false 0000732026 0000732026 2024-11-12 2024-11-12
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
 
FORM 8-K
 
CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
 
Date of report (Date of earliest event reported): November 12, 2024
 
TRIO-TECH INTERNATIONAL

(Exact Name of Registrant as Specified in Its Charter)
 
California

(State or Other Jurisdiction of Incorporation)
 
1-14523 95-2086631
(Commission File Number) (IRS Employer Identification No.)
 
Block 1008 Toa Payoh North, Unit 03-09 Singapore 318996
(Address of Principal Executive Offices) (Zip Code)
                                                                         
(65) 6265 3300

(Registrant’s Telephone Number, Including Area Code)
 
 
 

(Former Name or Former Address, if Changed Since Last Report)
 
 
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
 
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
 
 
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
 
 
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
 
 
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
 
Securities registered or to be registered pursuant to Section 12(b) of the Act:
 
Title of each class
Trading
Symbol(s)
Name of each exchange on which registered
     
Common Stock, no par value
TRT
NYSE American
 
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b2 of the Securities Exchange Act of 1934 (17 CFR 240.12b2) Emerging growth company
 
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act ☐
 
 

 
Item 2.02 Results of Operations and Financial Conditions
 
On November 12, 2024, Trio-Tech International issued a press release announcing its financial results for the fiscal quarter ended September 30, 2024. A copy of the press release is attached as Exhibit 99.1.
 
 
The information in this Current Report, including the exhibit hereto, is being furnished and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. The information in this Current Report, including the exhibit hereto, shall not be incorporated by reference into any filings under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
 
 
Item 9.01 Financial Statements and Exhibits
 
(d) Exhibits
 
 
104  Cover Page Interactive Data File (embedded within the Inline XBRL document)
 
 

 
SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
Date:   November 12, 2024
TRIO-TECH INTERNATIONAL
By:
/s/ SRINIVASAN ANITHA
Name:
Srinivasan Anitha
Title:
Chief Financial Officer
 
 

 
EXIBIT INDEX
 
 
Exhibit Number Description
   
99.1 Press Release of Trio-Tech International dated November 12, 2024
 
 
 

Exhibit 99.1

 

logo01.jpg

LOS ANGELES

SINGAPORE

KUALA LUMPUR

BANGKOK

SUZHOU

TIANJIN

CHONGQING

JIANGSU

 

 FOR IMMEDIATE RELEASE

Company Contact:         

 Siew Wai Yong                   

 Chairman & CEO          

 (818) 787-7000

Investor Contact:

Berkman Associates

(310) 927-3108

robert.jacobs@jacobscon.com

 

Trio-Tech Reports $133,000 Operating Profit

in First Quarter 2025 Financial Results

 

Van Nuys, CA -- November 12, 2024 – Trio-Tech International (NYSE MKT: TRT), a comprehensive provider of semi-conductor back-end solutions and a global value-added supplier of electronic equipment, today announced financial results for the first quarter of fiscal 2025.

 

First Quarter 2025 Financial Results

 

 

Income from operations was $133,000 compared to a loss from operations of $1,000 for the first quarter of fiscal 2024.

 

 

Revenue was $9,799,000 compared to $9,966,000 in the first quarter of fiscal 2024. The reduction was principally the result of reduced demand for semiconductor services.

 

 

Gross margin was $2,322,000, or 24% of revenue compared to gross margin of $2,520,000, or 25% of revenue, for the first quarter of fiscal 2024.

 

 

Reflecting ongoing cost reduction efforts, General and administrative expenses decreased to $1,964,000, or 20% of revenue, from $2,158,000, or 22% of revenue, last year. Together with reduced selling expenses, total operating expenses fell 13% to $2,189,000, or 22% of revenue, compared to $2,521,000, or 25% of revenue, for the first quarter of fiscal 2024.

 

 

Net loss was $236,000, or $0.06 per share compared to net income of $230,000, or $0.05 per diluted share, for the first quarter of fiscal 2024.

 

A significant decrease in the exchange value of the U.S. dollar relative to the Singapore dollar resulted in a $460,000 unrealized currency exchange loss and $46,000 realized currency exchange loss, compared to a currency exchange gain of $59,000 in the same quarter last year.

 

 

Cash and cash equivalents at September 30, 2024, was $8,948,000 compared to $10,035,000 at June 30, 2024.

 

 

Shareholders' equity increased to $33,440,000, or $7.87 per outstanding share, compared to $31,578,000, or $7.43 per outstanding share, at June 30, 2024, principally due to an increase in accumulated other comprehensive income in the first quarter of Fiscal 2025 due to the softening of the U.S. dollar. There were approximately 4,250,305 common shares outstanding at September 30, 2024 and June 30, 2024.

