OpenSys records RM17.3m net profit in 1Q22

The improved revenue was led by a 15.9% rise YoY from the solutions and services segment, complemented by increased in hardware sales of 117% YoY

by TMR / pic credit: myopensys.com

OPENSYS (M) Bhd achieved double-digit growth in its first quarter ended March 31, 2022 (1Q22), as revenue jumped 24.3% to RM17.3 million from RM14 million on higher take-up from banks and large corporations. 

In a statement today, the company said the improved revenue was led by a 15.9% rise year-on-year (YoY) from the solutions and services segment to RM14.8 million, complemented by hardware sales improving 117% YoY to RM2.5 million. 

The hardware segment rose on larger rollout of cash recycling machines (CRM) by banking customers, while solutions and services segment included revenue from machinery maintenance and contributions from the group’s SmartCIT secure logistics and cash management solution rollout for Tenaga Nasional Bhd.

Altogether, the all-round top line growth led to a jump in the group’s 1Q22 net profit by 32.1% to RM2.4 million from RM1.8 million a year ago. 

“Going forward, we aim to garner more orders for our banking solutions and deliver more than 200 units of CRM currently in our orderbook, as financial institutions continue to focus on cost optimisation as well as better customer service,” OpenSys CEO Eric Lim (picture) said.

He added that the company also intends to leverage on SmartCIT’s first major customer to encourage similar adoptions by financial institutions and large corporations who would benefit greatly from an analytics-based platform for enhanced operational efficiency.

“At the same time, we are targeting small and medium enterprises who would now be able to enjoy efficient and safe cash-in-transit processes at a lower cost compared to the conventional methods,” he added.

OpenSys declared a second interim dividend of 0.30 sen in respect of financial year 2022, which would be paid to shareholders on June 16, 2022, with the ex-date on June 7, 2022. This marks the 16th consecutive quarterly dividend payment since October 2018.