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Hana Microelectronics Group 'Hana' Sales Revenue increased 30% year on year to THB 6.2 billion for the third quarter of 2021 from THB 4.8 billion for the third quarter 2020. Sales Revenue in USD terms increased 23% to USD 190m in Q3 2021 from USD 154m in Q3 2020. Earnings from Operations increased 90% to THB 696m in Q3 2021 from THB 367m in Q3 2020.
Quarter 3 2021 sales revenue for the group increased 23% year-on-year in USD terms to USD 190m from USD 154m in Q320. The average exchange rate for Q321 was 5% weaker at THB/USD 32.9 from THB/USD 31.3 in Q320. As a result the sales revenue in THB terms increased 30% year on year for the quarter.
Year-on-year, in USD terms, the microelectronics divisions sales increased by 22%. Sales in Lamphun increased 22% and Jiaxing increased by 22% year on year. The IC divisions sales revenues increased 27% in Q321, with revenues of the IC division in Ayutthaya increasing 22% and Jiaxing increasing by 71%. Hana Technologies Inc, "HTI" the Microdisplay/RFID operation in Ohio sales revenue increased 19% in Q321 from Q320.
Quarter-on-Quarter, in USD terms, sales for the group decreased 2% to USD 190m in Q321 from USD 193m in Q221. Sales in the microelectronics divisions were similar with Lamphun decreasing 4% and Jiaxing increasing 16%. Sales revenues from the IC divisions decreased 5% in Q321 from Q221 with Ayutthaya sales decreasing 6% and Jiaxing IC sales increasing by 5%. HTI sales decreased 7% in Q321 compared to Q221.
The Gross Profit margin increased 4% points to 16% in Q321 from 12% Q320. Gross Margin in Q321 was higher due to higher sales revenue providing better economies of scale in Q321 compared to Q320 and weaker THB/USD exchange rate.
Year-on-year Earnings from Operations, were 90% higher at THB 696m in Q321 compared to THB 367m in Q320.
The Operating margin was up 3 percentage points to 11% in Q321 from 8% in Q320 due to the higher Gross Margin and better economies of scale also. SG&A expenses were 18% higher in Q321 than Q320 due to lower employee bonuses paid in 2020 and higher salaries in 2021.