PETALING JAYA: En route to a listing on the Main Market of Bursa Malaysia this week, Cape EMS Bhd
has announced a net profit of RM8.9mil in the fourth quarter of its 2022 financial year, as compared to RM6.36mil in the previous corresponding quarter.
Revenue for the quarter under review was RM118.2mil, up from RM100.74mil in the previous comparative quarter.
Over the entire financial year, the group’s net profit was RM33.54mil on the back of RM437.95mil in revenue, as compared with a net profit of RM26.26mil on a revenue of RM344.33mil in 2021.
Moving forward, Cape EMS said in a filing with Bursa Malaysia that it would continue to focus on its core competencies in providing electronic manufacturing services (EMS) of industrial electronic products.
The business will be supported by its aluminium die cast manufacturing, sourcing, procurement capabilities, marketing and distribution added services.
“The group will continue to monitor the strong demand of our industrial electronic products’ market and maintain the group’s efficiency and competitiveness for time to market.
“At this juncture, the order flow from our customers remains strong,” it said, while acknowledging the global challenges that abound in the current financial year.
Cape EMS, which is set to make its debut on Bursa Malaysia on Friday, had previously said that the bulk of the RM155.7mil in proceeds raised from its initial public offering (IPO) will go towards the setting-up of a new cleanroom facility and purchase of new automated production lines for EMS operations, as well as the construction of a new Senai 226 warehouse and installation of automated storage facilities.
The remaining proceeds will go towards working capital, the purchase of machinery, the installation of an energy saving cooling system and to defray listing expenses.
Last week, the group announced its IPO shares to the Malaysian public had been oversubscribed by 17.82 times.
Based on an enlarged issued share capital of 923 million and IPO price of 90 sen a share, the stock will have a market capitalisation of RM830.7mil upon listing.
Commenting on the results, Cape EMS managing director and group chief executive officer Christina Tee Kim Chin said the results could be attributed to the company’s team effort and appropriate business strategies implemented.
“At this juncture, we are still experiencing strong order flows from our customers and we will continue to monitor the latest EMS market developments while increasing the company’s efficiency and competitiveness to remain relevant in the market in the long run.
“Nevertheless, we remain optimistic of our business with the global macroeconomic headwinds affecting the global market, such as interest rate hikes, persistent US-China trade tensions, and global semiconductor component shortages, just to name a few.”
