China Week in Review


Reading time ( words)

21446-17483-chemcut115x44[1].jpgBy Wei Chen, I-Connect007Topoint Reaches Revenue of NT $176 Million in May

<?xml:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" /> 

Taiwan PCB drilling machine and equipment supplier, Topoint, generated NT $176 million in May 2008, setting a record high for this year. The company also projects a 10% increase for the second quarter from NT $426 million in the first quarter. Topoint will be able to produce 17 million units of drills by the end of 2008 with help from increased capacity in both <?xml:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" />Taiwan and mainland China.

The company posted 13.85% growth from last month and a 10.43% year-on-year increase. The accumulated revenue was NT $758 million for the first five months of 2008, down 2.23% from NT $775 million during the same time last year.

The gross profit rate for the first quarter reached 41.22% and is expected to remain over 40% during the second quarter.

Due to increased capacity, the company expects 15 million units to be produced in the second quarter; 16 million units in the third quarter; and 17 million units in the fourth. Topoint also expects to expand in the second half of 2008 if demand continues.

Cheer-time Elects Jiang Bingji New Chairman of the Board

During a board meeting on June 5, 2008, PCB maker, Cheer-time, elected Jiang Bingji as Chairman of the Board. Jiang has been a board member since first joining the company after graduating with a degree in chemistry. 

The company reported NT $221 million for the first quarter of 2008, with NT $56.42 million in profit--a 25.48% gross profit rate. The net profit was NT $35.47 million, giving NT $0.09 EPS. The plant in Jiaxing, Zhejiang province in mainland China is expected to turn a profit in the second half of this year. Cheer-time acquired the Jiaxing plant in 2007 and company losses were directly related to poor performance in the beginning stages of this transfer. The company forecasts a complete turnaround in performance for 2008.

Fully Operational, LH Tech Generated NT $151 Million in May

PCB maker, LH Tech, posted NT $151 million revenue in May, up 87.89% from the same time last year. Accumulated revenue was NT $779 million for January to May, also up 69.68% from NT $459 million in the same period last year.

Now running at full capacity, the company's revenue increased greatly during the first five months of 2008. Even during the typical off-season, LH Tech expects a successful June based on the number of stable orders for the period. Source: PCBCityNews in China published last weekIteq Generates Record Revenue in May 

 CCL maker Iteq reported total revenue of NT $1.324 billion in May, posting 25.6% year-on-year growth and setting a record high for 2008. The company also outperformed its rivals during the off-season.

The company's improved capacity at its Wuxi plant began contributing revenues in the second quarter. The joint LED heat conductive material department, formed between Iteq and Laird, also began to make a profit in May. The new FCCL plant in Guangzhou kicked off trial production in May as well. The company's performance is expected steadily improve for the remainder of 2008 as high-level "green" materials and heat conductive materials boost profit.

 Motorola Invests US $1 Billion in R&D in China  Gao Ruibin, Chairman of Motorola China, says his company has invested US $1 billion in research and development projects in China and is planning to route additional investments into related projects.

Gao points out that future R&D projects will cover product innovation and technology upgrades. The R&D center of the company in China is, and will be, a very important part of the company's global R&D system and Gao says this strategy will not change.

The company's total investment in China will be US $3.8 billion. Significant reconstruction of China's telecommunication industry will have a positive influence on both the industry and Motorola--especially China's shift to 3G. Motorola's plant in China has begun selling 3G equipment globally and the company is ready for China's 3G market in terms of both R&D capability and manufacturing capacities.

Gao also emphasized that the split of the mobile phone business announced by the company in March will not influence business operations in China.

 Hanslaser Receives PCB Equipment Orders Worth RMB 52 Million from Apple   Hanslaser announced recently that its 99.10% holding Shenzhen subsidiary received PCB laser equipment orders from Apple worth US $7.54 million, approximately RMB 52 million. Shipments will be split and paid by instalments, which are expected to be completed by August 31,2008.

Hanslaser invested RMB 81.25 million in R&D in 2007, up 126.31% year-on-year, which represented 5.47% of the company's total sales. Several of the company's products have helped Hanslaser prosper in the sometimes bleak PCB laser equipment market in China.

The annual report shows the company generated RMB 1.485 billion revenue, with RMB 168 million net profit, which posted 73.93% and 85.57% year on year growth, respectively. The company's overseas business also expanded rapidly by 69.91% compared with figures from last year.

 

Share

Print



Copyright © 2019 I-Connect007. All rights reserved.