• 13.9% revenue growth to RM392.0 million mainly boosted by higher sales from PCs, notebooks and smartphones
• Declares first single tier interim dividend of 3.0 sen per share in respect of FY2014

Kuala Lumpur, Malaysia, 5 November 2014 – Malaysia’s leading ICT distributor ECS ICT Berhad (ECS, 佳杰科技; Bloomberg: ECS:MK; Reuters: ECSI.KL) posted a 37.9% jump in net profit to RM7.3 million in its third quarter ended 30 September 2014 (3Q14) from RM5.3 million previously. 

This was preceded by group revenue growing 13.9% to RM392.0 million in 3Q14, as compared to RM344.2 million recorded in 3Q13. 

The topline growth was mainly due to stronger sales of Personal Computers (PCs), notebooks and smartphones, leading to the Group’s ICT Distribution segment recording 30.3% revenue increase to RM278.5 million from RM213.7 million previously. ECS’ Enterprise Systems segment posted revenue of RM98.5 million in 3Q14 versus RM127.4 million, while revenue from the ICT Services segment rose to RM15.0 million in the quarter under review. 

“We have witnessed strong sales growth from our ICT Distribution segment over the last five consecutive quarters, which echoes the unwavering demand for PCs, notebooks and smartphones. In this respect, we are looking to expand this segment further, especially our smartphone distribution channel.

We were recently appointed by BenQ to distribute its F5 and T3 smartphones to the Malaysian market. This addition in our portfolio, coupled with our existing smartphone brands of Lenovo and ASUS, places us in a favourable position to provide the local market with a wider variety of smartphones at lower spectrum of the price range.

Our fourth quarter is traditionally the strongest quarter and with consumer demand for ICT products remaining resilient, we are confident of ending the year on a high note.”

Mr. Foo Sen Chin (胡善正)
Managing Director, ECS ICT Berhad

For the Group’s cumulative nine months ended 30 September 2014 (9m14), ECS posted revenue of RM1.1 billion, an 18.1% increase from RM965.0 million in 9m13. 

The Group’s 9m14 revenue growth was largely driven by the ICT Distribution and ICT Services segment, which contributed RM792.0 million and RM36.1 million respectively, growing 29.6% and 269.8% from RM611.2 million and RM9.8 million respectively in 9m13. Meanwhile the Enterprise Systems segment contributed RM311.5 million revenue in 9m14 versus RM344.0 million previously. 

ECS’ 9m14 net profit grew 14.1% to RM19.6 million from RM17.2 million previously. Basic earnings per share was at 10.9 sen in 9m14 as compared to 9.5 sen in 9m13. 

The Group declared its first single tier interim dividend of 3.0 sen per share in respect of its financial year ending 31 December 2014 (FY2014). This translates to a total of RM5.4 million or 27.6% of 9m14 net profit. The dividend will be paid on 11 December 2014, based on the Record of Depository on 27 November 2014. 

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