Cirtek Holdings Philippines Corp.
...kumita ako dito pero maliit lang spread Tongue ok na din Tongue

Cirtek sees 35% growth this year

LAGUNA-BASED semiconductor company Cirtek Holdings Philippines Corp. said it expects its business in the country to grow by 35 percent, as it reported an increase in its core income last year.

“The company is currently evaluating acquisition opportunities that will either significantly scale up its manufacturing operations or give it access to high-end research and development capabilities,” the company said. “The company intends to increase its business with current customers through new product introduction.”

Cirtek said its core earnings, which stripped out nonrecurring items, last year reached $5.1 million, an increase of 35 percent, from $3.8 million in 2014.

Revenues rose 15 percent to $59.6 million, from the previous year’s $51.8 million.

Semiconductor sales grew by 5 percent, while sales from radio frequency, microwave and millimeter-wave products grew by 46 percent, the company said.

The company has set up a new subsidiary that will provide wireless infrastructure solutions, both connectivity and content, to large enterprises.

“Potential clients are private and public enterprises, such as malls, condominiums, educational institutions, business-outsourcing companies and connectivity, service providers, among others, that require either backhaul and access services to underserved areas and areas where there are no fiber-optic lines available,” it said.

It added it will try to win new customers by strengthening its global sales presence. Cirtek hired an experienced sales director for the United States, and appointed additional sales representatives in the US, Asia and Europe.

The global semiconductor industry is forecasted to grow between 3 percent and 5 percent in 2016. By end application, automotive and wireless communications are projected to grow stronger than the total market, whereas consumers and computers are assumed to register slower growth, Cirtek said.

The global millimeter-wave technology revenue market is expected to grow at a compounded annual growth rate of 45 percent, with a total market of $12 billion by 2020.

“The dramatic surge in wireless data traffic and need for wider network coverage will require operators to make significant investments in the backhaul space,” Cirtek said.

Pls don't follow me....I'm lost too! hehe
Cirtek’s income grew 50% to P380 million in 2016

LAGUNA-BASED Cirtek Holdings Philippines Corp. said its income surged by half last year to $7.6 million (about P380 million), from the previous year’s $5.1 million (P254 million), partly as a result of the strong performance of its semiconductor business that won three major contracts during the period.

The company said it expects to further expand its semiconductor business with both current and new customers this year.

Through its subsidiary, Cirtek Business Technologies and Solutions, the company said it has begun to provide wireless-infrastructure solution to large enterprises using internally manufactured multigigabit, millimeter-wave backhaul equipment and high-capacity broadband wireless access technologies.

Among its current and potential clients are malls, condominiums, residential developments, educational institutions, and local telco and cable operator that require access and backhaul, where traditional access infrastructure are either not available or uneconomic to roll out, it said.

Last year the company had consolidated revenues at $74.3 million (P3.7 billion), a 25-percent increase, from $59.5 million (P2.96 billion) in 2015.

“The increase in revenue was due to the growth of the company’s semiconductor and antenna systems businesses. Semiconductor sales grew by 3 percent, while antenna systems contributed $19.3 million of total consolidated sales,” it said.

In March last year, Cirtek Advanced Technology and Solutions Inc. began commercial production of spectrum and space-efficient, base-station antennas. This segment of Cirtek’s business is expected to double in 2017, the company said.

The unit manufactures and ships microwave and millimeter-wave radio system products to over 30 customers globally. It is currently performing assembly and test design for several wireless infrastructure and microwave-solutions companies, which have high potential to be new customers.

Last year the company’s semiconductor business won three major contracts from three global semiconductor companies. Among the products to be manufactured by its unit include PTVS or power transient voltage suppressor devices, MEMS or microelectromechanical systems and protection devices.

Pls don't follow me....I'm lost too! hehe
...TECH selling preferred shares

Cirtek gets nod to raise capital

The Securities and Exchange Commission approved an increase in the capital stock of Cirtek Holdings Philippines Corp. to P860 million from P560 million, a move that will allow the company to raise fresh funds through the sale of preferred shares.

Cirtek said in a disclosure to the stock exchange the higher capital would create 270 million new preferred B shares with a par value of P1 apiece and 700 million preferred A shares at P0.10 per share.

“Since the authorized capital stock of the corporation is almost fully subscribed, the corporation has very limited ability to raise equity capital for its business needs. The proposed resolutions to increase the authorized capital stock will give the corporation the flexibility to source funds for its expansion program,” Cirtek said.

