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UMS

UMS volume today is very pathetic with only 406.7 done. Such low volume indicates little selling. It could be accumulation in phases before the share price goes up. At current price, it is worth to buy and keep waiting for it to trend higher later

Price is holding well despite the correction. Overall, tech stocks are looking good for recovery & rebound.

Had strong discussions yesterday with analysts and deep reading,.... I think UMS has hopes,...

Agreed and has said this earlier,... I know that the Integrated System is a product purchased only by Applied Materials (AMAT), but I stand corrected here. And when I read under the performance for each business line and sales for Integrated System falls, this means UMS is losing out on AMAT opportunities.

Secondly material pt., when Lam Research has ramped-up maximum, will the loss of revenue from AMAT be fully-offset by the additional revenue from Lam ?

Cadence88 ( Date: 07-Mar-2025 17:08) Posted:

Likely they losing some market share with the customer based in Spore while gaining new contracts with the customer based in Malaysia. Both customers are American.

chengwh1 ( Date: 06-Mar-2025 18:20) Posted:

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

TSM' s capex indirectly impacts UMS ..

SemiCon-Sunset ( Date: 07-Mar-2025 15:30) Posted:

UMS is equipment manufacturer no?

TSMC made record revenues on running at 70% capacity in existing Foundry.

Folk see the numbers and have no understanding of the industry.

Semicon made "600Bn" is like when "experts" say SGX popping , hitting record highs when 99% of that is the 3 big banks.

pkli899 ( Date: 06-Mar-2025 20:34) Posted:

Yes, there was growth for semiconductor last year.
But somehow, UMS didn' t benefit from it.
Contradicting Andy' s prediction. Strange right

Likely they losing some market share with the customer based in Spore while gaining new contracts with the customer based in Malaysia. Both customers are American.

chengwh1 ( Date: 06-Mar-2025 18:20) Posted:

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

UMS is equipment manufacturer no?

TSMC made record revenues on running at 70% capacity in existing Foundry.

Folk see the numbers and have no understanding of the industry.

Semicon made "600Bn" is like when "experts" say SGX popping , hitting record highs when 99% of that is the 3 big banks.

pkli899 ( Date: 06-Mar-2025 20:34) Posted:

Yes, there was growth for semiconductor last year.
But somehow, UMS didn' t benefit from it.
Contradicting Andy' s prediction. Strange right?

chengwh1 ( Date: 06-Mar-2025 18:20) Posted:

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

Yes bro,.. that' s what I' m trying to comprehend here. Could be,.. UMS is losing its mkt share in their traditional ' biggest' customer..

Analysts left-right-and-centre are saying UMS is ' good' ,... AND looks like I' m the only one who' s generating concerns here with this semicon player.

pkli899 ( Date: 06-Mar-2025 20:34) Posted:

Yes, there was growth for semiconductor last year.
But somehow, UMS didn' t benefit from it.
Contradicting Andy' s prediction. Strange right?

chengwh1 ( Date: 06-Mar-2025 18:20) Posted:

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

Analysts upgrade UMS Integration to &lsquo buy&rsquo on positive FY2025 outlook

UOB Kay Hian, Maybank and DBS are bullish on the semiconductor manufacturer as it boosts production

SEMICONDUCTOR equipment manufacturer UMS Integration : 558 -0.88% missed consensus earnings estimates for the full year ended December, but has earned upgrades from three brokerages on the back of a rosier outlook for FY2025 as its production is set to ramp up.

Analysts from UOB Kay Hian (UOBKH), Maybank and DBS upgraded the counter to &ldquo buy&rdquo from &ldquo hold&rdquo , with target prices of S$1.21, S$1.16 and S$1.31, respectively.

Shares of UMS closed at S$1.12 on Thursday (Mar 6), down 0.9 per cent or S$0.01.

Maybank analyst Jarick Seet noted that the company incurred additional costs as it increased production for a new key customer in FY2024. &ldquo UMS has gone through a huge learning curve,&rdquo he said. &ldquo Going forward, we expect execution to improve, and UMS should be able to do (this) with higher margins.&rdquo He believes that the company&rsquo s net margin will improve by up to 1.5 percentage points. However, he also noted that while UMS expects S$30 million in additional orders in FY2025, it is still facing labour shortages. This could pose a challenge to meeting the higher demand.

UMS&rsquo new customer contributed about S$20 million to its FY2024 revenue. This is expected to grow to S$50 million in FY2025 as the semiconductor manufacturer continues to ramp up its new product initiatives as well as production of existing goods.

For the full year ended Dec 31, UMS posted earnings of S$40.6 million, down 32 per cent from S$60 million the year before. This was due largely to the weaker semiconductor segment, as global chip demand remained muted, said UOBKH analyst John Cheong.

Meanwhile, UMS&rsquo FY2024 revenue declined by 19 per cent year on year to S$242.1 million, from S$299.9 million.

Despite this, DBS analyst Ling Lee Keng noted that the company&rsquo s revenue has grown quarter on quarter since the first quarter of FY2024. &ldquo Positive guidance from the company&rsquo s two largest global semiconductor customers supports a positive outlook. This momentum is driven by accelerating global artificial intelligence investment and demand,&rdquo she said.

DBS raised its earnings estimates for FY2025 and FY2026 by 7 per cent and 8 per cent, respectively, on the back of higher margin assumptions.

