KUALA LUMPUR: JF Technology Bhd's outlook remains bright as the global semiconductor industry is expected to continue to be vibrant, managing director Datuk Foong Wei Kuong said.
The company's optimism also follows its best-ever quarterly top and bottom-line performance in the first quarter ended September 30 2020.
Foong said the imminent deployment of the game-changing 5G globally would create a paradigm shift through the developments of artificial intelligence, autonomous driving, healthcare advancement, amongst others,
"This will lead to a huge wave of demand for the next generation of semiconductors. This is also a great opportunity for JF Tech and Malaysia to move up the semiconductor value chain and in turn, create high-value jobs for Malaysians," he said in a statement after concluding its virtual 14th annual general meeting (AGM) and extraordinary general meeting (EGM) today.
Foong said the group's focus would be on the execution of its growth drivers in particularly the new 5G-ready products.
"We expect the sales pace to pick up. JF Tech will continue to grow our intellectual property, which is one of our key differentiators. The group has filed 63 patents in various countries, 16 of which are for 5G testing applications," he said.
JF Tech's net profit surged 121.5 per cent year-on-year to RM4.0 million in the first quarter, which is already 50 per cent of our historic-high financial year ended June 30 2020 (FY2020) net profit.
"We closed FY2020 on a high note by registering a record-breaking annual revenue and net profit against the backdrop of a challenging business environment.
"Furthermore, we are pleased to have kept up the positive momentum by posting our best-ever quarterly top and bottom-line performance in the first quarter of the new fiscal year," Foong said.
He said the company was considering transferring its listing to Bursa Malaysia's Main Market next year.
"All in all, we are excited by what is ahead of us. With our in-depth technical expertise and established track record, we are confident about the execution of our plan," he added.
JF Tech is the innovator and manufacturer of high-performance test contacting solutions for global integrated circuit (IC) makers.
At the AGM and EGM, shareholders approved the proposed bonus issue of shares with free warrants, on the basis of three bonus shares together with two free warrants for every existing ordinary shares held.
The entitlement date for the bonus issue of shares with free warrants will be announced at a later date and is expected to be completed in the first quarter of 2021.
As for dividend payout, the group had paid a total dividend of 1.5 sen per share in September for the year ended June 30 2020, a three-fold increase from 0.5 sen per share in FY19.