33 million before.