VITROX CORPORATION BERHAD

(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
(The figures have not been audited)

INDIVIDUAL QUARTER CUMULATIVE QUARTER

Preceding year Preceding year
Current period corresponding Current period corresponding
quarter quarter to date period
31-Dec-14 31-Dec-13 31-Dec-14 31-Dec-13
Note RM'000 RM'000 RM'000 RM'000

Revenue 42,502 28,518 169,939 106,104

Other operating income 5,747 1,178 9,118 5,072

Operating expenses (34,715) (24,233) (128,847) (86,071)

Finance costs (27) (73) (187) (298)

Profit before tax B14 13,507 5,390 50,023 24,807

Tax income/(expense) 230 (131) (914) (744)

Profit for the period 13,737 5,259 49,109 24,063

Other comprehensive income:

Currency translation of
differences for the foreign
operation 44 0 51 6

Other comprehensive income

for the period 44 0 51 6

Total comprehensive income

for the period 13,781 5,259 49,160 24,069

Earnings Per Ordinary Share

attributable to ordinary equity
holders of the Company (sen)
- Basic 5.91 2.28 21.12 10.41
- Diluted 5.91 N/A 21.11 N/A

The Condensed Consolidated Statement of Comprehensive Income should be read in conjunction with the audited financial statements
for the year ended 31 December 2013 and the accompanying explanatory notes attached to the interim financial statements.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(The figures have not been audited)

As at As at
31-Dec-14 31-Dec-13
RM'000 RM'000
(unaudited) (audited)
ASSETS
Non-current assets
Property, plant and equipment 35,021 31,939
Investment properties 600 600
Investment in club membership - at cost 91 91
Development expenditure 2,923 3,966
38,635 36,596
Current assets
Inventories 50,266 36,978
Trade and other receivables 69,881 51,787
Prepayments 7,971 1,352
Current tax assets 351 213
Cash and cash equivalents 60,629 40,458
189,098 130,788
TOTAL ASSETS 227,733 167,384

EQUITY AND LIABILITIES

Capital and reserves attributable to equity
holders of the Company
Share capital 23,274 23,250
Less: Treasury shares, at cost 0 (933)
Reserves 151,545 108,903
Total equity 174,819 131,220

Non-current liabilities
Term loan - secured 3,172 10,854
Deferred tax liabilities 257 763
Deferred income on government grant 2,963 2,626
Total non-current liabilities 6,392 14,243

Current liabilities
Trade and other payables 38,795 17,281
Dividend payable 4,655 2,307
Term loan - secured 1,407 1,338
Financial liabilities at fair value through profit or loss 1,016 121
Advance payment from customers 649 874
Total current liabilities 46,522 21,921
Total liabilities 52,914 36,164

TOTAL EQUITY AND LIABILITIES 227,733 167,384

Net assets value per share attributable to

ordinary equity holders of the parent (sen) 75.11 56.75

The Condensed Consolidated Statement of Financial Position should be read in conjunction with the audited financial statements for the
year ended 31 December 2013 and the accompanying explanatory notes attached to the interim financial statements.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(The figures have not been audited)
Share Currenc y
Share Treasury Share Option Translation Retained Total
Capital Share Premium Reserve Reserve Profits Equity
RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000
P e riod e nde d 3 1 De c e mbe r 2 0 14
Balanc e as at 1 January 2014 23,250 (933) 4,894 0 10 103,999 131,220

Profit for the financ ial period 0 0 0 0 0 49,109 49,109

Currenc y translation differenc es for foreign operation
(representing other c omprehensive inc ome for the financ ial period) 0 0 0 0 51 0 51
Total c omprehensive income for the financ ial period 0 0 0 0 51 49,109 49,160

Reissue of treasury shares 0 933 821 0 0 0 1,754

Issuance of shares pursuant to ESOS 24 0 588 (228) 0 0 384
Share- based payments 0 0 0 1,606 0 0 1,606
Dividends 0 0 0 0 0 (9,305) (9,305)
Total transac tion with owners 24 933 1,409 1,378 0 (9,305) (5,561)

