SAM Engineering posts improved results in Q2 despite production setback

KUALA LUMPUR: Sam Engineering & Equipment (M) Bhd reported higher sales and profits in the three-month ended Sept 30, supported by the stronger demand for aerospace products.

This mitigated the lower contribution from its equipment segment, which was affected by the temporary closure of two factories in Penang during the quarter.

Net profit rose to RM16.5mil from RM15.5mil registered in the same quarter last year. Revenue was up at RM234.8mil compared with RM221mil previously.

"The higher revenue from the Aerospace segment was mainly due to increase in sales of casing and aerostructures products," the company said in a filing.

"For the Equipment segment, the lower revenue was mainly due to push out of deliveries to customers caused by the temporary closure of 2 factories in Penang due to COVID-19 restriction," it added.

SAM Engineering also said the re-opening of international borders was a positive development for the industry.

"We continue to monitor the situation closely, engage our customers and position ourselves for the recovery of the aerospace sector," it said.

Meanwhile, strong demand in semiconductor industry was projected to remain until 2022.

"We have expanded our operations in Thailand and the first phase of our new facility is operational in October 2021," the company said.

"We will continue to invest to increase our manufacturing capacity for selected growth segments in the equipment business," it added.

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 46
Cxense type: free
User access status: 3
Join our Telegram channel to get our Evening Alerts and breaking news highlights

SAM Engineering


Next In Business News

Business summary from Nov 22-28
GLOBAL MARKETS-Stocks, oil regain some composure after Omicron battering
Telekom, Vodafone, others want U.S. tech giants to help fund network costs
Fashion world grieves after death of Louis Vuitton's Virgil Abloh
Australia's reopening plans in doubt after Omicron cases
Opec postponses technical meetings to evaluate Omicron impact
Emergence of new shareholder in G3 Global
CPTPP will not affect bumiputra rights, says Azmin
Insight: Today’s board – Tomorrow’s issues
Insight - Bursa Malaysia sees continued interest

Others Also Read