Elec & Eltek International endures drop of 53% in Q3 net profit

Printed circuit board maker Elec & Eltek International has suffered a 52.6 per cent drop in third quarter net profit to US$4 million (S$5 million).

Revenue for the three months to Sept 30 edged down 1.2 per cent to US$135.8 million.

Eltec said it experienced strength in the mobile devices sector and the automotive sector during the quarter.

However, the sales in the computer and peripherals sector dropped due to a decline in demand by end customers.

Other sectors, such as consumer electronics, also exhibited marginal decline in growth momentum.

Earnings per share eased to 6.51 US cents from 13.69 US cents while net asset value per share fell to US$1.90 compared to US$2.01 as at Dec 31.

Into the fourth quarter, certain seasonal factors may affect the general demand as the customers would monitor their inventory level, Elec said.

"Accordingly, we anticipate that the order intake to be moderately soft. However, given our marketing efforts and activities in the past few months, we are confident that there would be a recovery in the demand in the next financial year."