Survey reports telecoms are the most profitable

Telecommunications was the most profitable commercial sector of Taiwan's service industry last year, according to a survey of the top-500 service companies in the latest issue of the Chinese-language magazine Business Weekly (商業周刊), set to hit newsstands today.

Taiwan's six telephone companies including Chunghwa Telecom Co (中華電信), Taiwan Cellular Corp (台灣大哥大), Far EasTone Telecommunications Ltd (遠傳電信), KG Telecommunications Co (和信電訊), TransAsia Telecommunications Ltd (泛亞電信) and Mobitai Communications Ltd (東信電訊) together racked up total profits of more than NT$60 billion last year, with an average business return of 21 percent, the survey said.

In terms of after-tax profit, the state-run Chunghwa Telecom was rated the most profitable company in the survey, reporting an after-tax profit of NT$40.6 billion in 2000, the survey said.

Taiwan Power Co (台電) is still rated the biggest service company in terms of business turnover, on revenue of NT$306.2 billion last year, followed by Chunghwa Telecom, China Airlines (中華航空), Hotai Motor Co (和泰汽車), President Chain Store Corp (統一超商), EVA Airways Corp (長榮航空), Yangming Marine Transport Corp (陽明海運), Synnex International (聯強國際), and Taiwan Cellular.

Taiwan Cellular joins the list for the first time on revenue of NT$45.18 billion last year. The company purchased TransAsia for NT$13.5 billion (US$410 million) last week and is expected to move into the top five this year, according to the magazine.