UWC 4Q profit hit fresh high on robust semiconductor demand

KUALA LUMPUR (Sept 6): UWC Bhd's net profit grew 54% year-on-year to a fresh high of RM30.11 million for the fourth quarter ended July 31, 2022 (4QFY22) from RM19.55 million a year ago, underpinned by robust demand from the semiconductor industry.

The group is involved in the provision of precision sheet metal fabrication, value-added assembly services and precision machined components, mainly for the semiconductor, life science, medical technology and heavy-duty industries.

Gain from foreign exchange also increased during 4QFY22 as UWC said it transacted sales in US dollars extensively.

Earnings per share rose to 2.73 sen for 4QFY22 from 1.78 sen last year. The group declared a dividend of 2.91 sen per share, with an ex-date on Sept 20.

Revenue jumped 61% year-on-year to RM103.14 million in 4QFY22, from RM63.94 million a year ago.

For the full FY22, UWC’s net profit rose 17% to RM106.94 million from RM91.54 million in FY21, while revenue grew 21% to RM345.63 million from RM285.02 million.

Going forward, the group remains optimistic on its outlook given the continued expansion of the global semiconductor market.

“In spite of that, the group also ensures to evaluate any looming uncertainties at the technological landscape and takes relentless effort to capitalise potential business opportunities as part of its diversification strategy to adapt with the market dynamics,” it said.

UWC said its order books remain strong from front-end semiconductor, life science and 5G test equipment.

UWC closed 14 sen or 3.7% higher at RM4 per share on Tuesday (Sept 6), giving it a market capitalisation of RM4.41 billion.