HIGH flying ACE-Market listed Genetec Technology Bhd has posted an almost 2,000% surge in its 3Q FY3/2022 net profit to RM18.28 mil from RM889,000 in the corresponding period a year ago. Its latest net profit was a 12% increase from RM16.31 mil recorded in its 2Q FY3/2022.
Revenue during the period under review edged up 98.3% to RM65.26 mil from RM32.91 mil a year ago. On a quarter-on-quarter (qoq) basis, its revenue was 10% higher from RM59.31 mil in 2Q FY3/2022.
Earnings per share stood at 34.53 sen (fully diluted) in 3Q FY3/2022 compared with EPS of 2.06 sen in 3Q FY3/2021.
For the nine-month period, Genetec’s net profit shot up 2,870% to RM42.77 mil from 1.44 mil in 9M FY3/2021 while its revenue almost doubled to RM164.85 mil (9M F3/2022: RM84.01 mil).
On Jan 11, the intelligent manufacturing-cum-automation solution provider completed its one-for-12 bonus issue exercise entailing the quotation of 629.5 million bonus shares which was intended to encourage greater local retail participation.
“Looking ahead, we continue to build on our electric vehicle (EV) and energy storage division and expect it to remain a significant and growing contributor to our overall performance,” the company pointed out in a media statement.
“This growth will be driven by regional and worldwide demand as countries and businesses step up their efforts towards achieving the zero-emissions target set for 2050.
“Industries immediately impacting our business are those in transport and energy – both retail and industrial – as everything from day-to-day energy needs for both retail and commercial, heavy industry vehicles and machinery, public transport to e-scooters turn electric.”
According to the Economic Intelligence’s Automotive in 2022 research report, prospects for the global sales of new EVs will continue to soar – rising by 51% – with Asia and North America leading the recovery.
This shift is also well-supported by the growing number of policies to incentivise greater efforts towards renewable energy vehicles and generation. On a corresponding topic, Nasdaq expects energy storage to potentially emerge as the hottest market of 2022 as the trends advance over the course of the year.
Moving forward, Genetec is cautiously optimistic that the knock-on effect of technology adoption is the demand for storage, data, and intelligence which will drive the potential of the global hard disk drive (HDD) market.
It expects growth for the segment to continue by 5.11% for the period of 2021 to 2026 due to data storage requirements, the booming laptop market and digitalisation.
At the close of today’s trading, Genetec was up 28 sen or 10.94% to RM2.84 with 13.7 million shares traded, thus valuing the company at RM1.94 bil. – Jan 26, 2022
