MPI Financial Analysis

• Revenue: Revenue for the quarter was RM526.1 mil, up from RM471.9 mil in the same period last year.

• Net Profit: Net profit for the quarter was RM32.8 mil, up 282.7% year over year.

• Revenue: Basically flat year over year. The weak performance in Asia (-3.6%) and Europe (-4.1%) was completely offset by significant growth in the US market (+18%).

Quarterly performance

• Q3FY24 revenue: A slight increase of 0.6% compared to the previous quarter.

• Q3FY24 net profit: A slight increase of 1.9% compared to the previous quarter.

• Challenge: Affected by planned factory shutdowns during the Chinese New Year and one-time layoff costs associated with closing the loss-making leadframe business.

Market and operational insights

• Regional performance:

• Asia: Contributed to 51% of total revenue, but revenue declined by 3.6%.

• Europe: Contributed 28% of total revenue, but revenue declined 4.1%.

• US: Contributed 21% of total revenue and increased revenue by 18%.

• Operational improvements: The Suzhou plant achieved break-even starting with 2QFY24, stopped the loss-making lead frame business, and increased profitability.

Prospects for the future

• 4QFY24 Expectations:

• 4QFY24 is expected to perform even stronger without a one-time severance payment.

• The utilization rate of the Suzhou plant continues to increase.

• Benefit from the semiconductor industry's recovery since the end of 2023.

• Continued efforts to control costs and optimize supply chain efficiency should help strengthen the recovery momentum.

conclusions

Overall, the worst period for MPI is over, and the Chinese market is gradually recovering. He also demonstrated resilience and adaptability in the face of market challenges. As the semiconductor industry recovers, MPI's future performance is also expected to improve.