KUALA LUMPUR: Semiconductor test equipment maker UWC Bhd is expanding its production, catering to rising demand including new orders from customers in the 5G and automotive industries.
Meanwhile, UWC’s life science and medical technology segments have benefited from venture into medical and diagnostic testing for Covid-19, as well as delivery of virus extraction machines to its clients.
The group, in a filing with Bursa Malaysia today, said expects "sustainable substantial growth in the coming years" from its life science division.
Robust sales and focus on these higher margin businesses have boosted its annual net profit by 58% to RM91.5mil in financial year ended July 31, 2021 (FY21) compared with RM57.7mil made a year ago.
Revenue rose 30% to RM285mil.
"The Group is optimistic of the quarters ahead, driven by increasing enquiries from existing and potential customers," UWC said.
The company said despite the production curb under movement control order, it has not suffered any cancellation of orders.
"Instead, there were continuous orders received from semiconductor and life science, as well as new orders for 5G test equipment are in the pipeline," UWC said.
It said semiconductor orders remained "very strong" along with the continuous increasing number of enquiries.
"Orders for the current generation of logic chip testers remain strong but are expected to be replaced by next generation testers. Works have begun and are expected to achieve mass production target earliest by second quarter of next year," it said.
The group is also expanding its auto chip tester manufacturing business.
"Currently, UWC is shifting the production capacity to emphasis on front-end semiconductor equipment, automated test equipment and 5G test equipment customers to grow the business segments," it said.
"The Group has received orders for related 5G testers. Furthermore, for the autonomous vehicle reliability chip testers, the Group expects to ramp production by end of 2021," it added.