KUALA LUMPUR (June 15): Electronics manufacturing services provider VS Industry Bhd today announced its best-ever quarterly net profit of RM73.38 million for the third quarter ended April 30, 2021 (3QFY21), due to higher contribution across all of its business segments.  

The group's revenue doubled to RM1.07 billion during the quarter from RM505.66 million in 3QFY20, underpinned by stronger sales. Earnings per share rose to 3.90 sen, from a loss per share of 1.05 sen in 3QFY20, when it recorded a net loss of RM19.53 million, its stock exchange filing today showed.

The group also declared a third interim dividend of 0.8 sen to shareholders, to be paid on July 30.

With the latest quarterly earnings, the group's nine-month net profit for the period ended April 30 rose to its highest-ever of RM203.85 million, over three times the RM61.74 million it made in the year-ago period, while revenue jumped 30% to RM3.06 billion from RM2.36 billion.

The 9MFY21 profit also surpasses the group's previous record high earnings achieved in FY19, of RM115.86 million.

VS Industries managing director Datuk SY Gan said the record-high performance is testimony to the group's resilient business model and its strong execution and delivery capabilities.

“Moving forward, the demand outlook across our key multinational customers remains healthy and robust, with several new product models coming into production progressively over the coming quarters.

“Back at home, as an essential services provider critical to the global supply chain, we continue to operate during the current Full Movement Control Order (FMCO) effective June 1, 2021, albeit at a reduced capacity, in compliance to the standard operating procedures stipulated by the authorities. We are optimising the production output based on the allowable resources in place,” he said in a statement.

He added that the group believes that with prudent planning and careful execution, VS Industry's financial performance for the remaining quarter of FY21 will be satisfactory.

The group also noted that VS Industry's balance sheet continued to be healthy as it remained in a net cash position, with a net cash per share of 2.6 sen as at end-April 2021, backed by net assets of RM1.08 per share.

VS Industry's shares closed three sen or 2.19% higher at RM1.40 today, giving it a market capitalisation of RM5.35 billion.