- Profit after tax at RM19.6 million, up by 2,350%

- Revenue at RM65.3 million, up by 98.5%

- Profit after tax margin at 30.0%, up by 27.6%

Technology leader in providing fully customised, intelligent manufacturing automation solutions, Genetec Technology Berhad announced their best financial quarter to date for their third quarter ended 31 December 2021 (Q3FY2022). The Company recorded a 2,350% growth on their quarter on quarter (QoQ) profit after tax (PAT) performance, with an increase of RM18.8 million for the said quarter to RM19.6 million, compared to RM0.80 million registered for the corresponding quarter (Q3FY2021) due to higher revenues and managed costs.

For the same quarter, Genetec's profit before tax (PBT) stood at RM21.0 million which is higher by 19.3% than the RM17.6 million posted in their second quarter (Q2FY2022), due to higher sales whilst costs remained stable. Revenue for the quarter stood at RM65.3 million, an increase of 98.5% QoQ, and a 10.1% increase over the preceding quarter Q2FY2022, bringing the annual total to RM164.9 million for the 9 months ending 31 December 2022 (9MFY2022). Earnings per share stood at 34.53 sen (fully diluted) in Q3FY2022 compared to EPS of 2.06 sen in Q3FY2021.

For the nine months of the financial year ended 31 March 2022 (9MFY2022), the Company recorded 2,656% higher PAT of RM44.1 million compared to the corresponding period of the previous financial year of RM1.6 million (9MFY2021). PBT for 9MFY2022 stood at RM47.5 million, which is 2,694% higher than the PBT of RM1.7 million while revenue is 96.3% higher at RM164.9 million compared to RM84.0 million of the corresponding period.

Genetec highlighted in their announcement, "We continue to progress with our plans. Earlier this month we concluded our Bonus Issue exercise announced on 25 October 2021 with the listing of the new issue of securities or 629,503,200 bonus shares (effective 11 January 2022) on the ACE Market of Bursa Malaysia Securities Berhad. In addition to rewarding our existing shareholders and improving share liquidity, we hope to encourage greater local retail participation.

Looking ahead, we continue to build on the electric vehicle (EV) and energy storage division and expect it to remain a significant and growing contributor to our overall performance. This growth will be driven by regional and worldwide demand as countries and businesses step up their efforts towards achieving the zero-emissions target set for 2050. Industries immediately impacting our business are those in transport and energy, both retail and industrial, as everything from day-to-day energy needs for both retail and commercial, heavy industry vehicles and machinery, public transport to e-scooters turn electric."

Genetec also cited The Economic Intelligence's 'Automotive in 2022' research report outlook for global sales of new vehicles that is expected to rise by 7.5% in 2022, surpassing 2019 levels. Prospects for the global sales of new EVs will continue to soar, rising by 51%, with Asia and North America leading the recovery. Whilst new emission rules will force transport vehicle makers and businesses to make far-reaching decisions about their energy sources and fossil-fuel models, this shift is also well supported by the growing number of policies to incentivise greater efforts towards renewable energy vehicles and generation.

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