VAN NUYS, Calif.--(BUSINESS WIRE)--Sep. 23, 2024-- Trio-Tech International (NYSE MKT: TRT) today announced financial results for the fourth quarter and fiscal year ended June 30, 2024.

Fourth Quarter Results

For the three months ended June 30, 2024 revenue increased 7% to $9,746,000 from $9,079,000 for the fourth quarter of fiscal 2023, reflecting a 60% increase in manufacturing revenue, a 30% increase in distribution revenue, and a 20% decrease in testing services revenue.

Gross margin increased 17% to $2,685,000, or 28% of revenue, from $2,290,000, or 25% of revenue, for the same quarter last year. Income from operations increased 178% to $358,000 compared to $129,000 for the fourth quarter of fiscal 2023.

Net income for the fourth quarter of fiscal 2024 increased to $243,000, or $0.06 per diluted share, compared to $162,000, or $0.04 per diluted share, for last year’s fourth quarter.

S.W. Yong, Chairman & CEO said, “Trio-Tech’s strategy to focus on opportunities to grow our manufacturing and distribution segments significantly contributed to our strong fourth quarter results. We continue to carefully evaluate the path forward for each of our operating segments to concentrate our resources on products and markets with the greatest growth potential. Supporting this strategy, we have increased our sales efforts and introduced new products and services in our manufacturing and distribution businesses. Additionally, we are evaluating potential acquisitions and divestitures as well as direct investments and joint development projects with key partners that can contribute to Trio-Tech’s long-term success and increase value for our shareholders.”

Fiscal 2024 Results

For the fiscal year ended June 30, 2024, distribution revenue increased 32% to $8,297,000 from $6,270,000, led by strong sales of display products. Manufacturing revenue increased 16% to $16,057,000 from $13,827,000, reflecting an increased market share achieved by supporting our key customers in their New Product Introduction (NPI) programs. Testing services revenue decreased 22% to $17,933,000 from $23,130,000 for fiscal 2023. Total revenue for fiscal 2024 decreased 2% to $42,312,000 from $43,250,000 for fiscal 2023.

Gross margin for fiscal 2024 decreased slightly to $10,762,000, or 25% of revenue, compared to $11,705,000, or 27% of revenue, for fiscal 2023.

Operating expense increased 2% to $9,669,000 from $9,477,000 and increased to 23% of revenue compared to 22% of revenue for fiscal 2023.

Net income attributable to Trio-Tech shareholders for fiscal 2024 was $1,050,000, or $0.24 per diluted share. This compares to net income of $1,544,000, or $0.37 per diluted share, for fiscal 2023.

Backlog at June 30, 2024 was $14,422,000, compared to record backlog of $17,437,000 at June 30, 2023.

Balance Sheet Highlights

Cash and cash equivalents at June 30, 2024 increased to $10,035,000 compared to $7,583,000, at June 30, 2023 and working capital also increased to $22,760,000, compared to $19,501,000 a year earlier. Shareholders' equity at June 30, 2024 increased to $31,578,000, or $7.43 per outstanding share, compared to $29,571,000, or $7.22 per outstanding share, for the prior year. There were approximately 4,250,305 and 4,096,680 common shares outstanding at June 30, 2024 and June 30, 2023, respectively.

About Trio‑Tech

Established in 1958, Trio-Tech International is located in Van Nuys, California, with its principal executive office and regional headquarter in Singapore. Trio-Tech International is a diversified business group with interests in semiconductor testing services, manufacturing and distribution of semiconductor testing equipment, and real estate. Our subsidiary locations include Tianjin, Suzhou, Chongqing and Jiangsu in China, as well as Kuala Lumpur Malaysia and Bangkok Thailand. Further information about Trio-Tech's semiconductor products and services can be obtained from the Company's Web site at www.triotech.com and www.universalfareast.com.

Forward Looking Statements

This press release contains statements that are forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and may contain forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and assumptions regarding future activities and results of operations of the Company. In light of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, the following factors, among others, could cause actual results to differ materially from those reflected in any forward looking statements made by or on behalf of the Company: market acceptance of Company products and services; changing business conditions or technologies and volatility in the semiconductor industry, which could affect demand for the Company's products and services; the impact of competition; problems with technology; product development schedules; delivery schedules; changes in military or commercial testing specifications which could affect the market for the Company's products and services; difficulties in profitably integrating acquired businesses, if any, into the Company; risks associated with conducting business internationally and especially in Asia, including currency fluctuations and devaluation, currency restrictions, local laws and restrictions and possible social, political and economic instability; changes in U.S. and global financial and equity markets, including market disruptions and significant interest rate fluctuations; public health issues related to the COVID-19 pandemic; trade tension between U.S. and China and other economic, financial and regulatory factors beyond the Company's control. Other than statements of historical fact, all statements made in this release are forward looking, including, but not limited to, statements regarding industry prospects, future results of operations or financial position, and statements of our intent, belief and current expectations about our strategic direction, prospective and future financial results and condition. In some cases, you can identify forward looking statements by the use of terminology such as "may," "will," "expects," "plans," "anticipates," "estimates," "potential," "believes," "can impact," "continue," or the negative thereof or other comparable terminology. Forward looking statements involve risks and uncertainties that are inherently difficult to predict, which could cause actual outcomes and results to differ materially from our expectations, forecasts and assumptions. Many of these risks and uncertainties are beyond the Company's control. Reference is made to the discussion of risk factors detailed in the Company's filings with the Securities and Exchange Commission including its reports on Form 10-K and 10-Q. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240923732263/en/

Company Contact:
Siew Wai Yong
Chairman & CEO
(818) 787-7000

Investor Contact:
Berkman Associates
(310) 927-3108
robert.jacobs@jacobscon.com

Source: Trio-Tech International