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ISDN Holdings

ISDN targets doubling of net profit by 2008

By Leslie Yee - 21 January 2006
The Business Times

ISDN Holdings, which listed on the main board of the Singapore Exchange in November last year, has told shareholders that it wants to double its net profit by 2008.

ISDN said it achieved net profit of $5.8 million in FY04 on revenue of $53.5 million. It provides integrated motion control and customised industrial computing solutions to customers across the Asia Pacific region.

Founder and managing director Teo Cher Koon said he wanted to update shareholders and the public about ISDN's targets. He added that as 'a responsible corporate citizen', it was important to update shareholders so they could 'share in the visions and goals of the group'. Mr Teo said ISDN enjoys market presence in Chinese cities like Suzhou, Beijing and Shanghai and he is looking to grow with equipment manufacturers to increase its market share.

He is looking for more customers in the medical, aerospace and automotive sectors, and says he is confident North Asia will contribute more than 50 per cent of group revenue by the end of the next three years. For FY04, North Asia's revenue contribution was 35.2 per cent.

ISDN is also seeking a presence in India. It has received enquiries from potential customers there, and Mr Teo said: 'We believe we can generate more than 10 per cent of the group's total revenue from India by 2008.'

ISDN will be announcing its FY05 results late next month. Mr Teo said the results will be comparable to FY04's, and shareholders can expect to receive up to 50 per cent of net profits as dividends. He added that ISDN achieved record sales of more than $15 million in the last quarter of FY05.