The company earlier announced plans to issue 200 million preferred shares at an offer price of $1 apiece to raise as much as $200 million to fund expansion plans.

The features of the planned preferred shares offering are still being finalized.

Cirtek in July said it acquired a 100 percent stake in Quintel, a leading provider of advanced high-efficiency, high-performance antenna solution headquartered in New York, USA for $77 million.

The acquisition, Cirtek said, would give the company a significant presence in the large and rapidly growing base station antenna market, estimated to be more than $14 billion by 2020.

Quintel is a leading innovator of spectrum and space-efficient base station antennas for wireless networks. It designs, develops and delivers advanced high-efficiency and high-performance antenna solutions that help mobile operators to increase efficiency, enhance quality-of-service, slash costs and accelerate return on investments.

Cirtek over the next couple of years plans one or two more acquisitions in line with its thrust to venture into the high growth and profitable margin technology business.

With the recent acquisition of Quintel, Cirtek has increased its projected revenues this year to $125 million, up 25 percent from the original target of $100 million.

Pls don't follow me....I'm lost too! hehe
...same news as above but different newspaper Tongue

Cirtek plans $200-M preferred shares offer by November

CIRTEK PHILIPPINES Holdings Corp. looks to issue up to $200 million worth of preferred shares by November, which will primarily be used to pay debts incurred after acquiring US-based antenna firm Quintel earlier this year.

The listed electronics manufacturer said the offer will have a base size of $120 million, with an oversubscription option of up to $80 million. The issue will have an annual dividend rate of 5.25% to 5.75%, and may be redeemed after its fifth year anniversary.

“We expect approval to happen by November, first week… listed by end of November, or first week of December,” Cirtek Chief Financial Officer and Treasurer Anthony Albert S. Buyawe told reporters in a press briefing inside its manufacturing facility in Laguna on Thursday.

Cirtek tapped BPI Capital Corp. as sole book runner and co-lead underwriter of the offer, with RCBC Capital Corp. tasked to be co-lead underwriter.

Mr. Buyawe said a third of the proceeds will be used to pay existing obligations, with around 10% allotted for increased investments in research and development, while the rest will be for expanding capacity.

“That’s always been the objective — to de-lever our balance sheet, bring it down. Because if you can recall we used bridge funding for the Quintel acquisition, raised $60-$70 million, and that’s kind of heavy on the balance sheet,” Mr. Buyawe said.

The company last August completed its $77-million acquisition of Quintel, a company whose clients include large telecommunications companies in the US, including Verizon and AT&T.

Cirtek is also currently in advanced talks with a manufacturer in China to help expand its capacity, a move the company says will help cut labor costs, among others.

“What’s gonna happen is we’re going to expand our manufacturing and at the same time we’ll complement that with a subcontracting agreement with the group in China. There are certain advantages of doing that, number one is operations, they have committed that they can manufacture cheaper than we can,” Mr. Buyawe said.

The executive added this will also help them reduce freight costs since most of Cirtek’s raw materials are sourced from China.

“(There’s also the advantage on) logistics, there are more frequent flights obviously through land or through air out of China and the Philippines, and most likely cheaper also. So we want to take advantage of that,” Mr. Buyawe said.

Cirtek expects the manufacturing plant in China to be operational by the first quarter of 2018.

Asked if the company is eyeing potential acquisitions, Mr. Buyawe answered in the affirmative but noted that they would wait for Quintel to stabilize first.

“Our focus right now is really Quintel and growing the market, increasing the sales, making sure that the products we have in the pipeline come on stream on time… We will be releasing new products late this year,” Mr. Buyawe said.

Cirtek looks to generate $120 million in revenues for 2017, owing the increase to Quintel’s five-month consolidation under the company. By 2018, Cirtek said that Quintel’s contribution to revenues could reach $100 million.

Pls don't follow me....I'm lost too! hehe
...lumilinaw na paglalaanan ng capital raising nila

Cirtek eyes third-party role in government, telco antenna needs

LAGUNA-based chip maker Cirtek Holdings Philippines Corp. said it will talk to government agencies and some telecommunications firms to offer the product of its newly acquired US firm.

Cirtek Vice Chairman and President Roberto Juanchito Dispo said they will meet officials of the Department of Energy, Department of Information and Communications Technology and the National Transmission Corp. by the end of the week to explore possibilities of the company becoming a third-party supplier for the respective project of these agencies.

