Written by The Edge
Surface Mount Technology says net loss attributable to shareholders for the three months ended 30 June 2010 (1QFY2011) narrowed to HK$6.6 million ($1.2 million) from HK$16.4 million in the corresponding quarter of the last financial year (1QFY2010).
Revenue rose 49% to HK$650.2 million from HK$435.3 million led by the LED lighting business. Gross profit margin was 9.9% for the quarter under review. This compared to 12.7% for the corresponding quarter last year. The margin was lower as a result of a higher level of turnkey business compared to the consigned component assembly business as well as higher material prices, wages and energy cost.
Capital investment for the three months ended 30 June 2010 was HK$6.3 million of which HK$3.0 million was used for the enhancement of production equipment, HK$3.0 million for plant and facilities and HK$0.3 million for computer and other equipment. No new SMT lines were installed in Q1FY2011. The total number of SMT lines remained at 152 on 30 June 2010.
