Micro-Mechanics' profits soared 21% to $5.1m

Check out the group's target next year.

According to a release, Micro-Mechanics (Holdings) Ltd., a manufacturer of high precision tools, parts and assemblies for high technology industries, has reported a 21% jump in net profit to S$5.1 million for its financial year ended 30 June 2013. 

The stronger bottom line performance was achieved on the back of higher gross profit margin and its tight rein on expenses as revenue in FY2013 was relatively flat at S$39.1 million, compared to S$38.8 million in FY2012.

For its fourth quarter ended 30 June 2013, the Group posted revenue of S$10.8 million, an increase of 4.0% from 4Q12 and a sequential gain of 16.8% from 3Q13.

The Group’s net profit in 4Q13 also rose 13.2% year-on-year to S$1.5 million, its highest level since 3Q11.

CEO of Micro-Mechanics, Mr Chris Borch said, “The Group’s GP margin expanded significantly to 49.1% from 46.3% in FY2012, fuelled mainly by our initiatives to improve productivity and operational efficiency.

Our tight rein on expenses also contributed positively to our performance in FY2013 as overhead expenses remained relatively steady despite escalating cost pressures in many of the markets where we operate.

For FY2014, growing the top line will remain a key priority. Backed by our sound financial position, we will continue to focus on our customers and work to enhance the value that we bring to their business.”