KUALA LUMPUR (Feb 22): Semiconductor services firm Pentamaster Corporation Bhd reported on Thursday a 8.97% decline in its fourth-quarter net profit from a year earlier, dragged by its mainstay automated test equipment segment.

Net profit for the quarter ended Dec 31, 2023 (4QFY2023) was down to RM20.7 million or 2.91 sen per share, from RM22.73 million or 3.20 sen per share a year earlier, an exchange filing showed. Revenue for the quarter, however, rose 14.46% year-on-year to RM169.01 million, from RM147.66 million in 4QFY2022, thanks largely to its factory automation business.

The medical devices segment, which currently commands the largest share of the group’s current order book, will “continue its strong growth momentum in 2024, primarily propelled by the widespread adoption of automation in medical manufacturing,” Pentamaster said.

Meanwhile, Taiwan and Japan are the next promising countries set for growth, due to automotive electrification, which would further contribute to revenue of its automotive business, the company said.

For the quarter under review, revenue from its automated test equipment segment dropped 2.9% to RM94 million in 4QFY2023, versus RM96.8 million in 4QFY2022, mainly due to lower sales and higher net loss on foreign exchange.

Revenue from the factory automation registered a 47.2% growth to RM78.7 million in 4QFY2023, from RM53.5 million in 4QFY2022, thanks to contributions from its medical devices segment.

Pentamaster is recommending a final dividend of two sen per share for the year ended 2023 (FY2023).

For the full year, Pentamaster’s net profit rose 8.14% to RM89.13 million or 12.53 sen per share, from RM82.42 million or 11.58 sen per share in FY2022. Full year revenue increased 15.21% to RM691.94 million, from RM600.59 million in the preceding year’s corresponding period. 

Pentamaster’s shares gained 19 sen or 4.37% to close at RM4.54 on Thursday, ahead of the results announcement, translating into a market capitalisation of RM3.23 billion.