CSE Global has reported earnings of $15 million for the 1HFY2024 ended June, 36.4% higher y-o-y.
The higher earnings stemmed from increases in the group’s revenue and net profit. Revenue for the period rose by 22.8% y-o-y $428.9 million mainly due to growth across all of the group’s business segments and geographical regions. The group’s electrification segment rose by 32.4% y-o-y to $216.7 million while its communications segment was up by 6.1% y-o-y to $113.6 million. Its automation segment revenue rose by 25.5% y-o-y to $98.6 million.
By geography, all of CSE Global 544 ’s markets registered y-o-y growths as well. This was led by the Americas followed by Asia Pacific (APAC) and Europe, Middle East and Africa (EMEA).
Gross profit rose by 23.6% y-o-y to $118.4 million due to the same reasons.
Ebitda for the period was up by 24.1% y-o-y to $38.3 million mainly due to higher gross profits offset by higher operating costs excluding depreciation and amortisation expenses.
Gross profit margin inched up by 0.2 percentage points y-o-y to 27.6%.
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Earnings per share (EPS) stood at 2.31 cents on a diluted basis.
An interim dividend of 1.25 cents per share was declared for the period, unchanged y-o-y. The dividend will be paid on Sept 27.
“Amidst the ongoing macroeconomic uncertainties, CSE delivered a robust set of results for 1HFY2024, with strong revenue and net profit growth, generated strong cash inflow from operating activities, and an annualised return on equity of 11.8%,” says Lim Boon Kheng, CSE’s group managing director and CEO.
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“We expect new opportunities to arise from emerging trends such as urbanisation, electrification and decarbonisation. To leverage these new opportunities for further growth, we will continue expanding our engineering capabilities and technology solutions, with a focus on the electrification and communications business segments,” he adds.
Following the July 31 acquisition of RFC Wireless Inc., Lim notes that strategic acquisitions will remain part of CSE Global’s growth plans as it looks to capture more market share in the markets it is in.
The company’s order book remains robust at $692.3 million as at June 30.
As at 9.38am, shares in CSE Global are trading flat at 45 cents.
