Sunright's net profit crashes 56% to $1.4m in FY2016

Blame it on weak distribution segment.

It was not a sunny Friday at all for Singapore-listed semiconductor firm Sunright, as it posted a whopping 56% contraction in earnings.

According to Sunright CEO Sam Lim, the group's net profit tumbled to $1.4 million after a strong $3.2 million earnings last year.

“The core business of the Group remains strong. However, our distribution segment was weak and has been scaled back,” Lim said.

The group closed its financial year with 6% lower revenue, from $137 million for the previous financial year to $129 million.

Looking forward, Lim remained optimistic, noting that the group will continue to deepen its strong relationship with key customers.

“Our strategy for growth is playing out well. We are focusing on a number of key opportunities in the expansion of hyper-scale data centers. We are very well positioned in the automotive electronics market. Overall, we see increasing demands for our innovative solutions for burn-in and test of these devices," he claimed.