Investment Rating - The report assigns a "Buy" rating to Pentamaster with a target price of HKD 1.10, reflecting a potential upside from the current price of HKD 0.74 [17]. Core Insights - The report highlights a significant revenue increase in the medical sector, which grew 3.1 times to MYR 78.5 million, accounting for 46.0% of total revenue in Q1 2024 [17]. - Despite a 11.9% decline in net profit to MYR 30.2 million due to decreased gross margins in the ATE segment and rising employee costs, the medical sector's strong contribution is expected to continue [17]. - The automotive sector remains weak, with order delays attributed to market headwinds, although long-term optimism for electric vehicle growth is noted [17]. - The report anticipates that the KGD testing personnel will generate revenue, potentially improving the automotive business segment [17]. Financial Summary - Revenue projections for Pentamaster are as follows: MYR 691.9 million in 2023, increasing to MYR 768.1 million in 2024, MYR 942.6 million in 2025, and MYR 1,027.3 million in 2026, reflecting a compound annual growth rate (CAGR) of 11.0% from 2023 to 2024 [4]. - Gross profit is expected to rise from MYR 209.6 million in 2023 to MYR 310.7 million in 2026, with gross margins remaining stable around 30% [4][17]. - Net profit is projected to grow from MYR 142.2 million in 2023 to MYR 196.7 million in 2026, with a notable increase of 24.2% in 2025 [4]. Market Comparison - Pentamaster's market capitalization is MYR 1.75 billion, with a P/E ratio of 7.5, which is significantly lower than the average P/E ratio of 83.1 for comparable companies [21]. - The report indicates that Pentamaster's revenue for 2023 is MYR 1,188.9 million, with a gross margin of 30.3% and a return on equity (ROE) of 16.7% [21].

Investment Rating - The report assigns a "Buy" rating for the company [2]. Core Insights - The company experienced a revenue of 170 million Ringgit in Q1 2024, facing headwinds due to a decline in orders and increased costs [9][20]. - The medical segment showed significant growth, contributing 785.47 million Ringgit, which accounted for approximately 46.0% of total revenue [20]. - The report anticipates that the medical segment will be a major growth driver for the company in 2024, with expectations of increased contributions from single-use medical instruments as new factories come online [20]. Financial Summary - Total revenue projections for the company are as follows: 691.9 million Ringgit in 2023, increasing to 1,027.3 million Ringgit by 2026, reflecting a compound annual growth rate (CAGR) of 9.0% [5][20]. - Gross profit is expected to rise from 209.6 million Ringgit in 2024 to 310.7 million Ringgit in 2026, maintaining a gross margin around 30% [5][20]. - Net profit is projected to grow from 148.2 million Ringgit in 2024 to 196.7 million Ringgit in 2026, with a net profit margin of approximately 19.1% [5][20]. Market Comparison - The report highlights that the automotive market remains weak, impacting order volumes and profit margins for the company [21]. - The demand for single-use medical instruments is also noted to be insufficient, which may affect future revenue streams [21].

Investment Rating - The report assigns a "BUY" rating for the company with a target price of HK$ 1.10, reflecting a potential upside from the current price of HK$ 0.74 [2][3]. Core Insights - The company experienced a year-on-year decline in net profit by 11.9% to MYR 30.2 million, attributed to a decrease in gross margin in the ATE segment, increased staff expenses, and amortization of development costs [3]. - Revenue from the medical segment surged 3.1 times to MYR 78.5 million, making up 46.0% of total revenue in Q1 2024, indicating strong order visibility from primary customers [3]. - The automotive segment remains weak due to order deferrals, but long-term prospects in the EV market are viewed positively despite current challenges [3][12]. Financial Performance - The company reported MYR 170.7 million in revenue for Q1 2024, a 3.3% increase from Q1 2023 [10]. - The gross profit for 2024 is projected to be MYR 231.8 million, with a gross margin of 30.2% [13]. - Net profit is expected to grow from MYR 142.2 million in 2025 to MYR 196.7 million by 2026, reflecting a year-on-year growth of 4.2% and 6.9% respectively [13]. Segment Analysis - The medical segment is anticipated to continue its robust performance, with significant contributions expected from single-use medical devices after the completion of Campus 3 phases [3]. - The electro-optical segment saw a 47.8% year-on-year growth, but recovery in the semiconductor and automotive segments is uncertain due to limited technological advancements and market headwinds [3][12]. - The report highlights insufficient demand for single-use medical devices and loss of orders from key customers in the medical segment as challenges [6][12].