Balanc e as at 31 Dec ember 2014 23,274 0 6,303 1,378 61 143,803 174,819

P e riod e nde d 3 1 De c e mbe r 2 0 13

Balanc e as at 1 January 2013 23,250 (910) 4,663 0 4 87,446 114,453

Profit for the financ ial period 0 0 0 0 0 24,063 24,063

Currenc y translation differenc es for foreign operation
(representing other c omprehensive inc ome for the financ ial period) 0 0 0 0 6 0 6
Total c omprehensive income for the financ ial period 0 0 0 0 6 24,063 24,069

Purc hase of own shares 0 (395) 0 0 0 0 (395)

Reissue of treasury shares 0 372 231 0 0 0 603
Dividends 0 0 0 0 0 (7,510) (7,510)
Total transac tion with owners 0 (23) 231 0 0 (7,510) (7,302)

Balanc e as at 31 Dec ember 2013 23,250 (933) 4,894 0 10 103,999 131,220

The Condensed Consolidated Statement of Changes in Equity should be read in conjunction with the audited financial statements for the year ended 31 December 2013 and the accompanying explanatory notes
attached to the interim financial statement.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(The figures have not been audited)
Period ended Period ended
31-Dec-14 31-Dec-13
CASH FLOW FROM OPERATING ACTIVITIES RM'000 RM'000
Profit bef ore tax 50,023 24,807
Adjustment for:
Allow ance for slow moving inventories 1,701 2,419
Amortisation and depreciation 4,219 2,847
Amortisation of deferred income (591) (371)
Impairment loss on loans and receivables 486 53
Interest expense 187 298
Interest income (914) (717)
Loss on disposal of property, plant and equipment 1 0
Reversal of allow ance for slow moving inventories (2,419) (2,388)
Reversal of impairment loss on loans and receivables (141) (655)
Share-based payments 1,607 0
Unrealised loss on financial instruments at fair value
through profit or loss 1,016 121
Unrealised (gain)/loss on foreign exchange (4,816) 191
Operating profit before w orking capital changes 50,359 26,605
Change in:
Inventories and receivables (34,594) (19,428)
Payables and advance payments 20,939 959
Financial instruments at f air value through profit or loss (121) 14
Cash generated from operations 36,583 8,150
Tax paid (1,639) (968)
Tax refunded 80 170
Net cash from operating activities 35,024 7,352

CASH FLOW FROM INVESTING ACTIVITIES

Additions of development expenditure (167) (2,304)
Grant received 1,447 1,129
Interest received 947 699
Proceeds from disposal of property, plant and equipment 2 0
Purchase of property, plant and equipment (6,093) (3,785)
Net cash used in investing activities (3,864) (4,261)

CASH FLOW FROM FINANCING ACTIVITIES

Dividend paid (6,957) (5,203)
Interest paid (203) (300)
Proceeds from issue of shares 384 0
Purchase of ow n shares 0 (395)
Reissue of treasury shares 1,754 603
Repayment of term loans (7,371) (1,261)
Net cash used in financing activities (12,393) (6,556)

Currency translation dif ferences 1,404 8

Net increase/(decrease) in cash and cash equivalents 20,171 (3,457)
Cash and cash equivalents at beginning of period 40,458 43,915
Cash and cash equivalents at end of period 60,629 40,458

Cash and cash equivalents consist of :-

Highly liquid investments 24,004 12,053
Term deposits w ith licensed banks 14,446 14,438
Cash and bank balances 22,179 13,967
60,629 40,458

The Condensed Consolidated Statement of Cash flows should be read in conjunction with the audited financial statements for the year
ended 31 December 2013 and the accompanying explanatory notes attached to the interim financial statements.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
A. NOTES TO THE INTERIM FINANCIAL REPORT

A1 Basis of preparation of Interim Financial Report

The interim financial report is unaudited and has been prepared in compliance with MFRS 134, “Interim
Financial Reporting”, issued by the Malaysian Accounting Standards Board (“MASB”) and the disclosure
requirements as set out in Appendix 9B of the Listing Requirements of Bursa Malaysia Securities Berhad
for the Main Market (“Main Market Listing Requirement”). This Condensed Report also complies with IAS
34: Interim Financial Reporting issued by the International Accounting Standards Board (“IASB”).

