Quarterly Results

 

Quarterly Report For The Financial Period Ended 30 June 2018

Financials Archive

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Unaudited Condensed Consolidated Statement Of Financial Position As At 30 June 2018

Unaudited Condensed Consolidated Statement Of Financial Position As At 30 June 2018 Notes:

(a) The unaudited condensed Consolidated Statement of Financial Position should be read in conjunction with the audited financial statements for the financial year ended 30 September 2017 and the interim notes attached to this interim financial report.

(b) Based on 548,562,497 ordinary shares in issue as disclosed in Note B11.

(c) Share premium is reclassified to share capital in accordance with Section 618(2) of the Companies Act 2016.

Unaudited Condensed Consolidated Statement Of Profit Or Loss And Other Comprehensive Income For The Quarter Ended 30 June 2018

Unaudited Condensed Consolidated Statement Of Profit Or Loss And Other Comprehensive Income For The Quarter Ended 30 June 2018 Notes:

(a) The Unaudited Condensed Consolidated Statement of Profit or Loss and Other Comprehensive Income should be read in conjunction with the audited financial statements for the financial year ended 30 September 2017 and the interim notes attached to this interim financial report.

(b) Based on 548,562,497 ordinary shares in issue as disclosed in Note B11.

(c) Diluted earnings per share for the current financial period is calculated by dividing the profit for the financial period attributable to owners of the Company by the weighted average number of ordinary shares outstanding during the financial period adjusted for the effects of dilutive potential ordinary shares as disclosed in Note B11.

Review of Performances

Review of Performances
Comparison with the preceding year corresponding quarter

Demand from the smartphone and tablet segment continues its contribution to the revenue in this quarter ("Q3FY18"). However, the Group registered a decrease of 20% or RM2.426 million in revenue mainly attributed to the enterprise storage segment as compared to preceding year corresponding quarter ("Q3FY17").

Other income for Q3FY18 was higher at RM0.629 million as compared to RM0.14 million in Q3FY17, due to strengthening of USD against Ringgit in this quarter.

There is a slight decrease in the research and development ("R&D") expenses of RM0.012 million due to capitalisation of development expenditure. One of the latest R&D effort is our recent launch of Moridaru - a platform that encompasses a software framework with Artificial Intelligence ("AI") capability. Riding on the increase in R&D activities in developing new products, the Group has capitalised the relevant expenditures amounted to RM0.458 million as Development Expenditure.

Administrative expenses are consistently incurred to support our operation activities and business growth. For Q3FY18, the Group recorded a lower administrative expenses of RM3.549 million as compared to RM3.901 million in Q3FY17.

In summary, the Group recorded a profit of RM2.198 million in Q3FY18 as compared to RM2.453 million in Q3FY17.

Comparison with the corresponding financial period to date in the previous financial year

The Group recorded total revenue of RM30.225 million for this financial period ended June 2018 ("FPE2018"), which represents an increase of 7% or RM1.903 million as compared to the corresponding financial period in the previous financial year ("FPE2017"). Demand from enterprise storage, smartphone and tablet segments contributed to the increase.

Other income recorded lower at RM0.646 million in FPE2018 as compared to RM2.040 million in FPE2017, mainly attributed to the strengthening of USD against Ringgit in FPE2017.

R&D expenditures has increased from RM3.820 million in FPE2017 to RM4.304 million in FPE2018 while administrative expenses has recorded an increase of 10.8% or RM1.017 million, from RM9.365 million in FPE2017 to RM10.382 million in FPE2018. The cost incurred are crucial for our continuous development of new test platform and solution, and supporting the business growth.

In summary, the Group experienced a decrease of 8% or RM0.457 million in the profit as compared to FPE2017.

Prospects

Demand from customers for the smartphone & tablet related Automated Test Equipment (ATE) has been strong in Q3 FY2018. Barring any unforeseen circumstances, the revenue from this market segment is expected to be the same if not better in the quarters ahead.

FY2018 revenue for the enterprise storage segment is expected to be consistent with 2017.

Sales from the Far East Region was almost equal in Q3 FY2018 as compared to the last quarter, albeit challenges in this market. Near term sales and marketing activities in the Far East Region will continue to be challenging.