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KUALA LUMPUR: Supercomnet Technologies Bhd’s (Scomnet) net profit surged 73.8% to RM9.4mil, or 1.23 sen earnings per share in the second quarter ended June 30 (2Q), compared with RM5.4mil, or 0.75 sen a year ago.

The medical devices manufacturer attributed the higher earnings to improved efficiencies, which resulted in better sales of higher margin products, namely in its medical segment. It was further helped by a favourable foreign exchange rate.

Its revenue for the quarter rose 21.71% to RM39.86mil against RM32.75mil posted in the previous corresponding period, driven by higher demand from the automotive, medical and industrial segments.

The group also saw its net profit margin grow from 16.51% in the last corresponding period to 23.59% in 2Q.

“We are in a situation now where we are working hard to meet the demand of our clients, both for the medical and automotive segment.

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“While the medical segment is our key contributor profit-wise, we are also seeing a lot of demand and orders from the automotive segment. In the coming quarters, we expect revenue from the automotive segment to catch up to the medical segment level gradually.

“Profit will still largely continue to come from the medical segment,” managing director James Shiue said in a statement.

For the first six months, Scoment's net profit surged 62.3% to RM16.8mil from RM10.3mil previously while revenue expanded 7.84% from RM70.32mil to RM75.83mil.

“We remain optimistic about the group's mid-to long-term prospects underpinned by continuous growing customer demand, very visible orders at hand and several new products in the pipeline.

“In the remaining quarters of FY22, we expect one of our new medical products to start contributing to our revenue, after a very long wait,” Shiue said.