W
hile theGroup’s revenue
fell 77% in FY2017 at
$5.0million, gross profit
marginwas up at 52% in FY2017
from26% a year ago, supported
mainlybywrite-backof expired
warrantyprovisionduring the year.
Baker Tech recorded a foreign
exchange loss of $4.0million in
FY2017 as compared to a foreign
exchangegainof $1.2million
Financial
Review
2017
2016 Change
$’000
$’000
%
Revenue
5,002
21,520
-77%
Cost of goods sold
(2,383)
(15,849)
-85%
Grossprofit
2,619
5,671
-54%
Other operating income
713
2,425
-71%
Foreignexchange (loss) / gain
(4,039)
1,183
NM
Impairment of goodwill
–
(7,551)
-100%
Administrativeexpenses
(10,576)
(10,950)
-3%
Lossbefore tax
(11,283)
(9,222)
+22%
Income tax credit
593
895
-34%
Lossafter tax
(10,690)
(8,327)
+28%
Grossprofitmargin
52%
26%
* NM denotes Not Meaningful
IncomeStatement
in FY2016, dueprimarily to the
weakeningof theUSdollar against
the Singaporedollar.
DuringFY2016, theGroup recorded
an impairment loss of $7.6million
ongoodwill in a subsidiary in view
of theweakness of the industry.
Similarly, theGroup recognised
aone-offcompensation income
from a supplier for defective
materials in2Q2016. Theseevents
were absent in2017.
With thedecrease in revenue and
the foreignexchange losses,
Baker Tech reported apre-tax
loss of $11.3million in FY2017.
Net losswas at $10.7million after
a tax credit of $0.6millionprimarily
from thewrite-backof excess
taxprovision fromprior years.
. 27
ANNUAL
REPORT
20 1 7
THE BE ST
I N US
