Vitrox’s 4Q profit jumps 79% as quarterly revenue hits record high

Vitrox’s 4Q profit jumps 79% as quarterly revenue hits record high
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KUALA LUMPUR (Feb 24): Vitrox Corp Bhd’s net profit for the fourth quarter ended Dec 31, 2020 (4QFY20) jumped 79.4% to RM31.92 million from RM17.79 million a year earlier, as quarterly revenue hit a record high of RM159.8 million.

Vitrox specializes in designing and developing automated vision inspection systems and equipment testers for the semiconductor and electronic packaging industries, as well as electronic communications equipment.

The 68.03% jump in revenue from RM95.1 million a year ago was mainly driven by a "tremendous increase in demand" for Machine Vision System (MVS) and Automated Board Inspection (ABI), its stock exchange filing showed.

For the full year ended Dec 31, 2020 (FY20), Vitrox's net profit rose 32.6% to RM105.62 million from RM79.65 million, while revenue climbed 38.51% to RM470.38 million from RM339.59 million, again due to higher volume demands for MVS and ABI.

Vitrox, which has been experiencing robust demand across all its business units so far, said it is cautiously optimistic on its business prospect for the financial year 2021 (FY21) with the roll out of Covid-19 vaccines.

However, it cautioned that it has encountered longer material lead time due to the global shortage of certain raw materials used in the group’s products.

"The group’s operation team is working vigorously with various parties to resolve the issue now," it said.

In the meantime, the group said it has started expanding its manufacturing capacity by at least 30% in 2021 to cope with "the robust demand in the next few months", while continuing to take prudent cost control measures in order to stay competitive and resilient.

Vitrox shares closed 18 sen or 1.06% higher at RM17.20 today, giving the group a market capitalisation of RM8.12 billion.

Tan Choe Choe