KUALA LUMPUR: K-One Technology Bhd
plans to diversify its existing business to include the distribution and sale of healthcare products.
In a filing with Bursa Malaysia today, K-One said that the group has progressively obtained appointments from foreign manufacturers as authorised representatives to distribute healthcare products in Malaysia.
"The group intends to scale up its healthcare products business and expects to contribute 25 per cent or more of the net profits of the group and/or result in a diversion of more than 25 per cent of the net assets of the group,” it said.
K-One said that it has primarily relied on its core automotive, industrial and consumer electronic industries (EMS) business, which consistently contributed approximately 55 per cent of total revenue for the three years up to the financial year 2023 (FY2023), while the remaining 45 per cent was derived from the Cloud Business.
"The group’s loss-making position was mainly attributed to the EMS business being impacted by weak consumer demand following the COVID-19 pandemic, and by the higher cost of logistics and electronic chips due to supply chain disruptions caused by the Russia-Ukraine conflict.
"Notwithstanding the above, the group turned around its business and recorded a profit in FY2023, mainly contributed by the Cloud Business,” the group said. - Bernama
