Industrial automation firm ISDN Holdings has reported record FY2021 revenue of $440 million for the year ended December 2021, with a full year profit of $25.4 million.

This represents a 22% y-o-y growth in revenue, and a 68% jump in earnings.

The company also recorded a 14.5% y-o-y rise in 2HFY2021 revenue, from $194.6 million to $222.9 million. Despite gross profit margins remaining flat at 27%, earnings for 2HFY2021 increased 139.2% to $13.3 million.

In light of the results, ISDN plans to give a final dividend of 1.45 cents per share, with its cash and bank balances standing at $61.7 million as at Dec 31, 2021.

In its earnings release, ISDN says this represented strong demand across its key geographies in China and Southeast Asia, including Hong Kong, Malaysia and Vietnam.

See also: <a class='gtm_see_also_1_inread' style='text-decoration: underline;' href='/capital/results/ntuc-income-reports-premium-growth-fy2021-lower-net-operating-surplus-fair-value?utm_source=website&utm_medium=article&utm_campaign=ONPAGESEO'>NTUC Income reports premium growth for FY2021 but lower net operating surplus on fair value loss</a>

Its clean energy industries group also continues to progress favourably, with ISDN saying that two of its three hydropower plants were successfully commissioned in early Sep 2021, and are expected to go live and contribute to revenue in 2022.

In its outlook, ISDN says it continues to see customer demand for large-scale industrial systems and software solutions, in addition to the growth in its core industrial automation hardware business.

ISDN also recently appointed Tay Geok Kee as its CTO, which it says will strengthen its “full stack” technology capabilities from hardware to software, adding it intends to grow its systems and software capabilities further to meet customer demand.

This expansion into advanced industrial software and systems will also provide ISDN with new opportunities to enhance its business model by increasing recurring revenue from software and cloud solutions, and to improve profitability as advanced industrial business carries stronger profit margins.

See also: <a class='gtm_see_also_2_inread' style='text-decoration: underline;' href='/capital/results/serial-system-reports-lower-1qfy2022-earnings-allowance-obsolete-stocks?utm_source=website&utm_medium=article&utm_campaign=ONPAGESEO'>Serial System reports lower 1QFY2022 earnings on allowance for obsolete stocks</a>

ISDN also sees stronger opportunities to deepen customer relationships and increase customer spend on its solutions as customers advance their own industrial capabilities.

As such, it is upskilling its sales, marketing, customer intelligence, and account management capabilities to capture larger technology opportunities at customer accounts.

ISDN claims there is ”a very large opportunity for this investment”, saying there is a “captive base” of over 10,000 customers throughout Asia.

Finally, the company is looking to increase production capabilities by constructing another building in its China Industrial Park campus, providing for an almost 39% increase in gross floor area at the campus.

As at 3.07 pm, shares of ISDN were trading flat at 65 cents.

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