Cirtek said it is confident it could secure a substantial share of the fast-growing base station market for Quintel Technology Ltd., which manufactures base station antennas.

Dispo said even the antennas being used by telecommunication companies, or telcos, need replacement as demand by users increase.

Quintel, the US firm bought by Cirtek in August and a leader in the high-value multiport antenna market in North America, is also looking to increase its market share in the US to 30 percent, from the current 10 percent. Quintel added it plans to do so by securing new clients and introducing new products, as well as low-cost antennas, starting next year. Its revenues for such initiative could top $100 million by next year, or the same pace of revenue being generated by Cirtek before it acquired Quintel. Quintel is also looking to roll out low-cost six-port platforms to Southeast Asia, including the Philippines. The company said it targets telcos in the region that aim to make their network rollout quicker.

“We are investing more in Quintel to extend its technological leadership through continued innovations,” Dispo said. “We will also open new markets and build our global sales force to take advantage of the worldwide expansion in mobile telecommunications.”

Quintel also hopes to list at Nasdaq in the coming years, Dispo added.

Cirtek, meanwhile, is looking to raise as much as $200 million from the sale of preferred shares to fund expansion plans, including those for Quintel, and pay for debts. Mobile technologies and services are expected to account for 4.9 percent of projected global gross domestic product by 2020, or $4.2 trillion, from 4.4 percent in 2016 equivalent to $3.3 trillion. Most of these services will require broadband connections that could be better supported by Quintel’s multiport antenna, Cirtek said.

Pls don't follow me....I'm lost too! hehe
Reply raising

PSE approves Cirtek, 8990 share offerings

THE Philippine Stock Exchange (PSE) has given Cirtek Holdings Philippines Corp. and 8990 Holdings, Inc. the final approval to issue their respective preferred shares offerings by end-November.

The listed technology firm on Wednesday secured approval from the bourse to issue up to $120-million in preferred shares, allowing it to launch the offer on Nov. 16 up to 29 and listed on the PSE on Dec. 8.

The dividend rate of the preferred shares will be within the range of 6.25% and 6.75%, according to Cirtek Chief Finance Officer Anthony Buyawe. The company tapped RCBC Capital and BPI Capital Corp. to manage transactions of the dollar-denominated stocks.

Cirtek plans to use the proceeds of the offering to finance its expansion program.

Meanwhile, mass housing developer 8990 also received the PSE go-signal to raise up to P5 billion for the sale of 50 million preferred shares priced at P100 each.

The issuance is the initial tranche of 8990’s shelf registration covering 100 million preferred shares to be issued within a span of three years. This will be offered to investors from Nov. 17 to 23 under the symbol “8990P,” and will be listed on the main board of the PSE on Dec. 1. 8990 engaged ChinaBank Capital Corp. as the issue manager, lead underwriter, and bookrunner for the offering.

Net proceeds of the offer, pegged at around P4.95 billion, will be used to refinance existing debt obligations of the company and its subsidiary, 8990 Housing Development Corp.

The property developer noted the remaining balance of 50 million preferred shares under the shelf registration will be offered within the shelf period depending on market conditions.

Pls don't follow me....I'm lost too! hehe
...earnings report

Higher spending pulls down Cirtek’s January-September income

LAGUNA-based Cirtek Holdings Philippines Corp. said its net income fell 1 percent during the nine months of the year through September to $5.57 million, from the $5.6 million last year, despite higher sales.

This is due to the increase in the operating expenses that almost doubled, to $5.8 million from $3.1 million last year. Sales grew 26 percent year-on-year to $67.9 million, from $54 million, for the same period last year.

The increase was mainly accounted for by the sales growth of the company’s antenna systems business under Cirtek Advanced Technologies and Solutions Inc., which doubled from the same period in 2016, accounting for 30 percent of the company’s revenue over nine months, the company said.

Quintel, a United States-based antenna firm that supplies to telecommunication firms AT&T and Verizon, which Cirtek purchased in August, accounted for the 12.6 percent of the company’s revenues from two months of sales. 

Cirtek expects Quintel to double its full-year revenue in 2018 from 2017.

“Our operating entities are on track to hit forecast revenue of $100 million for 2017 before group consolidation,” the company said.

