Silverlake Axis’ H1 attributable profit inches up 3% to $22.33m

Thanks to forex gains.

Silverlake Axis Ltd (SAL) closed the first half FY16 with an attributable net profit of RM135.2m, or roughly $22.3m, reflecting a marginal YoY climb of 3%.

According to the company’s announcement, this is thanks to higher profit before tax on back of increased revenue from most revenue segments as well as the appreciation of SGD and USD against RM, as well as raised realised and unrealised forex gain. This was partially offset, though, by as spike in selling and administrative expenses.

SAL also recorded robust revenue growth due to post-acquisition maiden contribution from Symmetri group, as well as raised contribution from all revenue segments except for software licensing. In addition, the appreciation of SGD and USD against RM boosted significantly, as it accounted for about 10% of the revenue spike.

Dr. Raymond Kwong, managing director of the group, further commented that SAL expects to reap benefits from its Symmetri acquisition as well as ongoing efforts to bolster efficiency and slash costs in the last quarter of FY16.

Moreover, SAL asserts it is backed by its software solutions and service offering, and is thereby well-positioned to capitalise on business opportunities as the competitive Asian business landscape encourages financial institutions and corporations to invest in digital and mobile technologies to protect their market share.