ACE-Market bound Greatech posts 1Q net profit of RM12.55m

News 2019-06-11

KUALA LUMPUR (June 10): ACE-Market bound Greatech Technology Bhd posted a net profit of RM12.55 million for its first quarter ended March 31, 2019 (1QFY19), on a revenue of RM58.73 million.

Its earnings per share came in at 2.48 sen, the company announced in a stock exchange filing today.

The group said its net profit included other income, such as realised gain on foreign exchange amounting to RM0.64 million due to the stronger US dollar against the local note, as well as the reversal of an impairment loss on trade receivables worth RM0.52 million due to the application of the Malaysian Financial Reporting Standards 9 (MFRS 9).

It noted that administrative and marketing expenses during the quarter included employee benefits and initial public offering (IPO)-related expenses, amounting to RM1.22 million.

In a statement, the industrial automation solutions provider said the quarter, which closed on a positive note, sets the pace for the remainder of the financial year.

“We are satisfied with our first quarter results and remain optimistic to deliver positive performance for the financial year 2019.

With the Initial Public Offering (IPO) proceeds of RM73.05 million coming on-stream, we are equipped and committed to go full steam ahead to execute our growth plans," said the company's group chief executive officer EK Tan.

"Industrial automation will continue to evolve and remain relevant, pushing boundaries and adopting new technologies to redefine manufacturing. The IPO will provide us with the platform and resources needed to realize our vision of being a notable Malaysian player in the industrial automation segment,” he added.

The group previously announced that the balloting portion of 18.78 million shares opened to the Malaysian public was oversubscribed by 9.41 times.

Greatech will be listed with a market capitalisation of RM381.86 million on June 13. Alliance Investment Bank Bhd is the principal adviser, sponsor, underwriter and placement agent for Greatech’s IPO.

The Edge Markets
https://www.theedgemarkets.com/article/acemarket-bound-greatech-posts-1q-net-profit-rm1255m