SINGAPORE – The growing adoption of advanced technologies such as artificial intelligence (AI) helped drive up full-year earnings at precision engineering firm Grand Venture Technology (GVT).
The firm posted a 29 per cent rise in net profit – calculated on the basis of earnings before interest, tax, depreciation and amortisation – for the 12 months to Dec 31, 2024, on record revenue of $159.5 million, up 43 per cent.
Much of that was propelled by strong demand for semiconductors amid increasing adoption of AI and high-performance computing (HPC), which refers to clusters of powerful computers processing massive data sets and solving complex problems at extremely high speeds.
Earnings before interest, tax, depreciation and amortisation came to $28.8 million, up from $22.3 million in 2023, it noted on Feb 26.
GVT said it expects revenue of between $90 million and $96 million in the first half of 2025, which would be a year-on-year gain of between 31.7 per cent and 40.5 per cent.
The company, which has operations in Singapore, Malaysia and China, provides engineering, assembly, testing and other services for the manufacture of complex precision machining and sheet metal components and modules.
It mostly serves manufacturing firms in the semiconductor, analytical life sciences, electronics and aerospace segments. Semiconductor revenue alone surged 64.9 per cent to $87.8 million in 2024 and was GVT’s largest contributor at 55 per cent of total turnover.
GVT said semiconductor revenue growth was also fuelled by strong demand from chip packaging firms, including customers making high bandwidth memory (HBM) chips, which boost data processing and storage. HBMs are increasingly sought after by companies that make AI accelerators such as graphics processing units.
“Our expanded involvement in advanced semiconductor manufacturing technologies will be key drivers for our future growth,” GVT said.
Revenue at its life sciences segment rose 11.3 per cent to $22.9 million, while turnover at the electronics, aerospace and medical division rose 30.3 per cent to $48.8 million.
Executive deputy chairman Ricky Lee said: “GVT’s strategic investments in capabilities and capacity to position ourselves well for next-generation semiconductor packaging and AI-driven solutions are delivering strong results.”
He said the global semiconductor industry is undergoing rapid transformation, driven by advanced manufacturing and packaging technologies for AI and HPC, adding that GVT is “well positioned to capitalise on these trends”.
In Sept 2024, the company confirmed that it is in discussions for a secondary listing on the main market of Bursa Malaysia.
GVT’s shares closed on Feb 26 at 87 cents, up 3.57 per cent.
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