 

(more

 

16139 Wyandotte Street, Van Nuys, CA 91406, USA ● TEL: (818) 787-7000 ● FAX (818) 787-9130

 

 

 

 

Trio-Tech Reports $133,000 Operating Profit

November 12, 2024

Page Two

 

 

CEO Comments

 

S.W. Yong, Trio-Tech's Chairman & CEO, said, “Starting from the first quarter of fiscal 2025, we have adjusted our financial segment reporting to better align with our business focus and strategy. The new segments are defined by the characteristics of our end markets. The “Semiconductor Back-end Solutions” (SBS) segment includes the primary semiconductor back-end equipment manufacturing and testing operations that cater to the semiconductor industry. Meanwhile, the value-added distribution business, along with our services and equipment manufacturing operations serving customers from various industries, are collectively reported under the “Industrial Electronics” (IE) segment. We are confident that the new segmentation will help us ensure that time, money, and effort are invested where they maximize returns for our shareholders.

 

The IE segment performed well in the quarter, improving sales, but with a drop in gross margins due to an unfavorable product mix. The SBS segment also performed well in the face of continuing weakness in the global semiconductor industry. Our operating cost controls enabled Trio-Tech to achieve an operating profit for this year’s first quarter compared to an operating loss last year, an encouraging start to the new year. We are focusing on factors within our control to achieve profitability despite a volatile market environment.”

 

About TrioTech

 

Established in 1958, Trio-Tech International is located in Van Nuys, California, with its Principal Executive Office and regional headquarter in Singapore. The Company provides comprehensive electrical, environmental, and burn-in testing services to semiconductor manufacturers in Asia. The Company designs and manufactures an extensive range of burn-in and reliability test equipment used in the “back-end” manufacturing processes of semiconductors.

 

The Company also designs, manufactures and distributes an extensive range of Test, Process and other equipment used in the manufacturing processes of customers in various industries in the consumer and industrial market. The Company also acts as a design-in reseller of a wide range of camera modules, LCD displays and touch screen panels.

 

Our subsidiary locations include Tianjin, Suzhou, Chongqing and Jiangsu in China, as well as Kuala Lumpur Malaysia and Bangkok Thailand. Further information about Trio-Tech's products and services can be obtained from the Company's Web site at www.triotech.com and www.universalfareast.com.

 

 

(more)

 

 

 

 

Trio-Tech Reports $133,000 Operating Profit

November 12, 2024

Page Three

 

 

Forward Looking Statements

 

This press release contains statements that are forward looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and may contain forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and assumptions regarding future activities and results of operations of the Company. In light of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995, the following factors, among others, could cause actual results to differ materially from those reflected in any forward looking statements made by or on behalf of the Company: market acceptance of Company products and services; the divestiture of one or more business segments in response to, among other factors, changing business conditions or technologies and volatility in the semiconductor industry, which could affect demand for the Company's products and services; the impact of competition; problems with technology; product development schedules; delivery schedules; changes in military or commercial testing specifications which could affect the market for the Company's products and services; difficulties in profitably integrating acquired businesses, if any, into the Company; risks associated with conducting business internationally and especially in Asia, including currency fluctuations and devaluation, currency restrictions, local laws and restrictions and possible social, political and economic instability; changes in U.S. and global financial and equity markets, including market disruptions and significant interest rate fluctuations; trade tension between U.S. and China and other economic, financial and regulatory factors beyond the Company's control. Other than statements of historical fact, all statements made in this release are forward looking, including, but not limited to, statements regarding industry prospects, future results of operations or financial position, and statements of our intent, belief and current expectations about our strategic direction, prospective and future financial results and condition. In some cases, you can identify forward looking statements by the use of terminology such as "may," "will," "expects," "plans," "anticipates," "estimates," "potential," "believes," "can impact," "continue," or the negative thereof or other comparable terminology. Forward looking statements involve risks and uncertainties that are inherently difficult to predict, which could cause actual outcomes and results to differ materially from our expectations, forecasts and assumptions. Many of these risks and uncertainties are beyond the Company's control. Reference is made to the discussion of risk factors detailed in the Company's filings with the Securities and Exchange Commission including its reports on Form 10-K and 10-Q. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made.

 

 

(tables attached)

 

 

 

TRIOTECH INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE (LOSS) / INCOME

UNAUDITED (IN THOUSANDS, EXCEPT EARNINGS PER SHARE)

 

   

Three Months Ended

 
   

September 30,

 
    2024     2023  

Revenue

               

Semiconductor Back-end Solutions

  $ 6,879     $ 7,176  

Industrial Electronics

    2,914       2,783  

Others

    6       7  
      9,799       9,966  

Cost of Sales

    7,477       7,446  

Gross Margin

    2,322       2,520  

Operating Expenses:

               

General and administrative

    1,964       2,158  

Selling

    150       187  

Research and development

    88       85  

(Gain) / Loss on disposal of property, plant and equipment

    (13 )     91  

Total operating expense

    2,189       2,521  

Income / (Loss) from Operations

    133       (1 )
                 

Other (Expenses) / Income

               

Interest expense

    (13 )     (24 )

Other (expense) / income, net

    (365 )     196  

Government Grant

    66       73  

Total other (expense) / income

    (312 )     245  

(Loss) / Income from Continuing Operations before Income Taxes

    (179 )     244  

Income Tax Expenses

    (51 )     (37 )

(Loss) / Income from Continuing Operations before Non-controlling Interest, net of tax

