Contract manufacturer Venture Corporation's third quarter net profit rose by 7.7 per cent to $35.1 million.
This was despite revenue falling by 3.4 per cent to $588.8 million for the three months to Sept 30.
The company offered no explanation for the dichotomy.
Raw materials and consumables used fell by 12.8 per cent to $425 million. This suggests that the higher profit was due mainly to lower costs of goods sold.
Earnings per share grew to 12.8 cents from 11.9 cents previously while net asset value per share slipped to 648.4 cents compared to 655.2 cents as at Dec 31.
On its outlook, Venture noted that the industry has not shown signs of strong recovery. Meanwhile, minimum wage levels in low-cost jurisdictions continue to rise.
However, it has been able to mitigate these adverse factors through several strategic thrusts, including a stronger focus on operational excellence, leaner manufacturing and productivity improvements.
This has resulted in market share gain and customer wins, it said.
"The group continues to invest and develop several centres of innovation and excellence and is seeing some early signs of success in terms of value creation. Going forward, the group expects to build upon this early success."