KUALA LUMPUR: UWC Bhd
is currently expanding its capacity to cater for its’ existing core business as well as new front-end semiconductor engineering businesses and electric vehicles projects.
“The group targets to complete Phase Two of its’ new facility in Batu Kawan Industrial Park by December 2024. In addition, its new facility in Kamunting, Taiping is ready with the infrastructure setup already ongoing for fabrication works,” UWC said in the note accompanying its financial results.
The integrated engineering supporting services provider has also invested in a vertical warehouse management system that can save significant space for production facilities.
As part of its expansion, the group created a new subsidiary called North Greentech Sdn Bhd. This subsidiary makes, distributes, and provides services for renewable energy and electric vehicle equipment.
“The group has ventured into the front-end semiconductor engineering-related businesses by securing several modules from the industry while working on other potential project transfers in coming years.
“Albeit facing near-term challenges of weaker market demand for consumer devices that affect semiconductor consumption, the group expects a gradual recovery in the year 2024, particularly in the improvement of system level and performance testers,” UWC said, adding that it won multiple projects and orders have been loaded from front-end customers.
In the third quarter ended April 30, UWC’s net profit fell to RM4.02mil compared with RM4.7mil a year ago.
Revenue for the quarter was RM66mil compared with RM47.7mil recorded in the corresponding quarter of the previous year, mainly due to revenue contributions from recently acquired subsidiaries.
UWC has maintained an optimistic outlook towards both its business and the industries in which it operates for the coming years while currently observing signs of recovery.
“The group continues to focus on commencing new projects, onboarding new customers and strategising long-term growth plans to optimise potential business opportunities,” it said.
