ATech to diversify and enhance IoT infrastructure - MIDA | Malaysian Investment Development Authority
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ATech to diversify and enhance IoT infrastructure

ATech to diversify and enhance IoT infrastructure

28 Dec 2023

Aurelius Technologies Bhd (ATech) will continue to invest in technology infrastructure as the electronic manufacturing services (EMS) provider remains prudent and cautiously optimistic navigating through the unpredictable global market.

Its plans to diversify and enhance its Internet of Things (IoT) infrastructure while its automotive manufacturing segment will undertake more selective investments to help the group onboard new customers and projects to manufacture components for electric vehicles.

As at Dec 11, 2023, ATech’s order book stood at about RM473mil.

For the quarter ended Oct 31, ATech posted 25% year-on-year (y-o-y) drop in revenue to RM98.8mil, with its communication and IoT products contributing RM79.05mil or 80% to the revenue.

Its electronic devices contributed RM16.2mil to revenue and semiconductor components the remaining RM3.55mil.

Despite a decline in revenue, ATech managed to retain a pre-tax profit of RM13.5mil, largely attributed to its operational cost optimisation measures and the strengthening of the US dollar.

ATech’s net profit for the quarter, however, fell 21% y-o-y to RM9.7mil or an earnings per share (EPS) of 2.47 sen.

Year-to-date, the group posted a decline of 12.4% y-o-y in its revenue to RM302.46mil.

For the nine-month period, communications and IoT products remained as the main contributor at RM243.2mil, followed by electronic devices at RM42.23mil and semiconductor components at RM17.03mil.

The group recorded a gross profit of RM35.1mil for the nine months on the back of the increasing total percentage of contribution by the electronic devices.

This was largely attributable to the deferment of orders as customers are believed to prioritise the depletion of their high inventory holdings.

ATech’s net profit for the nine months rose 6.17% y-o-y to RM28.31mil or an EPS of 7.2 sen. It did not declare any dividend for the quarter.

Source: The Star