Financial Performance - The group's revenue for the first quarter ended March 31, 2024, was RM 170.7 million, representing a 3.3% increase compared to RM 165.3 million in the same period last year[2][30]. - The net profit for the period was approximately RM 30.2 million, a decrease of 11.9% from RM 34.3 million in the previous year[16][30]. - The gross profit for the first quarter was RM 49.9 million, compared to RM 47.4 million in the same period last year[6]. - Operating profit for the quarter was RM 30.9 million, down from RM 33.9 million year-on-year[6]. - The group's earnings per share for the quarter were RM 1.27, compared to RM 1.44 in the previous year[5]. - The group's net profit for Q1 2024 was RM 30.2 million, down approximately 11.9% from RM 34.3 million in Q1 2023[66]. - EBITDA for Q1 2024 was RM 35.3 million, a decrease of 7.1% from RM 38.0 million in Q1 2023, primarily due to increased employee costs and R&D expenses for single-use medical devices[66]. - The company's total comprehensive income for the three months ended March 31, 2024, was 30,283 thousand MYR, compared to 34,335 thousand MYR for the same period in 2023[45]. Cash and Assets - Cash and cash equivalents as of March 31, 2024, were RM 351.1 million, down from RM 395.8 million as of December 31, 2023[3]. - The total assets as of March 31, 2024, were RM 1,140.4 million, a decrease from RM 1,159.0 million as of December 31, 2023[20]. - The cash and cash equivalents at the end of March 31, 2024, were 351,079 thousand MYR, an increase from 302,430 thousand MYR at the end of March 31, 2023[47]. - The operating cash flow for the three months ended March 31, 2024, was 1,290 thousand MYR, a significant improvement from the cash outflow of 8,438 thousand MYR in the same period of 2023[46]. Segment Performance - The group reported external customer revenue of RM 72.8 million from the automation testing equipment segment and RM 97.9 million from the factory automation solutions segment[30]. - The group’s performance in the automation testing equipment segment contributed RM 9.1 million to the profit, while the factory automation solutions segment contributed RM 23.5 million[30]. - In Q1 2024, the FAS division's revenue reached 98.8 million MYR, a 69.4% increase from 58.3 million MYR in Q1 2023, marking a record quarterly revenue for the division[32]. - The medical devices segment contributed significantly to the FAS division, with its contribution rate increasing from 35.4% in Q1 2023 to 80.2% in Q1 2024, reflecting a 310.5% growth[32]. - The automotive segment's revenue was 43.9 million MYR in Q1 2024, a significant decrease from 90.1 million MYR in Q1 2023, indicating a 51.2% decline[34]. - The revenue for the ATE division decreased from RM 111.4 million in Q1 2023 to RM 73.2 million in Q1 2024, a decline of approximately RM 38.2 million[54]. - The automotive segment contributed 60.3% to the ATE division's revenue in Q1 2024, but saw a 50.1% decrease compared to Q1 2023 due to overall weak demand in the automotive end market[54]. - The optoelectronics segment's revenue share increased significantly from 6.6% in Q1 2023 to 25.3% in Q1 2024, a growth of 152.8% driven by the delivery of flagship smart sensor testing equipment[54]. Financial Stability - Total equity increased to 880.1 million MYR from 848.0 million MYR year-over-year[44]. - Total liabilities decreased to 260.3 million MYR from 311.1 million MYR year-over-year, indicating improved financial stability[44]. - The company reported a decrease in trade receivables provision for expected credit losses of 268 thousand MYR for the three months ended March 31, 2024, compared to a provision of 720 thousand MYR in the same period of 2023[46]. Strategic Outlook - The group continues to navigate a challenging global environment with geopolitical tensions impacting economic uncertainty[28]. - The group is optimistic about the recovery of its ATE division, supported by long-term structural trends such as automotive electrification and the growth of artificial intelligence[32]. - The group is actively expanding its customer base in the medical devices segment to capture a larger market share, driven by technological advancements and industry trends[33]. - The group plans to focus resources on product development and talent training to capitalize on upcoming growth opportunities in AI, automotive, and medical equipment sectors[62]. - The group remains optimistic about the second half of the year, particularly in new generation AI, data centers, and automotive sectors despite a slight decline in order volume[67]. - The group will continue to implement targeted cost control measures while investing in R&D and production capacity to maintain a skilled workforce[62]. Administrative and Other Expenses - Administrative expenses decreased slightly from 19.4 million MYR in Q1 2023 to 19.1 million MYR in Q1 2024, primarily due to a reduction in administrative personnel costs[36]. - The group reported a foreign exchange gain of approximately 5.7 million MYR in Q1 2023, which should be considered alongside a foreign exchange loss of about 7.3 million MYR recorded in administrative expenses[35]. - Other income increased to RM 2.6 million in Q1 2024 from RM 2.1 million in Q1 2023, mainly due to bank interest income[59].

