Poor disk drive sales drive down Broadway Industrial's net profit by 97%
Broadway Industrial Group has suffered a 97.3 per cent plunge in second quarter net profit to a mere $158,000.
Revenue for the three months to June 30 fell by 8.5 per cent to $158.6 million, mainly due to the continued weakness in the hard disk drive market.
Gross profit decreased 29 per cent to $12.5 million owing to the subdued sales.
As a result of under-utilisng its disk drive production capacity, gross profit margin dropped to 7.9 per cent from 10.2 per cent in the corresponding period last year.