The Penang-based customised solution provider noted weak demand across its key product segments, particularly in the automotive sector.
PETALING JAYA: Pentamaster Corp Bhd
faces significant constraints to drive revenue growth due to heightened geopolitical risks.
In a filing with Bursa Malaysia, the Penang-based customised solution provider noted the weak demand across its key product segments particularly in the automotive sector.
“Aggressive pricing war in the domestic China market continues to challenge margin preservation and expansion strategies for the automated test equipment segment (ATE). “Given these conditions, we expect sluggish demand to persist across key segments for the remainder of 2024 and we anticipate closing the financial year with flat revenue momentum,” Pentamaster said.
The company stated it remained committed to addressing the challenges in the ATE segment while continuing to leverage growth opportunities within the factory automated solutions segment.
For the third quarter ended Sept 30, 2024, Pentamaster posted a 50% on-year drop in earnings to RM11.8mil on the back of lower ATE sales and adverse foreign exchange movements. Revenue for the period came in at RM150.1mil, down 17% on-year, due to lower contribution from the ATE segment.
