KUALA LUMPUR (Jan 5): Electronics manufacturing services (EMS) provider VS Industry Bhd (VS) is eyeing to expand its offering to its South East Asia clientele as a growth strategy.
In a statement Monday following the company’s annual general meeting, VS managing director Datuk Gan Sem Yam said the region had in recent years become a preferred destination for international brands to source their manufacturing requirements, due to the region’s easy access to emerging Asian markets, low manufacturing costs and pro-business government policies.
“Since the 1980s, VS has established a strong reputation for supporting customers from Japan, Europe, the UK and USA.
“We continue to be in talks with several potential customers in the consumer electronics space, and hope to capture this demand,” said Gan.
He added that the weakening ringgit against the greenback would not adversely impact VS, given that the company’s exports and corresponding purchases were denominated in US Dollars.
“We enjoy a natural hedge as we buy certain raw materials and also make a portion of sales in US dollar
“The nature of our business as a manufacturer-cum-exporter essentially shields us from the weaker ringgit, and may prove beneficial to the group,” he said.
At 12.30pm, VS rose 0.78% or two sen to RM2.60 with 575,100 shares done.