Business

Saturday November 14, 2009

GUH to invest RM24mil in PCB output expansion

By DAVID TAN


GEORGE TOWN: GUH Holdings Bhd is investing RM24mil next year to expand its production of printed circuit boards (PCB) in Malaysia and China.

By the fourth quarter of next year, monthly production of PCB would increase to 25,000 sq m from 15,000 sq m presently, group managing director Datuk Kenneth H’ng Bak Tee told StarBizWeek.

“We are expanding because of new orders from existing customers for compact size double-sided PCBs, which are used in the automotive industry and certain high-end consumer electronic products such as digital recorders,” he said.

Last year, due to global recession, the group invested only RM3.2mil to upgrade its facilities in Suzhou and Penang.

For the nine months ended Sept 30, GUH posted RM37.6mil in net profit on the back of RM204.9mil revenue, compared with RM20.53mil and RM231.8mil respectively in the previous corresponding period.

H’ng said the better performance was mainly due to sustainable demand for its PCBs from the Suzhou plant, which services the multinational corporations in China, and the introduction of new PCBs for the automotive industry and high-end consumer electronic devices.

“The contribution from the group’s property development projects in Taman Kepayang, Seremban also helped.

“The property division generated RM6mil in the third quarter, compared with RM3.6mil in the preceding quarter,” he said.

For the third quarter ended Sept 30, GUH posted net profit of RM14.2mil on revenue of RM77.7mil against RM19.7mil and RM98.4mil respectively a year ago.


GUH : [Stock Watch] [News]

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