Financial Performance - Revenue for 2023 reached MYR 691,850,000, an increase of 15.2% from MYR 600,587,000 in 2022[130]. - Profit before taxation for 2023 was MYR 143,107,000, up 6.3% from MYR 134,758,000 in 2022[130]. - Profit after taxation for 2023 amounted to MYR 142,233,000, compared to MYR 133,301,000 in 2022, reflecting a growth of 6.9%[130]. - Total assets increased to MYR 1,159,041,000 in 2023, a rise of 15.7% from MYR 1,001,661,000 in 2022[130]. - Total liabilities rose to MYR 311,069,000, up from MYR 264,948,000 in 2022, indicating a growth of 17.4%[130]. - The Group achieved a remarkable compound annual growth rate (CAGR) exceeding 20.0% for both top-line and bottom-line performance over the past five years, driven by effective resource allocation and strategic planning[152]. - The Group's financial achievements in 2023 reflect a focus on business fundamentals and cost optimization, rather than merely a rebound from previous challenges[152]. Dividends and Reserves - The Board recommends a final dividend of HK$0.02 per share, subject to shareholder approval at the upcoming AGM[31]. - As of December 31, 2023, the Company's reserves available for distribution to shareholders amounted to approximately MYR30,963,000, an increase from MYR28,525,000 in 2022[37]. - The final dividend is payable on July 5, 2024, with a record date of June 17, 2024[33]. - As of December 31, 2023, the distributable reserves available to shareholders were approximately MYR30.96 million, compared to MYR28.53 million in 2022[47]. Business Operations and Strategy - There were no significant changes in the nature of the Group's principal activities during the year ended December 31, 2023[16]. - The Company has not carried out any business since its incorporation, focusing on investment holding[16]. - The Group is diversifying into the medical technology sector to meet growing market demands, leveraging automation solutions to enhance medical automation capabilities[78]. - The Group's vision is to be a leader in global automation solutions, committed to delivering high-quality, cost-effective solutions with the latest technology[77]. - The Group's strategic initiatives focused on diversification across products, segments, and geographical footprint, contributing to its business sustainability in a tumultuous year[152]. Charitable Contributions and Community Engagement - The Group made charitable donations amounting to approximately MYR115,000 in the year under review, an increase from MYR72,000 in 2022[44]. - The Group made a monetary contribution of MYR 50,000 to support the Penang state-led initiative for sustainable development and environmental protection[74]. - A total monetary contribution of MYR 66,000 was made by the Group for the Penang STEM 4.0 initiative, aimed at establishing learning centers in Science, Technology, Engineering, and Mathematics[88]. - The Group's initiatives include sponsoring charitable projects in Penang, contributing to community betterment and sustainable future generations[83]. - The Group made monetary contributions of MYR40,000 to support the establishment and management of a humane programme for stray dogs in Penang[92]. Health, Safety, and Environmental Compliance - The Group's internal health and safety