Vitrox 3QFY22 net profit surges 20% on strong US dollar and favourable product mix

KUALA LUMPUR (Oct 27): Vitrox Corp Bhd’s net profit for the third quarter ended Sept 30, 2022 (3QFY22) grew 20.4% to RM50.84 million from RM42.21 million a year ago, on the back of a stronger US dollar and favourable product mix.

In a filing with Bursa Malaysia, the group said its quarterly revenue increased 10.3% to RM185.58 million against RM168.29 million recorded a year ago due to continuous strong demand from Automated Board Inspection (ABI).

Earnings per share for the quarter under review expanded to 5.38 sen from 4.47 sen.

For the first nine months ended Sept 30 (9MFY22), the Penang-based automated vision inspection system provider achieved revenue of RM560.3 million, which grew by RM65.9 million or 13.3% from RM494.4 million in the previous corresponding period.

Net profit for 9MFY22, stood higher at RM152.21 million compared with RM123.54 million a year ago. Such improved performance was due to the stronger greenback and favourable product mix.

In the remainder of 2022, Vitrox anticipates that the recent inflation and geopolitical tensions will cause uncertainty in market demand.

“The market on telecommunication infrastructure and automotive segment will continue to stay robust while the consumer electronic segment will remain soft as a result of cautious spending due to inflation and inventories pile-up after the pent-up demand during the pandemic,” the group stated in the filing.

Overall, Vitrox is optimistic that the group will continue to achieve satisfactory financial results for the current financial year ending 31 December 2022.

Shares of Vitrox settled at 3.57% or 25 sen higher at RM7.26, giving the company a market capitalisation of RM6.86 billion.