SINGAPORE -- SMT Holdings' revenue for the three months ended March 31 was HK$144.1 million ($18.59 million), essentially flat year-over-year. The profit fell to HK$1.5 million from HK$168.4 million a year ago.

Last year's operating profit included a restructuring gain of HK$159.1 million; without it, the profit would have been HK$9.3 million.

Sequentially, revenue decreased from HK$180 million to HK$144.1 million, due mainly to typical seasonality.

For the quarter, 93% of SMT's revenue came from the industrial sector, the remainder from consumer electronics OEMs.

SMT generates most of its sales (86%) from the US and Europe, where the first quarter GDP growth was below expectations. China economy continues to slow, while Japan’s economy holds steady, the company observed. Regional conflicts have introduced more uncertainty and volatility, and as such the economic outlook remains cautious, the firm said.

The EMS company said it sees increases in demand from most of its existing customers, in particular those from Europe. Escalating operating costs in China remain challenging.

Finally, the firm received a delisting notice from the Singapore Exchange and we will be seeking shareholder approval to delist and privatize as a Bermuda company.

Ed.: 1 USD = 7.75269 HKD