policies ensure compliance with applicable laws and regulations, with quarterly inspections conducted[61]. - The Group did not record any material violations of health, work safety, and environmental laws during the year[63]. - The Group has not recorded any serious violations of health, safety, and environmental laws during the year, ensuring compliance with all major aspects of relevant regulations[66]. - The Group's commitment to environmental policies includes proper responses to chemical leaks and waste management through government-approved disposal companies[66]. - The Group has implemented the "Cost With No Waste" initiative since 2016 to minimize unnecessary waste and its impact on the ecosystem[70]. - The Group continues to promote recycling and waste management by providing recycling bins and educating employees on the "Reduce, Reuse and Recycle" concept[69]. Market and Segment Performance - The medical devices segment's contribution to overall revenue increased from 14.1% in 2022 to 21.4% in 2023, reflecting a year-on-year growth of 75.2%[142]. - The semiconductor segment experienced a year-on-year revenue increase of 23.6%, with its contribution rising from 14.0% to 15.0% of total revenue[147]. - The electro-optical segment's revenue contribution declined significantly from 19.5% to approximately 9.5% due to subdued demand for consumer electronics and smartphones[149]. - The automotive segment accounted for 71.7% of ATE revenue, showing a year-on-year growth of 31.9%[200]. - The Group's wafer level burn-in tester for SiC and back-end assembly solutions for hybrid pack power modules significantly drove growth in the automotive segment[199]. - The Group's revenue from external customers in the ATE segment was MYR 452.3 million, a 7.5% increase from MYR 420.7 million in 2022[195]. - The FAS segment's revenue from external customers increased by 33.2%, reaching MYR 239.6 million in 2023[195]. Governance and Compliance - The Company has maintained high transparency and effective communication with shareholders, receiving no complaints regarding shareholder communication in 2023[4]. - The Group is required to report on ESG information annually, publishing the ESG report on its website and the Stock Exchange[92]. - The Group has complied with relevant laws and regulations that significantly impact its business and operations during the year[104]. - The Board has adopted a board diversity policy to enhance decision-making capabilities and overall effectiveness, reviewing its implementation annually[138]. - No significant transactions or contracts involving directors were reported, except as disclosed in the financial statements[108]. - None of the Directors had interests in any competing business during the year[112].

智通财经APP获悉，西牛证券发布研究报告称，维持槟杰科达(01665)“买入”评级，未来的订单亦为关注的重点之一。但削公司盈利预测约10%，同时下调目标价至1.18港元，以反映作为主要收入来源的汽车业务分部所遇到的不确定性。然而，医疗业务分部的能见度保持清晰，该行预计医疗业务分部将为集团本年的主要成长动力，部份抵销汽车业务分部增长放缓的影响。 事件：2023财年，槟杰科达实现约6.9亿元令吉总收入，同比增长15.2%，其净利润较去年同期上升约6.7%，与该行预期相乎。得益于医疗业务分部工厂自动化解决方案(FAS)的成长，第四季度毛利率提升到31.9%，带动全年毛利率及净利润率分别回升至30.3%及20.6%水平。 西牛证券主要观点如下： 医疗分部表现强劲 槟杰科达继续递交出相当理想的成绩，其中医疗业务分部的贡献尤为显著，重要客户订单的能见度保持清晰，成为集团的主要动力来源。根据集团的手头订单，医疗业务分部本年度有望维持强劲的成长。同时，基于主要客户最新的扩张计划，该行预计医疗业务分部有望于未来两年保持理想的成绩。其中部份主要客户的贡献仍然是该业务分部主要的收入来源，单用途医疗仪器的收入贡献将于第三工厂第一及第 ...

