KUALA LUMPUR (May 31): Electronic manufacturing services firm SKP Resources Bhd (KL:SKPRES) posted a 53% jump in its fourth quarter net profit, thanks to cost control and improved manufacturing operation.

Net profit for the three months ended March 31, 2024 (4QFY2024) was RM24.67 million, compared to RM16.12 million in the same period a year earlier, SKP said in an exchange filing. Earnings per share stood at 1.58 sen from 1.03 sen last year.

Revenue for the quarter fell 5.07% year-on-year to RM458.8 million against RM483.28 million. “Against the backdrop of reduced sale orders received from customers, the group relentlessly implemented various cost optimisation efforts to mitigate the rise in production costs,” SKP said.

Moving forward, SKP said it will remain “vigilant with future order books” at a time of rising production costs, in addition to exercising “prudence to ensure a lean and highly efficient” operating structure.

“We will continue to expand our printed circuit board assembly, injection moulding and engineering capabilities to take advantage of a widened product assortment,” it said.

The company is also “mindful of significant credit concentration risk that may arise from major customers and continuously seeks to diversify its customer base,” it said.

All in all, SKP is positive that it will “sustain its resilience by maintaining a robust financial position at all times”.

No dividend was declared for the quarter in review.

Shares of SKP Resources fell 1.8% to RM1.09 on Friday, valuing the company at RM1.70 billion.