KUALA LUMPUR: Test equipment maker Pentamaster Corp Bhd is ramping up production, amid strong demand from customers in the telecommunication sector after posting a weaker second quarter results.
The company, in a filing with Bursa Malaysia today, said its performance in the three-month ended June 30 was affected by the global supply chain disruption due to the Covid-19 pandemic.
Net profit in the latest quarter declined 13% to RM17mil, as revenue fell 14.6% to RM103mil.
Pentamaster said logistic and travelling restrictions imposed by countries worldwide in the second quarter has led to operation disruptions for the Group that has essentially delayed its projects delivery timeline.
“This has impacted the Group’s financial and operating results given the Group’s business nature and its accounting treatment,” it said.
But as restrictions started to ease significantly since June, the company is making good progress across its business operations.
“The group is expected to stage a positive second half 2020 recovery,” it said. “Currently, the Group is now back to its current 100% workforce run-rate with an aggressive production ramp up.”
Against the pervasive uncertainty for the rest of the year, Pentamaster continues to see several growth catalysts driving its business momentum.
“The demand level from customers within the telecommunications sector remains robust owing to the Group’s broadening exposure in the optoelectronics ecosystem and 3D sensing technology,” it said.
Meanwhile, the Group’s automotive segment portfolio has broadened with product diversification to cater for the fast-growing electric vehicle industry.
Pentamaster is also expanding its foothold in the medical devices segment, post-acquisition of TP Concept Sdn. Bhd, a company which is involved in the designing and manufacturing of single-use medical devices.
Source From : The Star