KUALA LUMPUR: Smartcard solutions-based Datasonic Group Bhd - which has seen a surge in its share price since May 2013 -- reported earnings jumped 505% to RM22.81mil in the fourth quarter ended Dec 31, 2013 from RM3.76mil a year ago, underpinned by an improvement in revenue.

In its financial results released on Friday, it said revenue rose at a slower pace of 73% to RM72.55mil from RM41.96mil. Earnings per share were 3.38 sen compared with 0.56 sen.

Datasonic said RM35.72mil of the revenue was from the supply of smartcards and consumables. The other main sources of revenue were from the supply of data pages, personalised solutions which generated revenue of RM30.72mil. It declared a dividend of 2.0 sen for each 10 sen share.

"The group's improved profit before taxation on the basis of quarter on quarter was a result of higher revenue earned and effective cost control measures implemented by the management," it said.

In FY13, its earnings rose 191% to RM81.89mil from RM28.12mil in FY12 while revenue increased by 45.8% to RM260.74mil from RM178.73mil.

At Dec 31, 2013, its trade receivables increased to RM137.98mil from RM72.56mil at end-2012.  Projects in progress totaled RM30.55mil, a decline from RM57.07mil.

Its cash and bank balances totaled RM27.14mil from RM7.61mil. It has long-term borrowings of RM134.73mil compared with RM75.70mil.

Datasonic's share price had surged from about RM2 in May 2013 to a high of nearly RM10 in late December. After its one-into-five share split, its share price again surged to close 26 sen higher at RM3.60.

At RM3.60, it is trading at a price-to-earnings of 29.62 times while its estimated PE for 2014 is 25.71 times.

Its market capitalisation increased to RM2.43bil based on the paid-up of 675 million 10 sen shares.

Source:

The Star Business

http://www.thestar.com.my/Business/Business-News/2014/02/28/Datasonic-Q4-earnings-surge-500pct-to-RM22mil/