- UMS (SGX:558)'s FY23 NPAT slightly missed our S$62m expectation at S$60m but delivered q-o-q improvement. A 10% higher final dividend of S$0.022 was declared. See UMS's dividend dates.
- - Read this at SGinvestors.io -
A weaker-than-expected recovery
- UMS's FY23 revenue fell 19% y-o-y to S$300m while PATMI decreased 39% y-o-y to S$60m due to a slowdown in the semi-con sector. 4Q23 improved marginally q-o-q but that was due to some pull in orders slated for 1Q24.
- - Read this at SGinvestors.io -
New customer expectations remain unchanged
- UMS still expects a US$30m revenue contribution from its new customer in FY24. Its new production facilities in Penang are completed and one of the new factories is now operational. As it has started production for its new customer, management expects an uptick in order flow in coming months.
- We see potential upside to the S$30m contribution in FY24E if the semi-con sector picks up in 2H24E.
Downgrade to HOLD, target price trimmed
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://maybanktrade.com.sg/.
Jarick Seet Maybank Research | https://www.maybank-ke.com.sg/ 2024-02-29
Previous report by Maybank:
2024-02-05 UMS - Positive 4Q23 Results Ahead.
Price targets by 3 other brokers at UMS Target Prices.
Listing of research reports at UMS Analyst Reports.
Relevant links:
UMS Share Price History,
UMS Announcements,
UMS Dividends & Corporate Actions,
UMS News Articles