    (230 )     207  

Loss from Discontinued Operations, net of tax

    7       --  

NET (LOSS) / INCOME

    (223 )     207  
                 

Less: Net Income / (Loss) Attributable to the Non-controlling Interest

    13       (23 )
                 

Net (Loss) / Income Attributable to Trio-Tech International

    (236 )     230  
                 

Amounts Attributable to Trio-Tech International:

               

(Loss) / Income from continuing operations, net of tax

    (240 )     227  

Income from discontinued operations, net of tax

    4       3  

Net (Loss) / Income Attributable to Trio-Tech International

  $ (236 )   $ 230  
                 

Earnings per share

               

Basic (loss) / earnings per share

  $ (0.06 )   $ 0.06  

Diluted (loss) / earnings per share

  $ (0.06 )   $ 0.05  
                 

Weighted Average Shares Outstanding – Basic

    4,250       4,096  

Weighted Average Shares Outstanding – Diluted

    4,335       4,280  

 

 

 

TRIOTECH INTERNATIONAL AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME

UNAUDITED (IN THOUSANDS, EXCEPT EARNINGS PER SHARE)

 

   

Three Months Ended

 
   

September 30,

 
   

2024

   

2023

 

Comprehensive Income Attributable to Trio-Tech International:

               

Net (Loss) / Income

  $ (223 )   $ 207  

Foreign Currency Translation, net of tax

    2,014       (183 )

Comprehensive Income

    1,791       24  

Less: Comprehensive Income / (Loss) Attributable to Non-controlling Interests

    139       (2 )

Comprehensive Income Attributable to Trio-Tech International

  $ 1,652     $ 26  

 

 

 

 

TRIOTECH INTERNATIONAL AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(IN THOUSANDS, EXCEPT NUMBER OF SHARES)

 

     

Sep. 30,

   

Jun. 30,

 
     

2024

   

2024

 
     

(Unaudited)

         
ASSETS                  

CURRENT ASSETS:

                 

Cash and cash equivalents

    $ 8,948     $ 10,035  

Short-term deposits

      6,509       6,497  

Trade account receivables, net

      12,094       10,661  

Other receivables

      655       541  

Inventories, net

      2,872       3,162  

Prepaid expenses and other current assets

      593       536  

Restricted term deposits

      804       750  

Total current assets

      32,475       32,182  

NON-CURRENT ASSETS:

                 

Deferred tax assets

      139       124  

Investment properties, net

      404       407  

Property, plant and equipment, net

      6,273       5,937  

Operating lease right-of-use assets

      1,626       1,887  

Other assets

      125       232  

Restricted term deposits

      1,898       1,771  

Total non-current assets

      10,465       10,358  

TOTAL ASSETS

    $ 42,940     $ 42,540  
                   

LIABILITIES AND SHAREHOLDERS’ EQUITY

                 

CURRENT LIABILITIES:

                 

Accounts payable

    $ 2,375     $ 3,175  

Accrued expense

      3,260       3,634  

Contract liabilities

      827       754  

Income taxes payable

      244       379  

Current portion of bank loans payable

      289       261  

Current portion of finance leases

      49       57  

Current portion of operating leases

      1,095       1,162  

Total current liabilities

      8,139       9,422  

NON-CURRENT LIABILITIES:

                 

Bank loans payable, net of current portion

      634       613  

Finance leases, net of current portion

      24       34  

Operating leases, net of current portion

      531       725  

Income taxes payable, net of current portion

      142       141  

Other non-current liabilities

      30       27  

Total non-current liabilities

      1,361       1,540  

TOTAL LIABILITIES

    $ 9,500     $ 10,962  
                   

EQUITY

                 

TRIO-TECH INTERNATIONAL'S SHAREHOLDERS' EQUITY:

                 

Common stock, no par value, 15,000,000 shares authorized; 4,250,305 shares issued and outstanding at September 30, 2024 and June 30, 2024

      13,325       13,325  

Paid-in capital

      5,602       5,531  

Accumulated retained earnings

      11,577       11,813  

Accumulated other comprehensive income-translation adjustments

      2,548       660  

Total Trio-Tech International shareholders' equity

      33,052       31,329  

Non-controlling interest

      388       249  

TOTAL EQUITY

      33,440       31,578  

TOTAL LIABILITIES AND EQUITY

    $ 42,940     $ 42,540  

 

 
v3.24.3
Document And Entity Information
Nov. 12, 2024
Document Information [Line Items]  
Entity, Registrant Name TRIO-TECH INTERNATIONAL
Document, Type 8-K
Document, Period End Date Nov. 12, 2024
Entity, Incorporation, State or Country Code CA
Entity, File Number 1-14523
Entity, Tax Identification Number 95-2086631
Entity, Address, Address Line One Block 1008 Toa Payoh North
Entity, Address, Address Line Two Unit 03-09
Entity, Address, Country SG
Entity, Address, Postal Zip Code 318996
City Area Code 65
Local Phone Number 6265 3300
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common Stock
Trading Symbol TRT
Security Exchange Name NYSE
Entity, Emerging Growth Company false
Amendment Flag false
Entity, Central Index Key 0000732026

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