Witnessinginflux of contract orders, Taiwan’s major suppliers of fasteners are expectedo see rosy revenue growths in the second quarter of this year.
OCFD Industrial Corp., for instance, has seen its fastener production lines fully booked through the end of August by contract orders mainly from emerging countries in Asia and South America, where steady economic recovery is seen. Therefore, institutional investors have widely believed that the company will achieve a stronger revenue growth in the second quarter than in the first quarter.
The company, which has actively explored overseas markets and gradually raised its monthly output to 2,000 metric tons, raked in sales revenue of NT$904 million in 2011, shooting up 121.56% from 2010, with net profits of NT$107 million, 7.23 times a year ago, and EPS (earnings per share) of NT$3.31. The business boom has obviously lingered into this year, as the company just finished the first quarter of this year with sales revenue of NT$235 million and EPS of NT$1.69, respectively.
Noteworthy is that the board of OCFD has recently decided to distribute record dividends of NT$1.8 per share to its shareholders, from its profits earned in 2011.
Meanwhile, San Shing Fastech Corp., Chun Yu Works & Co., Ltd. and Tycoons Group Enterprise Co., Ltd. have also fared well so far in the second quarter with increasing orders, and their delivery schedules have been arranged through June or July.
San Shing, which posts sales revenue and EPS of NT1.293 billion and NT$0.68, respectively, in the first quarter of this year, commented that increasingly encouraging economic outlooks in the U.S. and Europe are also among reasons behind the current prosperity in the industry
Operating Performance by Taiwan’s Major Fastener Makers in Q1, 2012
Company Sales Revenue EPS
OCFD Industrial Corp. NT$235 M. NT$1.69
Chun Yu Works & Co., Ltd. NT$941 M. NT$0.06
Tycoons Group Enterprise Co., Ltd. NT$709 M. NT$0.07
San Shing Fastech Corp. NT$1.293 B. NT$0.68
