Unisem’s earnings more than double in 2Q20 on strong sales

by FARA AISYAH

Unisem (M) Bhd’s net profit for the second quarter ended June 30, 2020 (2Q20) more than doubled to RM33.95 million from RM14.45 million a year ago, due to higher sales volume achieved and appreciation of the ringgit against the US dollar exchange rates.
 
Quarterly revenue increased 10.3% year-on-year (YoY) to RM310.08 million from RM281.12 million last year, the group told Bursa Malaysia yesterday.
 
The semiconductor company has recommended an interim dividend of two sen to be paid on Sept 3, 2020.
 
Amid the Covid-19 pandemic, Unisem said it remains cautious and will continue with stringent cost control measures while exercising restraint on capital expenditure. It expects the operating environment for 2020 to be challenging.
 
The group also said its public shareholding spread does not meet the Main Market Listing requirements, which state a listed issuer must ensure at least 25% of its total listed shares are owned by public stakeholders.
 
Based on Unisem’s register of depositors as at June 30, the group’s public shareholding spread was at 15.334%, representing a 9.666% shortfall from the requirement.
 
Unisem said Bursa Malaysia Securities Bhd had granted the company a time extension from July 1 to December 31, 2020 to comply with the public spread requirement.
 
“The company together with Huatian Technology (Malaysia) Sdn Bhd will continue to work on addressing the shortfall in the public spread requirement,” it said.