Valuetronics posts higher profit of HK$204.73 million for FY2018

VALUETRONICS saw its full year net profit rise by about a third to HK$204.73 million (S$35.05 million) for the year ended March 31, 2018.

Revenue rose 25.4 per cent year on year to HK$2.85 billion on the back of higher revenue from both its industrial and commercial electronics and consumer electronics segments.

Gross profit correspondingly increased by 21.3 per cent to HK$414.6 million in FY2018, with a slight 0.5 percentage point dip in gross profit margin to 14.5 per cent due to a change in sales mix.

Earnings per share for the year rose to 48.1 HK cents from 36.8 HK cents previously.

The board is recommending a final dividend of 15 HK cents per share and a special dividend of five HK cents per share for FY2018.

Valuetronics said: "Like most manufacturers with global sales, we are operating in an uncertain macro-economic environment caused by geo-political and trade tensions. The group continues to see supply chain challenges, such as rising raw material prices and extended procurement lead times. The group will continue to navigate the dynamic macro environment by focusing on operational improvements and working proactively with customers."

Nonetheless, it expects to remain profitable in FY2019.