The Straits Times / The Business Times News on OSIM

OSIM chalks up strong earnings

MASSAGE chair maker OSIM International yesterday turned in strong growth results for the third quarter, with net profit surging 49 per cent to $10.4 million.

For the quarter ended Sept 30, group revenue grew 79 per cent to $133.5 million, helped by the launch of new products and a growing retail network, the company said in a statement.

For the first nine months, net profit shot up 52 per cent to $30.5 million, almost matching the full-year earnings figure of $31.7 million last year.

Revenue for the three quarters was $354.8 million, up 51 per cent over the same period last year and about 7 per cent higher than last year's full-year revenue of $332.1 million.

Boosted by the acquisition of United States speciality retailer Brookstone that was completed earlier this month, OSIM added 475 outlets to its point-of-sales network - which now stands at 1,016 outlets - in the 12 months ended Sept 30.

This means that the company has reached its initial public offering (IPO) target of 1,000 outlets three years ahead of schedule, said OSIM chief financial officer Peter Lee at the results conference yesterday.

Looking ahead, OSIM expects to continue to expand its network of outlets and introduce several new products each quarter. Barring unforeseen circumstances, it expects revenue and net profit figures for the last quarter to be higher than those recorded last year.

Earnings per share for the three months ended Sept 30 climbed to 2.31 cents from 1.55 cents while net asset value per share was 33 cents as at Sept 30, up from 28 cents as at Dec 31 last year.