KUALA LUMPUR: VS Industry Bhd, an integrated electronics manufacturing services provider, expects a potential uptick in demand for the quarter ahead.

“Inflationary pressures continue to weigh down consumer sentiments and purchasing power, which in turn affects the demand from our customers.

“On a brighter note, according to media news, some economists believe inflation has peaked with interest rate hike pressure gradually easing,” it said.

In a filing with Bursa Malaysia, the company said net profit in the third quarter ended April 30, 2023 dropped to RM26.78mil compared with RM51.29mil in the previous corresponding period, while revenue rose to RM996.78mil from RM927.59mil previously.

Basic earnings per share stood at 0.70 sen versus 1.34 sen previously.

VS Industry has declared a third interim dividend of 0.4 sen per share for the quarter under review bringing the total dividend per share declared for the current financial period to 1.2 sen.

For the nine-months period ended April 30, 2023, VS Industry’s net profit stood at RM117.84mil from RM135.17mil a year earlier, while revenue grew to RM3.4bil from RM2.9bil.

“The reduced earnings for the current quarter and cumulative period were affected by higher electricity, labour and financing costs, as well as net foreign exchange loss in the current financial period,” it said.

Barring unforeseen circumstances, the company said it expects its financial performance for the remaining quarter of the current financial year to be satisfactory.