Similarly, UOBKH raised its earnings forecasts for FY2025 by 9 per cent, and FY2026 by 14 per cent. It also raised its revenue estimates to account for the demand from UMS&rsquo new customer. Cheong explained that the brokerage&rsquo s revised target price for the stock is based on a higher price-to-earnings (P/E) valuation of 17.6 times &ndash above the average that UMS has historically traded at. &ldquo The reason for pegging our P/E-based valuation multiple to above mean is to reflect&rdquo the ramp-up in production and improvement in earnings, in light of UMS&rsquo new customer, the analyst said.

In relation to the latest financial results, UMS chairman and chief executive officer Andy Luong said that &ldquo prospects in FY2025 remain bright&rdquo as the group speeds up production at its new Penang facility.

Now operational, the 300,000-square-foot manufacturing site is expected to lead to &ldquo significant improvement in delivery, supported by strong order flow&rdquo , UMS added.

Yes, there was growth for semiconductor last year.
But somehow, UMS didn' t benefit from it.
Contradicting Andy' s prediction. Strange right?

chengwh1 ( Date: 06-Mar-2025 18:20) Posted:

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

half empty or half fool ... ?

https://www.businesstimes.com.sg/companies-markets/analysts-upgrade-ums-integration-buy-positive-fy2025-outlook

real world or equities world.. ?

On the contrary, the following paragraph appeared in the FY2024 Press Release, pg 5 :-
According to the Semiconductor Industry Association (SIA), the global semiconductor market experienced its highest-ever sales year in 2024, topping $600 billion in annual sales for the first time, and double-digit market growth is projected for 2025.

The above statement says times had been good for the semiconductor mkt last year, but revenue generation for UMS dropped badly, the biggest drop was for the SG mkt.

Looking at the same statement too, it seems impossible for the Msian business to be able to ' replace' the SG business even tho' there is a 299% growth in the Msian business.

I mentioned before results that it wouldn' t be good, true enough.
The anticipated pick up in semi conductor business didn' t materialised.
(Andy mentioned, during previous AGM, about semi conductor business picking up in 2024)
Now hope the major new customer can give it a lift in the coming qtrs.

Following are some statements from the recent FY2024 press release which are worrying :-
1) The 19% decline in net cash from operations compared to 4QFY2023 was due to the lower profit reported in 4QFY2024.
2) ..net cash eased to S$56.4 million from S$79.8 million in FY2023 due to lower profits.
3) Free cash flow also fell to S$24.1 million from S$51.1 million in FY2023 - ..........
4) In FY2024, the Group also raised net cash of S$49.9 million via a share placement exercise.

Cash position (which is important for dividend payouts) has a dropping trend,... and a share placement exercise was needed to ' top-up' the cash. Investors who entered via the placement exercise at $1.29 in February last year is feeling the pain now. Did I miss anything,.. ?. I know that analysts have spoken well of this company today,...

today strong because of this?

https://www.theedgesingapore.com/capital/brokers-calls/analysts-upgrade-ums-integration-buy-bigger-order-new-major-customer

Analysts upgrade UMS Integration to ' buy' with bigger order from new major customer
Analysts have upgraded their calls for UMS Integration following clearer signs of an improving outlook, even though its recent FY2024 earnings came in slightly below consensus expectations.

Ling Lee Keng of DBS Group Research, Jarick Seet of Maybank Securities and John Cheong of UOB Kay Hian now rate the company " buy" , from " hold"

0.02 cents.... not bad leh....

Joelton ( Date: 01-Mar-2025 15:51) Posted:

UMS Integration reports earnings of $40.6 mil for FY2024, down 32% y-o-y

UMS Integration, formally known as UMS Holdings , has reported earnings of $40.6 million for FY2024 ended Dec 31, 2024, down 32% y-o-y. For 2HFY2024, the company saw a 29% dip in earnings of $11.1 million.

Earnings per share for FY2024 came in at 5.74 cents per share.

Meanwhile, the group reported revenue for the full year of $242.1 million, down 19% y-o-y. For 2HFY2024, the group reported 9% lower earnings of $67.2 million.

Revenue for the full year fell as sales in the group&rsquo s semiconductor segment and others segment decreased 21% and 35% respectively.

Semiconductor Integrated System sales decreased 33% to $94.4 million in FY2024 from $140 million in FY2023. Revenue from component sales fell 8% to $110.2 from $120 million during the same period.

Apart from Malaysia, which saw revenue surging 97% y-o-y, sales declined in all the group&rsquo s key geographical markets. Singapore, US, Taiwan and others reported sales decline of 23%, 6%, 36% and 36% y-o-y respectively in FY2024.

In the fourth quarter of 2024, group revenue fell y-o-y but improved q-o-q. Sales have resumed quarterly growth since 1QFY2024, the group says.

Aerospace sales, which benefitted from the global aviation rebound, increased 2% y-o-y during the 4QFY2024.

Compared to 3QFY2024, revenue in the semiconductor segment grew 4% &mdash Integrated System sales eased 7.5% while component sales rose about 16%.

The group&rsquo s overall earnings decline was due to lower revenue and higher expenses. Depreciation expenses increased 10% mainly due to fixed asset additions. Other expenses also rose 3% as a result of higher professional fees for the group&rsquo s secondary listing in Malaysia, as well as higher property and machinery maintenance costs.

The Group' s cash and cash equivalents grew to $79.9 million as at Dec 31, 2024.

&ldquo We have stayed profitable and grew our revenue every quarter amid challenging global market conditions and geopolitical tensions,&rdquo says UMS Chairman and CEO Andy Luong.

" Our prospects in FY2025 remain bright as we speed up the production ramp-up for our new customer in our new Penang facilities. The prevailing global air travel boom will continue to lift the performance of our Aerospace business.&rdquo

The group has proposed a final dividend of 2 cents per ordinary share.