Business Expansion and Investments - Kinergy Corporation Ltd. plans to establish a manufacturing facility in Malaysia, expected to commence operations in the second half of 2023[5]. - The company has acquired a factory in Malacca, Malaysia, to support its electronic manufacturing services[37]. - The company plans to invest approximately 10.0 million Malaysian Ringgit (3.3 million Singapore Dollars) to expand its business into Malaysia, aiming to reduce geopolitical risks[82]. - The company has increased its investment in Vision System by acquiring a 49% stake in a group providing precision agricultural equipment[39]. - The company agreed to acquire approximately 49.0% equity in Continuumm Technologies for a cash consideration of 2,113,725 Singapore Dollars, completed on March 21, 2022[83]. - The company agreed to invest approximately 4,155,000 Singapore Dollars (equivalent to 20,000,000 RMB) for a 2.0% stake in Shenzhen Jiecheng Nickel Cobalt New Energy Technology Co., Ltd.[84]. Financial Performance - The company's revenue for the year ended December 31, 2022, was SGD 124.2 million, a decrease of 26.2% compared to SGD 168.3 million for the year ended December 31, 2021[40]. - The net profit after tax for the year ended December 31, 2022, was SGD 7.3 million, down from SGD 12.6 million for the year ended December 31, 2021[40]. - Earnings per share for the year ended December 31, 2022, was SGD 0.50, compared to SGD 1.32 for the year ended December 31, 2021[40]. - The gross profit decreased by approximately 32.7% to SGD 19.0 million, with the gross margin dropping to 15.3% from 16.8% in the previous year[55]. - The electronic manufacturing services segment's revenue declined by about 31.0% to SGD 109.2 million, while the original design manufacturing segment saw a significant increase of approximately 67.9% to SGD 11.9 million[53]. - Other income and gains increased by approximately SGD 2.3 million or 49.5% to about SGD 6.9 million for the year ended December 31, 2022, primarily due to net fair value gains on investment securities[56]. Operational Strategies and Challenges - The investment division faced significant operational restrictions due to COVID-19 lockdowns in China, impacting its plans to establish new funds in 2022[16]. - The company is closely monitoring the semiconductor processing equipment market for potential oversupply in the next 5 to 7 years[42]. - The geopolitical tensions and economic uncertainties are impacting the company's operational strategies and supply chain management[46]. - The company is focusing on enhancing manufacturing capabilities and developing the semiconductor front-end business, with plans to establish facilities in Malaysia by the second half of 2023[52]. Corporate Governance - The company reported a commitment to good corporate governance practices, ensuring transparency and accountability to shareholders[163]. - The board consists of ten members, including five executive directors and four independent non-executive directors, ensuring a diverse range of expertise[166]. - The company adhered to all provisions of the corporate governance code applicable for the year ended December 31, 2022[163]. - The board is responsible for strategic direction and oversight, including monitoring significant transactions and approving financial performance[169]. - The company has implemented a code of conduct for directors and employees to ensure compliance with securities trading standards[164]. - The independent non-executive directors confirmed their independence according to the listing rules, with one possessing relevant professional qualifications[167]. Management and Workforce - The company has a strong management team with over 25 years of accounting experience, ensuring financial oversight and strategic direction[138]. - The company employed 758 staff, with employee benefit expenses amounting to approximately 28.1 million Singapore Dollars for the year[93]. - The supply chain and procurement director has over 24 years of experience in procurement, enhancing operational efficiency and cost management[140]. - The manufacturing director has over 30 years of management experience, with a focus on semiconductor industry operations[143]. Future Outlook and Innovations - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 12%[116]. - New product launches are expected to contribute an additional $50 million in revenue over the next year[116]. - The company is investing $30 million in research and development for new technologies in the semiconductor sector[116]. - The company aims to improve operational efficiency, targeting a 5% reduction in costs by the end of the fiscal year[116]. - The company is considering strategic acquisitions to enhance its product offerings and market presence[116]. Quality Management and Sustainability - The company emphasizes providing cost-effective and timely delivery of high-quality products through continuous improvement and resource investment[17]. - The quality management initiatives have led to recognition in the form of national quality awards, showcasing the company's commitment to excellence[148]. - The board of directors emphasized the importance of sustainability initiatives in future business strategies[116].
精技集团(03302) - 2022 - 年度财报