Venture Corp posts 7.5% rise in Q2 earnings to $36.1 million

SINGAPORE - Venture Corp has reported a 7.5 per cent rise in second quarter net profit to $36.1 million.

This translates to a net margin of 5.5 per cent.

Revenue for the three months to June 30 was up 10 per cent at $661 million, driven by both higher shipment and favourable exchange rate movement.

Compared to the prior quarter, revenue for the second quarter rose by 8.6 per cent.

For the six months ended June 30, earnings rose by 6.7 per cent to $68.6 million while revenue climbed by 6.5 per cent to $1.27 billion.

Quarterly earnings per share rose to 13.1 cents from 12.2 cents previously while net asset value per share fell to 660.4 cents compared to 677.8 cents as at Dec 31.

During the quarter, the group generated cash from operations of $33.6 million, down from $47.3 million in the same period last year.

Venture said it registered an increase in working capital largely due to higher inventories to meet customers' requirements and programmes.

On its prospects, Venture noted that the economic landscape, in which its customers operate, remains challenging with elements of uncertainty.

This is reflected in the generally cautious outlook of customers, it said.

"The group remains focused on sustaining operational excellence and driving innovation; and continues to strengthen its strategic capabilities and competencies in several domain areas and market verticals."

It expects to capture greater market share with its existing customers and to win new programmes and customers.