INARI (0166) - Inari Amertron's 2Q net profit up 65% on higher demand for mobile devices and smart phones
KUALA LUMPUR (Feb 4): Electronic products manufacturer Inari Amertron Bhd’s net profit rose 65% to RM40.32 million in its second quarter ended Dec 31, 2014 (2QFY15), compared to RM24.43 million in the previous corresponding quarter, due to higher demand for smartphones and mobile devices.
According to the company’s filing to Bursa Malaysia today, Inari Ammertron’s (fundamental: 2.3; valuation: 1.5) revenue for 2QFY15 grew by 22.13% to RM227.91 million compared to RM186.62 in 2QFY14.
A second interim dividend of 1.8 sen and a special dividend of 0.5 sen were declared for the quarter under review, both payable on March 17.
Meanwhile, for its six months ended Dec 31, 2014 (1HFY15), net profit (YTD) grew by 63% to RM74.08 million compared to RM45.46 million in 1HFY15; revenue also increased 19% to RM449.8 million compared to RM377.96 million in 1HFY15.
The group noted that its financial performance improved in 2Q15 due to better revenue, driven by its radio frequency business, as demand for smartphones and devices increase.
The more favourable foreign exchange due to strengthening of the US dollar in 2QFY15, also contributed to earnings, it said.
On prospects, Inari Amertron said it would continue to integrate and improve the operating margins of its optoelectronics business and ride the growth of the mobile smart device market.
“With the completion of the rights issue by end of February 2015 and the utilisation of the rights issue proceeds to increase the manufacturing capacity, in particular, the new P13 plant, we expect the new plant to contribute positively to the group’s revenue for the rest of FY15,” it said.
Barring any unforeseen circumstances, the group is optimistic and expects to continue delivering positive performances for rest of FY15.
To recap, Inari Amertron had proposed to raise up to RM133.2 million via a renounceable rights issue of up to 88.8 million new shares in July last year, to fund its expansion plans and boost working capital.
Inari Amertron's shares closed 1 sen or 0.35% lower to RM2.86 today, for a market capitalisation of RM1.8 billion.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
http://www.theedgemarkets.com
KUALA LUMPUR (Feb 4): Electronic products manufacturer Inari Amertron Bhd’s net profit rose 65% to RM40.32 million in its second quarter ended Dec 31, 2014 (2QFY15), compared to RM24.43 million in the previous corresponding quarter, due to higher demand for smartphones and mobile devices.
According to the company’s filing to Bursa Malaysia today, Inari Ammertron’s (fundamental: 2.3; valuation: 1.5) revenue for 2QFY15 grew by 22.13% to RM227.91 million compared to RM186.62 in 2QFY14.
A second interim dividend of 1.8 sen and a special dividend of 0.5 sen were declared for the quarter under review, both payable on March 17.
Meanwhile, for its six months ended Dec 31, 2014 (1HFY15), net profit (YTD) grew by 63% to RM74.08 million compared to RM45.46 million in 1HFY15; revenue also increased 19% to RM449.8 million compared to RM377.96 million in 1HFY15.
The group noted that its financial performance improved in 2Q15 due to better revenue, driven by its radio frequency business, as demand for smartphones and devices increase.
The more favourable foreign exchange due to strengthening of the US dollar in 2QFY15, also contributed to earnings, it said.
On prospects, Inari Amertron said it would continue to integrate and improve the operating margins of its optoelectronics business and ride the growth of the mobile smart device market.
“With the completion of the rights issue by end of February 2015 and the utilisation of the rights issue proceeds to increase the manufacturing capacity, in particular, the new P13 plant, we expect the new plant to contribute positively to the group’s revenue for the rest of FY15,” it said.
Barring any unforeseen circumstances, the group is optimistic and expects to continue delivering positive performances for rest of FY15.
To recap, Inari Amertron had proposed to raise up to RM133.2 million via a renounceable rights issue of up to 88.8 million new shares in July last year, to fund its expansion plans and boost working capital.
Inari Amertron's shares closed 1 sen or 0.35% lower to RM2.86 today, for a market capitalisation of RM1.8 billion.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)
http://www.theedgemarkets.com
