Manufacturer Grand Venture Technology has reported higher revenue of $131.1 million for FY2022, up 12.8% over the preceding year ended Dec 2021.
However, due to one-off costs incurred because of recent acquisitions, as well as unfavourable forex and other costs, earnings for the same FY2022 was $13.3 million, down from $17.6 million reported for the preceding FY2021.
At the operating level, GVT was able to largely maintain its Ebitda at $29.9 million for FY2022, versus $31.4 million reported for FY2021.
The company plans to pay a final dividend of 0.3 cents per share, bringing full year payout to 0.6 cents.
"FY22 began on an optimistic note, but the positive sentiments were gradually eroded by the war in Ukraine, US-China tensions and inflationary concerns," says executive deputy chairman Ricky Lee.
"Demand from the back-end semiconductor sector was affected," he adds, referring to the company's fast-growing segment that faced a slowdown since the middle of 2022.
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On the other hand, GVT was able to lean on growth from its other business segments ranging from life sciences to electronics, to aerospace and medical industries, which, when combined, help to somewhat offset the "relatively subdued" semiconductor sector.
Despite the 12.2% dip in revenue from the semiconductor segment to $72.6 million, GVT maintains its optimism for this industry for the mid to long term.
"With the onboarding of new front-end semiconductor business, capacity utilisation improvements are expected to follow in the later part of this year," the company says.
GVT shares closed Feb 20 at 52 cents, down 0.95%.
