DNeX posts net profit of RM51.6mil in Q3

KUALA LUMPUR: Dagang Nexchange Bhd (DNeX) posted a net profit of RM51.6 million in the third quarter ended March 31, 2022 after chalking up revenue of RM382.64 million for the quarter under review.

There is no comparison for the quarter ended March 31, 2022 due to the change in the financial year-end from Dec 31 to June 30, 2022.

"The new technology and energy segments continued to be the main earnings contributor to the group, underpinned by DNeX’s strategic investments in SilTerra Malaysia Sdn Bhd and Ping Petroleum Ltd,” it said in a statement today.

The company said the new technology segment that included SilTerra, stood as the largest contributor at RM232.1 million, accounting for 60.7 per cent of total revenue, followed by the energy segment with RM102.9 million in revenue or 26.9 per cent while the remaining RM47.6 million or 12.4 per cent was from the information technology segment.

Group managing director Tan Sri Syed Zainal Abidin Syed Mohamed Tahir said the robust set of financial results despite the geopolitical uncertainty and volatility affecting global markets.

"This is a result of the group’s resilience and relentless pursuit to focus on strategies that improve bottom-line performance,” he added.

Syed Zainal said SilTerra would continue to benefit from the extended global semiconductor industry upcycle, supported by multiple long-term wafer supply agreements and a shift in product mix to include new technologies that are geared towards data centres, 5G networks and life sciences applications.

"In addition, the planned expansion to ramp up SilTerra’s annual production capacity by 10 per cent by early 2023 will translate to better economies of scale, with further improvement in manufacturing cost,” he said.

The group is also exploring new opportunities to expand its semiconductor fabrication capabilities and address the strong global demand for semiconductors. - Bernama