Serial System posts 3% growth in Q2 profit

SERIAL System Ltd posted a 3 per cent growth in net profit for the second quarter ended June 30 to US$3.37 million.

Revenue dipped one per cent to US$373.93 million but this was offset by lower costs.

For the first six months, Serial System swung into a net profit of US$6.1 million from a net loss of US$3.3 million for the same period last year as profit margins rose and losses from associate companies narrowed.

Despite keen competition, the group expects to remain profitable in fiscal 2017 as global semiconductor sales worldwide could reach a new high this year, said group executive chairman and CEO Derek Goh.

As part of its efforts to deepen its presence in Hong Kong and China, Serial System said in June that it plans to spin off its Hong Kong electronic components entity - 91 per cent-owned Serial Microelectronics (HK) Limited - through a listing on the mainboard of the Hong Kong stock exchange.

Last month, the group also appointed Teo Ser Luck as its non-executive, independent deputy chairman. Mr Teo had stepped down as minister of state for manpower on June 30 and as mayor for North East District when his term ended on May 26; he remains a member of Parliament for Pasir Ris-Punggol GRC.