Electronics manufacturer Qisda Corp (佳世達) on Thursday posted a 73.86 percent year-on-year drop in net profit to NT$232.52 million (US$7.78 million) for the first quarter.
This resulted in earnings per share of NT$0.12, compared with NT$0.45 a year earlier, the lowest since the fourth quarter of 2015, company data showed.
Blaming the decline mainly on the COVID-19 outbreak, and some major challenges, it said profit was also dented by non-operating losses.
Photo courtesy of Qisda Corp
It has seen progress in its healthcare unit, as well as its business solutions group, which helps industries integrate Internet of Things applications into everyday operations, the company said.
Those two units contributed about 22 percent to total sales, and helped limit the shrinkage in overall revenue to 1.64 percent — on an annual basis — to NT$39.2 billion.
“Sales from our business solutions group rose 16 percent year-on-year last quarter on the back of growing demand for cloud-based services,” Qisda chairman and president Peter Chen (陳其宏) said in a statement.
The firm is focused on boosting performance across its existing segments, as well as expanding its healthcare unit and business solutions group, Chen said.
The board of directors has proposed issuing a cash dividend of NT$0.75 per share, representing a payout ratio of 41.21 percent based on earnings of NT$1.82 per share last year.
In other developments, as of Thursday, Qisda began purchasing Alpha Networks Inc (明泰科技) shares at NT$30 per unit on the open market, aiming to increase its stake in the communications device maker from 23.8 percent to a maximum of 42.8 percent.
The purchasing program is set to run through June 23.
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