The Interim financial report should be read in conjunction with the audited financial statements for the
year ended 31 December 2013. These explanatory notes attached to the interim financial report provide
an explanation of events and transactions that are significant to an understanding of the changes in the
financial position and performance of the Group since the year ended 31 December 2013.

The accounting policies and methods of computation adopted for the interim financial report are
consistent with those adopted by the Group in the audited financial statements for the year ended 31
December 2013, except for the adoption of new Malaysian Financial Reporting Standards (“MFRS”) that
are effective for financial period beginning on or after 1 January 2014. The adoption of new MFRSs does
not have any significant impacts on the financial statements.

A2 Seasonal or cyclical factors

The Group’s operation is dependent on the cyclical trend of the semiconductors and electronics
industries.

A3 Unusual items affecting assets, liabilities, equity, net income or cash flows
There were no unusual items affecting assets, liabilities, equity, net income or cash flows of the Group for
the period under review.

A4 Material changes in estimates

There were no changes in nature and amount of estimates reported in prior financial years which may
have a material effect in the period under review.

A5 Debts and equity securities

There were no other issuance and repayment of debts and equity securities, share buy-backs, share
cancellations, shares held as treasury shares and resale of treasury shares for the quarter under review
except for:-

During the current quarter, the Company issued 2,850 new ordinary shares of RM0.10 each at average
exercise price of RM1.63 pursuant to the Employee Shares Option Scheme (“ESOS”).

A6 Dividend paid

In respect of the financial year ended 31 December 2013, the Company paid the following dividends:-

i) the special dividend of 1.5 sen per share tax exempt amounting to RM3,487,500 and final
dividend of 0.5 sen per share tax exempt amounting to RM1,162,500 for the financial year ended
31 December 2013 were paid on 24 July 2014.

ii) an interim dividend of 1 sen per share tax exempt amounting to RM2,307,428 for the financial
year ended 31 December 2013 were paid on 20 January 2014.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
A. NOTES TO THE INTERIM FINANCIAL REPORT (cont’d)

A7 Segment reporting
No segment reporting has been prepared as the Group is principally engaged in development and
production of machine vision inspection products.

A8 Material events subsequent to the end of the quarter

There were no materials events subsequent to the end of the current reporting period that have not been
reflected in the financial statements for the said period.

A9 Changes in the composition of the Group

There were no material changes in the composition of the Group during the period under review.

A10 Contingent assets or contingent liabilities

There were no contingent assets or liabilities for the Group since the previous financial year ended 31
December 2013 to the date of this report.

A11 Capital commitments

Authorised contracted capital commitments not provided for in the interim financial statements as at 31
December 2014 is RM28,138,000.

A12 Significant related party transactions

There were no significant related party transactions during the period under review.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
B. DISCLOSURE REQUIREMENTS AS SET OUT IN APPENDIX 9B OF BURSA SECURITIES
MAIN MARKET LISTING REQUIREMENTS

B1 Review of performance
The Group achieved revenue of RM42.50 million for the period under review against RM28.52 million in
the corresponding period of preceding year, representing an increase of 49%. The increase in revenue
against the same quarter last year was mainly due to increase in sales from Machine Vision System
(MVS), Automated Board Inspection (ABI) and Electronics Communication System (ECS). Sales from
MVS, ABI and ECS have recorded an increase of 89%, 35% and 19% respectively against the
corresponding period of preceding year. The increase in sales recorded was mainly due to higher
demand from customers.

The Group achieved a profit before tax of RM13.51 million against profit before tax of RM5.39 million in
the corresponding quarter, representing an increase of 151%. The higher profit before tax was attributed
to increase in sales recorded, appreciation of US Dollar and grant related income received.
Correspondingly, the Group recorded a profit after tax of RM13.74 million against profit after tax of
RM5.26 million in the corresponding quarter.