Investment Rating - The report assigns a "BUY" rating for Pentamaster (01665.HK) with a target price of HK$ 1.18, reflecting a potential upside from the current price of HK$ 0.82 [1][7]. Core Insights - The medical segment of Pentamaster has shown significant growth, with a year-on-year increase of 75.2% to MYR 148.2 million, contributing to a gross margin surge to 31.9% in Q4 [1]. - The overall revenue for FY 2023 reached MYR 691.9 million, marking a 15.2% growth, while the net profit increased by 6.7% [1][7]. - The automotive segment remains a key contributor, accounting for 47.6% of total revenue, although it has faced order delays impacting momentum [1][7]. - The report anticipates sustained robust performance in the medical segment for at least the next two years, driven by strong order visibility from key customers [1][7]. Financial Performance Summary - Revenue projections for the upcoming years are as follows: MYR 813.0 million in 2024, MYR 960.7 million in 2025, and MYR 1,047.5 million in 2026, indicating a growth trajectory [1][11]. - Gross profit is expected to increase from MYR 209.6 million in 2023 to MYR 336.8 million by 2026, with gross margins improving from 30.3% to 32.1% over the same period [1][11]. - Net profit is projected to grow from MYR 142.2 million in 2024 to MYR 225.2 million in 2026, reflecting a consistent upward trend [1][11]. Segment Analysis - The medical segment is highlighted as a primary driver for future growth, while the automotive segment is experiencing temporary setbacks due to market fluctuations [1][7]. - The semiconductor segment has shown stable growth, but the electro-optical segment is expected to remain weak due to stagnation in the smartphone market [1][7]. Operational Developments - The operational timeline for Campus 3 has been adjusted, with full operations expected to commence in Q1 2025, and production starting in Q3 2024 [1][7].

檳傑科達 | 01665.HK 評級 敖曉風, Brian, CFA | --- | --- | --- | --- | --- | --- | |------------------------------------------------------------------------------------------|----------------------|-------------------------------------------------------------------|--------------------------------------------------------|---------------------------------------------|----------------------------------| | | | | | | | | | 香港上環德輔道中 | 199 | 號無限極廣場 | 2701 – | 2703 室 | | 潤較去年同期上升約 6.7% ，與我們預期相乎。汽車業務分部繼續成為集團主要的貢獻業 | 檳傑科達 | ( ...

Financial Performance - The group's revenue for the fiscal year ended December 31, 2023, was RM 691.9 million, an increase of 15.2% compared to the previous year[2]. - The operating profit for the fiscal year was RM 143.1 million, compared to RM 136.5 million in the previous year, reflecting a growth of 4.8%[5]. - The net profit for the fiscal year was RM 142.2 million, an increase from RM 133.3 million in the previous year, representing a growth of 6.7%[5]. - Basic earnings per share for the fiscal year was RM 5.97, compared to RM 5.59 in the previous year, indicating an increase of 6.8%[5]. - The company reported a gross profit of RM 209.6 million for the fiscal year, compared to RM 185.5 million in the previous year, marking an increase of 13.0%[5]. - Other income for the fiscal year was RM 17.9 million, compared to RM 11.4 million in the previous year, reflecting a growth of 56.1%[5]. - Total revenue for the year ended December 31, 2023, was RM 691.85 million, an increase of 15.2% from RM 600.59 million in 2022[13]. - Gross profit for 2023 was RM 209.64 million, up from RM 185.45 million in 2022, reflecting a growth of 13.0%[13]. - Net profit for the year was RM 142.23 million, representing a 6.7% increase compared to RM 133.30 million in the previous year[13]. - Basic earnings per share increased to 5.97 sen in 2023 from 5.59 sen in 2022[13]. - The group recorded a net profit of MYR 142.2 million in 2023, up 6.7% from MYR 133.3 million in 2022, with EBITDA increasing by 10.7% to MYR 158.7 million[134]. Cash and Liquidity - Cash and cash equivalents as of December 31, 2023, amounted to RM 395.8 million, up from RM 328.6 million the previous year[3]. - Cash and cash equivalents increased to RM 395.80 million in 2023 from RM 328.63 million in 2022, a rise of 20.4%[18]. - The net cash generated from operating activities increased to 216,751 thousand MYR in 2023, up from 59,947 thousand MYR in 2022, representing a significant growth[43]. - The group's cash and cash equivalents increased by 20.4% to MYR 