Hi-P issues profit warning for third-quarter results

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Hi-P International on Sunday issued a profit warning for its third-quarter results.

“Based on a preliminary review of the group’s performance, the board of directors of the company wishes to inform as follows: The group expects lower revenue and profit in the third quarter of 2018 as compared to the third quarter of 2017,” it said in a filing to SGX on Sunday.

With its second quarter results, the contract manufacturer had said it expected higher revenue, but similar profit in the third quarter of 2018, compared with the year-earlier quarter, the statement said.

Hi-P said the difference between its unaudited results and the previous guidance for the third quarter was “mainly due to delay in sales resulted from postponement in billing of certain production tools, lower manufacturing yield for certain products during initial ramp up stage, and lower market demand for certain products.”

Further details would be disclosed when Hi-P finalizes its unaudited third-quarter results, it said.

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