Pls don't follow me....I'm lost too! hehe
...sales up but income down

Cirtek’s 9-month net sales jump 26%

Cirtek Holdings Philippines Corp. posted a 26 percent year-on-year growth in net sales for the nine months ending September 30. Net sales rose to $67.9 million from $54 million in the same period last year.

The increase was mainly attributed to the sales growth of the company’s antenna systems business under Cirtek Advanced Technologies and Solutions Inc., which doubled from the same period in 2016, accounting for 30 percent of the company’s revenue over nine months.

In addition, Quintel, a US-based antenna firm that supplies to telco giants AT&T and Verizon, which Cirtek purchased in August, accounted for the 12.6 percent of the company’s revenues from two months of sales. The company shared that it expects Quintel to double its full-year revenue in 2018 from 2017.

Cirtek said its operating entities are on track to hit forecast revenue of $100 million for 2017 before group consolidation.

Pls don't follow me....I'm lost too! hehe
Reply may nasdaq dreams pala si TECH!

Cirtek successfully shores up capital

CIRTEK Holdings Philippines Corp. (CHPC) has raised US$67 million (P3.4 billion) from the issuance of dollar-denominated preferred shares, it told the stock exchange on Friday.

The electronics manufacturer said that the demand for its dollar-denominated preferred shares was “significant”, particularly from retail investors. The offering was conducted from November 16 to 29.

“At the higher end of the pricing range of 6.25-6.75% p.a., indicative demand was US$110 [million]. We eventually settled for a dividend rate of 6.125% p.a. which was still within Cirtek’s blended cost of debt, and at the same time gives a very decent return to investors,” Cirtek Chief Finance Officer Anthony Albert S. Buyawe said in a statement.

“The strong reception from retail investors reflect the growing acceptance and demand for dollar denominated products in the Philippine capital market,” the same statement quoted Roberto Juanchito T. Dispo, Vice Chairman and CEO of Cirtek as saying.

Proceeds from the preferred shares offering will be used to partly fund strategic acquisitions, as well as for debt retirement, capacity expansion, and research and development.

The Philippine Stock Exchange (PSE) last month approved CHPC’s bid to launch its offering of up to $200 million, according to a Nov. 13 disclosure.

CHPC announced in October that it planned to issue $200 million worth of preferred shares by November or December, mainly to pay debts incurred after acquiring United States-based antenna firm Quintel in July for $77 million.

The company had said in October that it is looking to grow revenues of Quintel to $500 million in the next three to five years.

Mr. Dispo at that time said that once Quintel reaches its revenue target of $500 million, CHPC will probably list the company on the Nasdaq Stock Market.

Pls don't follow me....I'm lost too! hehe
Cirtek expands into fintech via MultiPay

 Cirtek Holdings Philippines Corp. expects a big boost in revenues with its recent acquisition of a substantial stake in MultiPay, a leading provider of e-commerce system integrations.

The company acquired a 49 percent stake in MultiPay, paving the way for its entry into the lucrative e-commerce and financial technology space in the country and even in the region.

 “MultiPay signals our entry into the fast-growing e-commerce and fintech space,” Cirtek vice chairman and president Roberto Juanchito Dispo said in a briefing yesterday.

 Cirtek’s first major software investment will not only be immediately earnings accretive, but will also strengthen the listed firm’s software development capabilities and open opportunities in the fast-growing electronic commerce space.

For this year alone, the company expects MultiPay to generate P300-to P500-million in revenues, said Cirtek chief finance officer Anthony Buyawe.

Dispo said Cirtek and MultiPay want to take advantage of the vast growth potential of the e-commerce industry in the country.

Estimates by Statista, a leading web-based statistics company, placed e-commerce transaction value in the Philippines, including bills payments and online money transfers, at $4.1 billion in 2016. The figure is projected to grow to $10.6 billion in 2020 as more Filipinos access the internet.

The growth in Philippine transaction value is faster at 160 percent compared to the projected 114 percent for global transaction value, Dispo said.

 “The consolidation of Cirtek’s core strength in hardware and connectivity with MultiPay’s expertise in software and technology systems makes us confident we will be able to provide effective and innovative e-commerce solutions to the emerging markets in the region,” he added.

MultiPay is the exclusive technology partner of the three leading payment channels in the Philippines. It also provides back-end and integration support to more than 30,000 payment channels worldwide.

Pls don't follow me....I'm lost too! hehe

Forum Jump:

Users browsing this thread: 1 Guest(s)