KUALA LUMPUR: Supercomnet Technologies Bhd (Scomnet) delivered an impressive 30.9% jump in net profit to RM33 million for its full year ended Dec 31, 2022, compared with RM25.21 million previously.
Revenue increased 10.24% to RM158.33 million for the full year – the result of Scomnet’s growing momentum from existing customers besides maiden contributions from new customers. The pipeline of Scomnet’s orders remain strong and continues to increase.
For the fourth quarter to Dec 31, 2022, net profit however dropped 23.11% to RM6.09 million while revenue declined 9.3% to RM37.35 million. The lower profit was due to delays from a supplier, inventory adjustment from one of its customers and an unfavourable foreign exchange rate.
Despite a weaker fourth quarter, Scomnet still managed to deliver record full-year profit and revenue. This trend is expected to continue organically, which is just based off its existing orders and product pipeline.
The automotive sector is also expected to increase its contribution in FY23, especially for the fuel tank and wire harness segment.
Scomnet’s principal activities include manufacturing and assembly of medical devices and cables, automotive fuel tanks, wires and cable for electrical appliances, consumer electronics and automotive markets.
Financially, the company continues to be on extremely strong footing. As of the period, the company has highly liquid assets totalling RM162.77 million. They comprise cash and bank balances of RM19.3 million, term deposits of RM16.55 million and other financial assets worth RM126.92 million that mainly represented by investment in money market.
“Organically, we are confident of our business prospects. Besides the pipeline of orders that we have in hand, our cashflow from operations continues to increase over the quarters. Financially, we have a lot of buffer, and thus are ready to grow our business through internal and external channels.” said Scomnet managing director James Shiue Jong-Zone.
“We remain optimistic with the group's mid to long term prospects and will continue work closely with existing and new customers on new products development. Thus, barring any unforeseen circumstances, the group expects the performance for the next financial year to be satisfactory,” he added.
Financially, Supercomnet continues to be on extremely strong footing. – Supercomnet website pic