B2 Variation of results against immediate preceding quarter

The Group recorded revenue and profit before tax of RM42.50 million and RM13.51 million respectively
for the current quarter under review against revenue and profit before tax of RM39.51 million and
RM11.68 million respectively for the immediate preceding quarter. The increase in revenue and profit
were attributed to increase in sales recorded for ABI. Sales from ABI have recoded an increase of 61%,
against the immediate preceding quarter, due to increase in customers demand.

B3 Prospects for the financial year ending 31 December 2015

We will continue to focus on market expansion activities, customer relationship building and product
innovation to grow our business further in the new financial year. In view of positive market outlooks in
the semiconductor and electronics industries, the board is optimistic on the business prospect for the new
financial year.

B4 Profit forecast, profit guarantee and internal targets

The Group did not provide any profit forecast, profit guarantee and internal targets in any public
document or any announcements made.

B5 Tax income/(expense)

INDIVIDUAL QUARTER CUMULATIVE QUARTER

Preceding year Preceding year
Current year corresponding Current year corresponding
quarter quarter period period
31-Dec-14 31-Dec-13 31-Dec-14 31-Dec-13
RM'000 RM'000 RM'000 RM'000
Tax based on the results
for the period under review 230 (131) (914) (744)

ViTrox Corporation Berhad (“VCB”) is a MSC status company and enjoys pioneer status/tax exempt
incentive for certain qualifying products granted by the Ministry of International Trade and Industry (“MITI”)
for a period of 5 years of pioneer status from Multimedia Development Corporation Sdn Bhd (‘MDec”)
and MITI. On 22 September 2010, VTSB has been granted another extension 5 years of pioneer status
by MDec and MITI from 25 January 2010 to 25 January 2015.
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
B. DISCLOSURE REQUIREMENTS AS SET OUT IN APPENDIX 9B OF BURSA SECURITIES
MAIN MARKET LISTING REQUIREMENTS (cont’d)

B5 Tax expense/(income) (cont’d)

A wholly-owned subsidiary of VCB, ViTrox Technologies Sdn.Bhd. (“VTSB”) has been granted pioneer
status by MITI for a period of 5 years for the development and production of digital automated vision
inspection equipment and modules. The incentive commenced from 1 April 2005 to 31 March 2010
(extendable for further 5 years). The current provision of income tax is in respect of certain non-business
income and non-tax exempted income generated from non-pioneer products of VTSB. On 29 July 2010,
VTSB has been granted another extension 5 years of pioneer status by MITI from 1 April 2010 to 31
March 2015.

Another wholly-owned subsidiary of VCB, ViE Technologies Sdn.Bhd. (“ViE”) has also been granted
pioneer status by MITI for a period of 5 years to undertake activities relating to design, development and
manufacture of embedded high density electronic modules. The incentive commenced from 1 January
2013 to 31 December 2017.The current provision of income tax is in respect of certain non-business
income and non-tax exempted income generated from non-pioneer products of ViE.

B6 Status of corporate proposals announced

There was no corporate proposal announced and not completed as at the date of this report.

B7 Group borrowings
As at As at
31-Dec-14 31-Dec-13
RM'000 RM'000
Short term borrowings - secured
Foreign currency term loan in USD 1,407 1,338

Long term borrowings - secured

Foreign currency term loan in USD 3,172 10,854
4,579 12,192

B8 Financial instruments
The carrying amounts of receivables, cash and cash equivalents and payables which are short-term in
nature or repayable on demand are reasonable approximations of fair values.

The fair value of term loan is measured using present value technique by discounting the expected future
cash flows using observable current market interest rates for similar liabilities (i.e. Level 2). The fair value
measured is considered to be reasonably close to the carrying amount reported as the observable
current market interest rates also approximate to the effective interest rate of term loan.

The fair value of forward exchange contracts were quoted by the financial institutions, which normally
measured the fair values using present value technique by discounting the differences between
contractual forward prices and observable current market forward prices using risk-free interest rate (i.e.
Level 2).

