Business
Highway Holdings Reports Fiscal 2022 Fourth Quarter and Year-End Results
--Sales Up Sharply for Both Periods; Return to Profitability for Year-- HONG KONG--(BUSINESS WIRE)-- Highway Holdings Limited (Nasdaq: HIHO) today reported
About this update from Highway Holdings Limited
[{"type":"text","content":"\n--Sales Up Sharply for Both Periods; Return to Profitability for Year--\n\n HONG KONG--(BUSINESS WIRE)--\nHighway Holdings Limited (Nasdaq: HIHO) today reported results for its fiscal year ended March 31, 2022 – reflecting a year-over-year improvement due to more normalized levels of operational activity at the company’s factories since the beginning of the global pandemic, coupled with increased demand for products.\n\nNet sales for the fiscal 2022 fourth quarter increased 62.8 percent to $3.0 million from $1.8 million a year ago – reflecting the benefit of a more normalized level of operations at the company’s factory in Myanmar. Sales a year ago were impacted by the closure of the company’s Myanmar factory for a two-week period in March due to the military takeover and a shortage of raw materials and components that limited production.\n\nThe company reported a reduced net loss for the quarter of $369,000, or $0.09 per share, compared with a net loss of $551,000, or $0.14 per share, a year earlier. Results for the quarter were impacted by a shutdown at the company’s factory in China for approximately 10 days due to government mandates related to Covid-related case levels in the area. In addition, results were impacted by conservative provisions related to certain items for income tax provisions, anticipated credit losses on accounts receivable, aged inventories and potential severance payments.\n\nNet sales for fiscal 2022 increased 34.8 percent to $12.4 million from $9.2 million a year ago. Net income for fiscal 2022 was $443,000, or $0.11 per diluted share, compared with a net loss of $461,000, or $0.12 per diluted share, a year earlier.\n\n“The increase in net sales for fiscal 2022, as well as the fourth quarter, was primarily attributable to (i) a more normalized level of operating activity at both our Yangon, Myanmar and Shenzhen, China factories, (ii) improved delivery of electronic components and delivery of a new electronic product to a new customer based in the United States, and (iii) a general resurgence of demand in Europe, following the reduction of COVID-19 cases,” said Roland Kohl, chairman, president and chief executive officer.\n\nHe noted fiscal 2022 financial results were impacted by world-wide material shortages, including electronic components and semiconductors, in particular electronic components and ...