KUALA LUMPUR: Visdynamics Holdings Bhd sank into the red in the fourth quarter Oct 31, 2024 (4Q24) with a net loss of RM2.96 million against a net profit of RM1.99 million a year ago, on the back of lower revenue.
Its quarterly revenue plunged 58.5 per cent to RM3.34 million from RM8.05 million previously, dragged by the decline in the sale of machines.
As a result, the company registered a loss per share of 1.13 sen for the period against earnings per share of 0.76 sen in 4Q23, its filing with Bursa Malaysia Securities showed today.
For the full financial year of 2024 (FY24), Visdynamics posted a net loss of RM7.71 million compared to a net profit of RM2.84 million a year ago, while revenue fell to RM8.10 million from RM26.65 million previously.
The company's balance sheet saw some changes during the year. Property, plant, and equipment increased from RM12.8 million as of Oct 31, 2023, to RM14.4 million as of Oct 31, 2024, due to the purchase of land.
Trade receivables decreased from RM3.5 million as of Oct 31, 2023, to RM1.5 million as of Oct 31, 2024, due to successful collections from customers. There were also subsequent receipts from customers amounting to RM401,000 after the financial period ended on Oct 31, 2024.
Other financial metrics also showed improvement, with a decrease in other payables and accruals from RM4.5 million as of Oct 31, 2023, to RM3.0 million as of Oct 31, 2024.
This was mainly due to lower provisions for sales and service commissions, as well as warranty provisions in line with the decreased sales.
The company also reported a decrease in cash and cash equivalents, dropping from RM23.8 million as of Oct 31, 2023 to RM18.7 million as of Oct 31, 2024. This decline was mainly due to funding working capital, dividend payments, land purchases, and share buy-backs.
On prospects, Visdynamics, which is involved in the design, assembly, and testing of back-end equipment in the automated test equipment industry for semiconductors, believes that the industry hit the bottom in 2024.
However, the company still holds the expectation that significant improvement will only occur beyond 2025.