As at 31 December 2014, the Group’s outstanding derivatives are as follows:-

Contract value Fair value

RM'000 RM'000

Forward foreign exchange contracts

- Less than 1 year 14,243 1,016
VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
B. DISCLOSURE REQUIREMENTS AS SET OUT IN APPENDIX 9B OF BURSA SECURITIES
MAIN MARKET LISTING REQUIREMENTS (cont’d)

B9 Breakdown of realised and unrealised profits or losses of the Group

As at As at
31-Dec-14 30-Sep-14
RM'000 RM'000

Total retained profits of the Company and its subsidiaries:-

- Realised 144,544 140,913
- Unrealised 4,365 598
148,909 141,511
Less : Consolidation adjustments (5,106) (6,790)
Total group retained profits as per consolidated accounts 143,803 134,721

B10 Material litigation

As the date of this announcement, the Group is not engaged in any material litigation and the Board of
Directors do not have any knowledge of any proceedings pending or threatened against the Group.

B11 Dividends
On 4 December 2014, the Company declared an interim dividend of 2 sen per share tax exempt
amounting to RM4,654,704 for the financial year ended 31 December 2014 which was paid to all holders
of ordinary share on 22 January 2015 whose names appeared in the Record of Depositors at the close of
business on 31 December 2014.

B12 Earnings per share

INDIVIDUAL QUARTER CUMULATIVE QUARTER

Preceding year Preceding year
Current year corresponding Current year corresponding
quarter quarter period period
31-Dec-14 31-Dec-13 31-Dec-14 31-Dec-13

Net profit attributable to

shareholders (RM'000) 13,737 5,259 49,109 24,063

Weighted average number of

shares for computing basis
earnings per share ('000) 232,483 231,086 232,483 231,086

Basic earnings per share (sen) 5.91 2.28 21.12 10.41

Weighted average number of

shares for computing diluted
earnings per share ('000) 232,631 N/A 232,631 N/A

Diluted earnings per share (sen) 5.91 N/A 21.11 N/A

VITROX CORPORATION BERHAD
(Incorporated in Malaysia)
Company No : 649966-K

QUARTERLY REPORT ON RESULTS FOR THE FOURTH QUARTER ENDED 31 DECEMBER 2014
B. DISCLOSURE REQUIREMENTS AS SET OUT IN APPENDIX 9B OF BURSA SECURITIES
MAIN MARKET LISTING REQUIREMENTS (cont’d)

B13 Auditors’ report on preceding annual financial statements

The auditors’ report on the financial statements for the year ended 31 December 2013 was not subject to
any qualification.

B14 Notes to the statement of comprehensive income

Profit Before Tax

INDIVIDUAL QUARTER CUMULATIVE QUARTER

Preceding year Preceding year
Current year corresponding Current year corresponding
quarter quarter period period
Profit before tax is arrived 31-Dec-14 31-Dec-13 31-Dec-14 31-Dec-13
at after charging:- RM'000 RM'000 RM'000 RM'000

Allowance for slow m oving inventory 1,701 2,419 1,701 2,419

Amortisation and depreciation 1,497 787 4,219 2,847
Im pairment loss on loans and 486 53 486 53
receivables
Interes t expense 27 73 187 298
(Gain)/Loss on financial instrum ents
at fair value through profit or loss
- realis ed 0 (69) (303) (4)
- unrealised 761 81 1,016 121
(Gain)/Loss on foreign exchange
- realis ed (734) (153) 152 (1,858)
- unrealised (3,495) 147 (4,816) 191
Loss on disposal of
property, plant and equipment 0 0 1 0

and crediting:-
Amortisation of deferred income 99 108 591 371
Grant related to income 1,807 795 3,473 1,109
Insurance claim s received 0 0 0 557
Interes t income 277 168 914 717
Rental incom e 7 7 30 30
Reversal of allowance for slow
m oving inventories 2,419 2,388 2,419 2,388
Reversal of im pairm ent loss on
loans and receivables 86 37 141 655

Save as disclosed above, the other items as required under Appendix 9B, Part A (16) of the Bursa
Securities Main Market Listing Requirements are not applicable.

B15 Authorisation for issue

The interim financial statements are authorised for issue by the Board of Directors on 25 February 2015.