SINGAPORE (Nov 8): Jadason Enterprises saw its earnings for the 3Q ended September fall 19% to $1.0 million, from $1.3 million a year ago.
This was partially due to a writeback of allowance for inventory obsolescence of $0.4 million, which was included into cost of sales.
Consequently, gross profit fell 16% to $3.4 million, from $4.0 million a year ago.
Revenue rose 18% to $17.6 million in 3Q17, from $14.9 million a year ago, as both of its business segments reported higher business activities during the quarter.
Revenue for the equipment and supplies business grew 25% to $7.0 million in 3Q17 due to stronger demand for equipment and supplies from printed circuit board (PCB) manufacturers.
Revenue of the manufacturing and support services business increased by 14% to $10.6 million on higher demand from customers for its manufacturing services.
As at end September, cash and cash equivalents stood at $8.0 million.
Looking ahead, Jadason says it will continue to rationalise and streamline its core businesses.
Shares of Jadason closed 0.2 cent higher at 9.3 cents on Wednesday.
