- Frencken (SGX:E28)'s 2H23 revenue eased 1.3% y-o-y but rose 11.6% h-o-h to S$391.8m, mainly boosted by higher sales in the semiconductor and analytical & life sciences segments. Net profit saw a 20.7% decline but surged 69% h-o-h to S$20.4m.
FY23 results above expectations; Europe’s robust sales partially cushioned weaker sales in Asia.
- - Read this at SGinvestors.io -
- Higher sales from the semiconductor, medical and analytical & life sciences segments of its Europe operations helped offset lower sales in the industrial automation and semiconductor businesses of its Asia operations.
- A 2.28 cents dividend was declared for FY23 compared to 3.64 cents for FY22 (30% payout ratio). See Frencken's dividend dates.
Quarterly net margin continued to see improvement.
- - Read this at SGinvestors.io -
- For the full year, Frencken's net margin of 4.4% was still lower than FY22’s 6.6%, due to lower revenue, inflationary cost pressures, and increased depreciation expenses from capital investments to upgrade and expand the group’s global manufacturing facilities.
- Moving forward, we expect net margins to hover around the 5-6% range.
Well positioned for recovery, supported by a sound balance sheet and diversified portfolio.
- Read more at SGinvestors.io.
Above is the excerpt from report by DBS Group Research.
Clients of DBS may access the full report in PDF @ https://www.dbs.com/insightsdirect/.
Lee Keng LING DBS Group Research | https://www.dbs.com/insightsdirect/ 2024-02-28
Read also DBS's most recent report:
2024-11-21 Frencken - 3Q24 Below Expectations; Slow But Steady Recovery.
Previous report by DBS:
2024-08-19 Frencken Group - Optimistic Outlook, Semiconductor Shines.
Price targets by 4 other brokers at Frencken Target Prices.
Listing of research reports at Frencken Analyst Reports.
Relevant links:
Frencken Share Price History,
Frencken Announcements,
Frencken Dividends & Corporate Actions,
Frencken News Articles
