Rising chip prices lift Unisem Q2 earnings, plans 1-for-1 bonus issue
KUALA LUMPUR: Unisem Bhd, a semiconductor assembly and test company, said earnings jumped 60% in the second quarter as strong demand pushed up sales. The company has also proposed a one-for-one bonus issue.
Net profit rose to RM54.6mil from RM33.9mil a year ago. Revenue rose to RM402.2mil compared with RM310mil previously.
"The improvement in net profit was mainly attributable to higher revenue achieved and increased interest income," Unisem said in a filing today.
The company has declared an interim dividend of 2 sen a share.
Chip companies around the world have reported surging profits as the global shortage of the product pushed up prices.
But the Covid-19 pandemic has also affected production.
Earlier this week, Unisem said its facilities in Ipoh, Perak has been ordered to shut down for two weeks due to the enhanced movement control order (EMCO).
Unisem said that assuming the Ipoh plant is closed for the full duration of the above EMCO period, the capacity loss arising from the closure is about 2% of the group’s total annual output volume.