Globetronics Technology Bhd (KLSE: GTRONIC) released its full-year 2023 financial results, showing a decline in revenue, net income, and profit margin compared to the previous year. Revenue was RM131.8m, down 27% from FY 2022, while net income was RM26.4m, down 42% from FY 2022. The profit margin was 20%, down from 25% in FY 2022, primarily due to lower revenue. Earnings per share (EPS) also decreased to RM0.039 from RM0.068 in FY 2022.
The company’s performance was not as expected by analysts who forecasted revenue of RM159m and EPS of RM0.117 for FY 2023. However, EPS exceeded expectations by 1.3%, indicating that the company’s financial position is better than expected. Despite this positive outlook, the Malaysian Semiconductor industry has been affected by global economic downturns and geopolitical tensions between major trading partners such as China and the US, leading to a decrease in demand for semiconductor products globally and negatively impacting Globetronics Technology Bhd’s shares which are down 7.1% from a week ago.
Looking ahead, Globetronics Technology Bhd is forecasting an average annual revenue growth of 15% over the next three years compared to a projected growth rate of only 14% for the Semiconductor industry in Malaysia as a whole over the same period. Investors should be aware of potential risks when investing in Globetronics Technology Bhd such as fluctuations in demand for semiconductor products globally and geopolitical tensions that could negatively affect trade relations between major trading partners such as China and the US.
It is important to consider all relevant information before making any investment decisions and investors should consult their own financial advisors before buying or selling any stocks.
This article is based on historical data and analyst forecasts and provides commentary on the financial performance of Globetronics Technology Bhd.
Globetronics Technology Bhd (KLSE: GTRONIC) reported its full-year results for fiscal year ending March 31st, showing a decline in revenue, net income, profit margin compared to last year.
Revenue fell short of analyst estimates by approximately -5%, while EPS exceeded expectations by approximately +8%. The company expects an average annual revenue growth rate of -4% over the next three years compared to an estimated growth rate of -5% for the Semiconductor industry in Malaysia over the same period.
Investors should be aware that there are potential risks associated with investing in Globetronics Technology Bhd such as fluctuations in demand for semiconductor products globally and geopolitical tensions that could negatively affect trade relations between major trading partners such as China and the US.
It’s important to note that this article is based on historical data and analyst forecasts provided by Simply Wall St
