Continue reading this on our app for a better experience

Open in App
Home Capital Results

UMS reports 3QFY2021 earnings of $15.1 mil, up 17% y-o-y, plans to double capex

The Edge Singapore
The Edge Singapore • 2 min read
UMS reports 3QFY2021 earnings of $15.1 mil, up 17% y-o-y, plans to double capex
UMS plans to pay an interim dividend of one cent per share, double that paid this time last year.
Font Resizer
Share to Whatsapp
Share to Facebook
Share to LinkedIn
Scroll to top
Follow us on Facebook and join our Telegram channel for the latest updates.

UMS Holdings has reported earnings of $15.1 million for 3QFY2021, up 17% y-o-y. Revenue in the same period was up 50% to $67.6 million.

For the nine months, earnings shot up by 43% y-o-y to $50.4 million to a record while revenue was up 53% y-o-y to $184 million.

The company attributes the record numbers to sustained strong growth in the global semiconductor industry and also from the consolidation of JEP Holdings, a separately listed firm which UMS controls.


See: 'Plenty to look forward to' in semicon industry: Maybank KE

UMS plans to pay an interim dividend of one cent per share, double that paid this time last year.

To date, UMS has paid three cents and also given out a bonus share for each four shares owned.

See also: Internalisation costs rise to $8.9 million for Sabana REIT, DPU falls 16.8% y-o-y

“We benefitted from the acceleration of global chip demand and the sustained strong growth in capex investments by global foundries in all our key markets,” says chairman and CEO Andy Luong.

“Our growth is also a testament to the Group’s timely diversification and acquisition of JEP as well as the effectiveness of our team in managing production challenges brought about by tighter national COVID 19 measures imposed to safeguard public health and well-being,” he adds.

Luong expects the “powerful momentum”, driven by the explosion in global chip demand in the past months will spur the semiconductor market to substantial growth for the full year 2021 and beyond.

See also: Hutchison Port Holdings Trust reports DPU of 5 HK cents, higher earnings for 1HFY2024

Industry association SEMI is forecasting global fab equipment spending to hit another record high next year, with total investments for front end fabs to hit nearly US$100 billion for 2022, up from US$90 billion seen spent in 2021.

For more stories about where the money flows, click here for our Capital section

To capture the boom, UMS plans to double its capex in FY2022 to increase its production capacity.

“Barring any unforeseen circumstances, the group's growth prospects ahead remain bright,” states UMS.

On Nov 12, UMS shares closed at $1.38 up 5.34% for the day and up 50% year to date.

×
Loading next article...
The Edge Singapore
Download The Edge Singapore App
Google playApple store play
Keep updated
Follow our social media
© 2024 The Edge Publishing Pte Ltd. All rights reserved.