KUALA LUMPUR: Shares in KESM Industries Bhd rose to its highest in seven weeks after reporting stronger earnings in the first quarter ended Oct 31.

       The burn-in tester for semiconductors rose 7.32%, or 88 sen to RM12.90 at 9.11am, its highest since Sept 28. It is currently the top gainer on Bursa Malaysia.

       KESM’s net profit surged to RM7.51mil in the first quarter ended Oct 31 from RM764,000 in the same period a year ago.

       Revenue for the quarter rose 12.2% to RM68.58mil against RM61.11mil a year prior due to higher sales for burn-in and testing services, but lower orders

       for electronic manufacturing services.

       KESM said worldwide semiconductor revenue is projected to grow by 26.9% to US$591.4bil in 2021, from the anticipated continued growth in consumer, computing, 5G, and automotive semiconductors, coupled with higher pricing associated with the supply chain disruption. It is predicted to grow further

       exceeding US$600 billion in 2022.

       Major economies are beginning to re-open including Malaysia whilst the Delta variant has emerged in parts of Europe and China, at the start of the winter season.

       “Amidst the hope for a quicker easing of the Covid-19 restrictions and re-opening of borders, the group remains focused on improving deliveries of materials and equipment, as well as stepping up efforts to fulfilling backlogs of our customers,” KESM said.