395.8 million as of December 31, 2023, compared to MYR 328.6 million in 2022[136]. - The company has no bank borrowings as of December 31, 2023, maintaining a robust working capital of MYR 502.9 million[136]. Equity and Liabilities - Total equity as of December 31, 2023, was RM 847.97 million, up from RM 736.71 million the previous year[7]. - Total liabilities increased to RM 311.07 million from RM 264.95 million in the previous year[7]. - The company’s total liabilities decreased to 27,557 thousand MYR in 2023 from 26,904 thousand MYR in 2022, indicating improved financial stability[44]. - The company recorded a contract liability of 137.9 million MYR from manufacturing order deposits, up from 100.6 million MYR in 2022[109]. Market Segments and Growth - Revenue from external customers in the automation testing equipment segment was RM 452.25 million, while the factory automation solutions segment generated RM 239.60 million[34]. - The automotive sector generated revenue of 329.39 million Malaysian Ringgit, accounting for 47.6% of total revenue, up from 42.4% in 2022[163]. - The medical instruments segment saw revenue increase to 148.20 million Malaysian Ringgit, representing 21.4% of total revenue, compared to 14.1% in the previous year[163]. - The automotive segment within the ATE division saw a significant contribution of 71.7%, growing by 31.9% year-on-year[141]. - The medical instruments sector experienced an astonishing year-on-year growth of 98.7%, contributing 61.9% to the FAS division's revenue in 2023[129]. - The semiconductor division's revenue grew by 17.4% in 2023, contributing 21.7% to the ATE division's overall performance[142]. - The company’s semiconductor division experienced double-digit revenue growth despite overall challenges in the technology sector in 2023[104]. - The company anticipates strong growth in the medical instruments segment in 2024, driven by automation in medical manufacturing[139]. Investments and Future Plans - The company plans to continue expanding its market presence and investing in new product development to drive future growth[12]. - The company plans to complete the construction of its third factory by Q1 2025, with the first two phases covering approximately 720,000 square feet currently underway[150]. - The company is actively pursuing CE mark registration for its IVC product, with plans to complete this by the end of 2024, facilitating entry into European and Middle Eastern markets[159]. - The company has strategically invested in medical technology, focusing on automation and single-use medical device design and manufacturing[121]. - The establishment of a new international business office in Germany in March 2023 aims to enhance operations in Europe, particularly in the automotive and medical technology sectors[122]. Dividends - The board proposed a final dividend of HKD 0.02 per share, subject to shareholder approval at the upcoming annual general meeting[14]. - The company declared a proposed final dividend of 0.02 HKD per ordinary share for both 2023 and 2022, with total dividends for 2023 amounting to 27,557 thousand MYR[66]. - The company has proposed a final dividend of HKD 0.02 per share for the fiscal year ending December 31, 2023, consistent with the previous year[153]. Operational Efficiency - The overall gross margin for 2023 was 30.3%, slightly down from 30.9% in 2022, maintaining over 30% gross margin for six consecutive years since the company's listing[130]. - The group's administrative expenses increased from MYR 55.1 million in 2022 to MYR 76.2 million in 2023, a rise of MYR 21.1 million, primarily due to foreign exchange losses of MYR 18.6 million compared to MYR 8.4 million in 2022[133]. - The company achieved a revenue of 691.9 million MYR for the fiscal year 2023, a 15.2% increase from 600.6 million MYR in 2022[115]. - The company recognized government grants totaling 725 thousand MYR in 2023, an increase from 479 thousand MYR in 2022[61]. Challenges and Risks - The company incurred a foreign exchange loss of 18,613 thousand MYR in 2023, compared to a gain of 756 thousand MYR in 2022, indicating a substantial negative shift[80]. - The electronic optics segment's contribution decreased from 19.5% to 9.5% due to weak demand in the consumer electronics and smartphone markets[172]. - The smartphone shipment volume in 2023 was 1.14 billion units, a decline of 4.0% compared to 2022, impacting the electronic optics segment[172].

