[SINGAPORE] Manufacturing-service provider Grand Venture Technology (GVT) on Tuesday (Jun 3) posted a first-quarter net profit after tax of S$2.6 million for the three months ended Mar 31, up 27.7 per cent from S$2 million a year ago.
Earnings before interest, tax, depreciation and amortisation (Ebitda) grew as well, by 29 per cent to S$8.4 million, from S$6.5 million previously, said the company in a business update.
Revenue for the first-quarter period rose 44.8 per cent to S$44.6 million, from S$30.8 million in the year-ago period.
These improvements were driven by continued “wallet share expansion” with the company’s key customers, it said in the bourse filing. Wallet share refers to the amount a customer spends regularly on one brand, over buying from a competitor.
By segment, revenue from the company’s semiconductor business rose 57.3 per cent to S$25.6 million for the quarter, compared to S$15.7 million in the previous corresponding period.
The robust growth was driven by higher year-on-year demand for the company’s test equipment-related products, including high bandwidth memory testers.
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The company’s front-end semiconductor customers also made “progressive contributions”, which contributed to its expanded revenue base.
The revenue of its life sciences segment grew by 28 per cent in the first quarter to S$6.3 million, from S$5 million previously.
GVT said it benefited from customers shifting more of its products to Asia. It also benefited from contributions from a newly-onboarded customer in the automated sample preparation equipment space.
Lastly, revenue from its electronics, aerospace, medical and others segments gained 25.8 per cent to S$12.7 million, from S$10.1 million before.
This included a S$3.1 million contribution from its new subsidiary, ACP Metal Finishing, which offset the weakness in electronics.
On Monday, shares of GVT soared 11.9 per cent or S$0.10 higher than its closing price of S$0.84 on Friday. This was after the company said it would pause its proposed secondary listing in Malaysia over a possible transaction which could lead to an offer of its shares.
Shares of GVT closed flat at S$0.925 on Tuesday, before the announcement.
