In FY2020, AEM had a stellar year, reporting an 85% increase in earnings to $97.6 million compared to FY2019. Revenue in the same period rose 60.6% to $519 million. In contrast, revenue for 1QFY2021 was down by nearly half to just $80.2 million from $146.8 million a year ago. Earnings dropped 63% y-o-y to $13.3 million. However, when compared to 1QFY2019, AEM’s 1QFY2021 earnings and revenue were still 50.5% and 34% higher respectively. AEM also highlighted that the 1QFY2021 revenue figure was the second-highest in its history of first-quarter results.
When AEM reported earnings for its 1QFY2021 ended March 31, market observers couldn’t help but wonder if the company’s growth momentum has faltered. However, according to CEO Chandran Nair, the blip is akin to changing tyres on a moving vehicle.
“What you see right now is about making space for our next-generation platforms by keeping the current platform going. You can imagine it as kind of like changing the wheels of a moving car without stopping or slowing down as the change happens and then ramping up again,” says Nair in an interview with The Edge Singapore.