Financial Performance - The group's revenue for the nine months ended September 30, 2023, was 522.8 million MYR, representing a 15.4% increase compared to the same period last year[11]. - The gross profit for the same period was 155.7 million MYR, up from 140.3 million MYR, indicating a strong performance despite challenging macroeconomic conditions[23]. - The net profit attributable to the company's owners for the nine months was approximately 108.4 million MYR, an increase of about 12.0% year-on-year[23]. - The company reported a net profit of 108,375 thousand MYR for the nine months ended September 30, 2023, compared to 96,727 thousand MYR for the same period in 2022, an increase of 12.8%[29]. - EBITDA for the same period was 122.6 million MYR, up 18.7% from 103.3 million MYR year-on-year[53]. - The group’s operating profit before tax increased to RM 110.9 million from RM 97.2 million year-on-year[50]. Cash and Liquidity - The cash and cash equivalents as of September 30, 2023, stood at 430.7 million MYR, compared to 328.6 million MYR as of December 31, 2022[12]. - Cash generated from operating activities amounted to RM 217.2 million, significantly up from RM 25.1 million in the previous year[50]. - Cash and cash equivalents increased by 100.1 million MYR for the nine months ended September 30, 2023, compared to a decrease of 37.4 million MYR in the same period last year[51]. - The company recorded bank interest income of 6.9 million MYR for the period, up from 3.3 million MYR in the previous year[58]. Assets and Liabilities - Total assets increased to 1,164,482 thousand MYR as of September 30, 2023, compared to 1,001,661 thousand MYR as of December 31, 2022, representing a growth of 16.2%[26][27]. - Total liabilities rose to 346,406 thousand MYR from 264,948 thousand MYR, indicating a growth of 30.7%[27]. - Total equity increased to 818,076 thousand MYR from 736,713 thousand MYR, a growth of 11.1%[27]. - Non-current assets rose to 309,403 thousand MYR, up from 230,183 thousand MYR, marking an increase of 34.3%[26][27]. - Current assets reached 855,079 thousand MYR, compared to 771,478 thousand MYR, reflecting an increase of 10.8%[26][27]. - Trade receivables decreased to 206,469 thousand MYR from 237,926 thousand MYR, a decline of 13.3%[26][27]. - Inventory increased to 181,774 thousand MYR from 170,934 thousand MYR, reflecting a growth of 6.3%[26][27]. Segment Performance - The automation testing equipment segment generated RM 358.7 million in revenue, a 9.8% increase compared to the previous year, with the automotive sector contributing approximately 74.4% of this segment's revenue[42]. - The semiconductor segment accounted for 18.8% of total revenue, down from 21.4% year-on-year, while the optoelectronics segment's contribution decreased to 6.6% from 20.1%[43]. - The factory automation solutions segment achieved record quarterly revenue of RM 88.3 million, with a 192.0% quarter-on-quarter growth, and total revenue of RM 176.8 million for the nine months, reflecting a 36.9% increase year-on-year[45]. - The medical instruments segment contributed 59.8% to the factory automation solutions revenue, up from 32.5% in the previous year, with an absolute revenue growth of over 100.0%[45]. - The automotive segment's strong performance is attributed to comprehensive testing and assembly solutions across major markets including the US, China, Japan, and Europe[42]. - The group anticipates continued growth in the automation solutions segment driven by increased adoption across various industries[45]. - The group expects the semiconductor segment to remain stable in the coming quarters despite current industry slowdowns[43]. Operational Developments - The company is on track with the construction of a new manufacturing facility, with the first phase expected to be completed by the end of the year, enhancing its manufacturing capacity[6]. - The growth strategy remains focused on product and segment diversification as well as geographical expansion[6]. - The company plans to expand its product portfolio and invest in new product development to ensure long-term business sustainability[57]. Expenses and Profitability - The administrative expenses for the period included a foreign exchange loss of 6.2 million MYR, compared to a loss of 20.3 million MYR in the same period last year[4]. - Administrative expenses decreased to 46.7 million MYR from 49.5 million MYR year-on-year, primarily due to reduced foreign exchange fluctuations[60]. - The gross profit margin for Q3 2023 was 30.5%, down from 31.4% in Q3 2022, while the gross profit margin for the nine months ended September 30, 2023, was 29.8%, compared to 31.0% in the previous year[57].