The strong performance stemmed from a strong rally in ISDN’s performance in April following the reopening of ISDN’s Chinese operations in mid-march, with its 4M20 revenue growing 12.1% y-o-y to $112.2 million and net profit growing 31.4% y-o-y to $6.7 million. ISDN has received $95 million-worth of orders YTD.
SINGAPORE (June 1): CGS-CIMB’s William Tng has reiterated his “add” call on ISDN Holdings amid strong April performance. Aside from a strong rebound in demand from key markets, the engineering firm has begun production of anti-Covid-19 products to tap into the virus economy.
In a voluntary performance update last Wednesday, ISDN announced a 1Q20 revenue of $79.8 million (which is about 27% of the brokerage’s FY20 estimates) and a net profit of $3.1 million (some 37% FY20F). Revenue grew 5.7% y-o-y despite disruptions to ISDN’s China operations due to extended lockdowns, exceeding Tng’s expectations despite a steep 26.2% y-o-y drop in net profits at the same time.
