Serial System's net profit surged 44% to $21.8b

Thanks to higher turnover in North Asia.

Mainboard-listed Serial System today reported that its net profit surged to $21.8b (US$16.1b) in FY14, up 44% from $15.2b (US$11.2b) in FY13.

Growth was attributed to the group's three-pronged strategy to expand product lines and customer base while improving inventory and cost efficiencies.

By geography, North Asia, which accounted for 84% of FY14 Group turnover, reported 30% higher sales compared to FY13, mainly due to stronger growth of 32% and 18% from Hong Kong and China, respectively.

Taiwan also reported a 5% revenue growth due to increased contributions from existing product lines and the addition of new customers, mitigating the slower performance in South Korea.

Turnover in South-East Asia and India increased 12% in FY14, as a result of increased contribution from new product lines.

The group’s total expenses as a percentage of turnover declined to 7.4% in FY14 from 8% in FY13 due to its continued efforts to drive operational and cost efficiencies.