LIFTED by higher sales, electronics components distributor Serial System's net profit for the second quarter ended June 30, 2014, surged 36 per cent year on year to US$5.01 million.

Revenue climbed 28 per cent to US$262.92 million, boosted partly by higher turnover from North Asia while earnings per share increased to 0.55 US cent from 0.41 US cent previously. Gross profit margin fell to 8.6 per cent during the quarter under review, down from 9.2 per cent in Q213 as the group's Greater China and Singapore subsidiaries saw higher sales volumes of lower margin products. However, gross profit increased 19 per cent to US$22.58 million.

For H1 2014, net profit was 35 per cent higher at US$7.12 million while revenue grew 26 per cent to US$475.28 million. The group said it is on track to hit its revenue target of US$1 billion by end financial year, which would translate to topline growth of around 22 per cent. It stressed that it remains focused on its three-pronged strategy to "increase revenue, deepen its value proposition and improve internal efficiencies and margins".