SFA Semicon Philippines Corporation (PSE:SSP) disclosed that it has repurchased a total of 6,822,000 of its own shares as of August 11, 2022, 21 trading days after it started trading on July 14, 2022 in implementation of its share buyback program.
The 6,822,000 common shares repurchased as of August 11, 2022 represents 0.32% of SSP’s total issued and outstanding shares of 2,165,024,111 before the start of the program. SSP’s outstanding shares as of August 11, 2022 is 2,158,202,111 after the 6,822,000 repurchased shares have reverted to treasury.
SSP’s share price has appreciated to P1.47 per share at the close of trading on August 11, 48% up from the P0.99 per share closing price on June 29, the day that SSP had approved, and disclosed to the public, its share buyback program. Comparatively, the PSEi market barometer closed at 6,680.68 index point as of August 11, just 6% over the closing index of 6,303.19 on June 29.
“We are optimistic about the prospects for SSP shares despite the sideways movement and bearish sentiment of the Philippine stock market,” –
– Mr. Dong Hwan Im, SSP Chairman and President
SSP disclosed that SSP is putting in place customer-supplied machineries and equipment’s module testing lines in its Phase 1 and Phase 2 manufacturing facilities, for the manufacture of DDR4 Memory Modules for initial shipment starting in August this year with the succeeding shipments to be made until 2023. DDR4 Memory Modules have higher density, exceptional speed, and low energy consumption than the DDR3 version.
SSP is also constructing a new 8,000 sq. m. two-storey warehouse that will store finished products and raw materials, and expand the utilities facility that produces compressed air, process water and steam and air conditioning for the increased requirements of the Phase 1 manufacturing plant.
Mr. Im explained that the expansion of SSP’s warehouse and ancillary facilities is to enable SSP’s servicing of the increased order requirements of its end-customer through its parent company, SFA Semicon Co. Ltd. of South Korea.
“The expansion of production orders by our long-time end-customer is a testimony to the outstanding manufacturing efficiencies and productivity of SSP” President Im added.
SSP is Clark Freeport Zone’s leading exporter of semiconductors with aggregate shipment value of US$4.16 billion in 2021. It reported gross revenues of US$347.02 million and net income after tax of US$12.74 million last year.