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VSI Expects Robust Performance in H2 FY17
January 6, 2017 | V.S. Industry BerhadEstimated reading time: 1 minute
V.S. Industry Berhad (VSI), the largest EMS firm in Malaysia, expects robust business performance in the second half of financial year 2017 (H2 FY17) as sales orders gain momentum, thereby pushing production volume and efficiency to optimal level.
Speaking after the company’s 34th Annual General Meeting (AGM), Datuk S. Y. Gan, managing director, said, “We will continue to benefit from the sustained strong sales growth of our key clients, notwithstanding the current economic conditions. The tangible results from this should be apparent in the second half of our financial year 2017, where we expect to post a stronger set of results. For our two Malaysian operations, sales orders are gradually coming in from our key clients, pushing the production volume and efficiency to reach optimal level and we anticipate the respective revenue contribution from some of our key clients to reach new level.”
The Group has been busy expanding its production capacity for box-build assembly over the past few months since it was awarded the vertical integration (VI) status by its key UK-based client earlier in 2016. The plan is to increase the box-build capacity to three million sets per annum from the current negligible amount. The first production line is already up and running with more lines scheduled to come on-stream soon.
Meanwhile, operations at its facilities in Zhuhai, China are picking up pace as well since November 2016, producing a new high-end air purifier model for one of its local clients. The air purifier model was fully designed by VSI and has received very encouraging response from end-user consumers during a recent soft-launch event by the client. Management endeavors the operations in China to return to the black in FY17.
About VSI
VSI is the largest electronics manufacturing services (EMS) corporation in Malaysia, and one of the top 50 in world, providing integrated manufacturing solutions to multinational corporations mainly from the Europe, USA and Japan. It has advanced manufacturing facilities in Malaysia, Indonesia, China and Vietnam. Backed by a team of highly skilled and innovative R&D personnel, VSI also serves as an Original Design Manufacturer (ODM) in addition to being Original Equipment Manufacturer (OEM). Its comprehensive services include high-precision printed circuit board assembly, plastic injection molding, sub- and full- assembly as well as tool design and fabrication.
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