ASM Pacific Technology posts 40.4 per cent fall in net profit
Chief executive predicts slowdown will be shallow and short
Hong Kong-listed ASM Pacific Technology, the top global supplier of semiconductor assembly and packaging equipment by revenue, predicts a moderate improvement in the industry this year after posting a 40.4 per cent drop in net profit last year.
In a regulatory filing on Wednesday, ASM Pacific chief executive Lee Wai-kwong said the company was “encouraged by the rebound in bookings” in the three months to December.
“This probably confirms ... that the current [slow] industry cycle should be shallow and a short one,” Lee said. “Overall, we believe that we will again demonstrate our resilience in 2016.”
ASM Pacific, which is 40 per cent-owned by Nasdaq-traded ASM International, reported a net profit of HK$952.9 million last year, down from HK$1.6 billion in 2014.
Confidence seemed to have been restored to a certain extent towards the end of the year
Jefferies equity analyst Ken Hui said the weak profit was caused by ASM Pacific’s higher operating costs, tax expenses and non-operating losses from activities outside its core business.
Total revenue for ASM Pacific last year declined 8.8 per cent to HK$12.9 billion from HK$14.2 billion in 2014.