KUALA LUMPUR: hard disc drive (HDD) components maker JCY International Bhd turned a profit in the last quarter ended Sept 30 on higher shipment volume and a reversal of certain impairments.
Net profit for the quarter stood at RM14.1mil that lifted its full year earnings to RM25.6mil.
Revenue was up at RM301mil.
"The higher revenue in the reporting quarter compared to previous year corresponding period was due mainly to higher shipment quantity," the company said.
"The Group also recorded a slightly higher revenue for the reporting financial year compared to previous financial year due to better products mix, despite having an isolated significant impact of shipment reduction in 3rd financial quarter due to the global pandemic of COVID-19," it added.
JCY, in its outlook for FY2, said the HDD market is expected to remain relatively stable even if large cloud operators may not be embarking on major capacity expansion due to uncertainties in business demand.
"With the expected gradual reduction in global TAM to below 70 million per quarter in the near future, major HDD producers may possibly embark upon a rationalisation of their supply chain, which in turn will affect HDD component suppliers," it said.
"JCY will deploy its resources to accommodate likely changes in the market," it added.
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