Metal casings supplier Catcher Technology Co (可成) yesterday said it will launch an expansion plan in the second half of the year to double the size of its production complex in Tainan.
At an annual general meeting, Catcher chairman Allen Hung (洪水樹) told shareholders that about one-third of the new plant in Yongkang District (永康) — about 30,000 ping (99,174m2) — is to become a research and development center.
Hung said that over the next three to four years, Catcher plans to increase its local research and development workforce from 300 to 1,000 employees to better meet the needs of customers.
The company did not disclose financial details about the plan.
Considered an “Apple Inc concept stock” on the local market, Catcher has spent NT$10.3 billion (US$343 million) this year on expanding its production capacity, amid rising orders.
With part of the capital expenditure, Catcher added 2,000 CNC machines in the first quarter. It now has 18,000 CNC machines overall, the company said.
This year’s capital expenditure already exceeds the NT$9.6 billion the company spent over the whole of last year and it is possible that the firm will raise that figure further, as it upgrades production automation to cope with a labor shortage, Hung said.
The supplier plans to use its large chunk of retained earnings, which currently stands at NT$35.1 billion, to pay for the capital expenditure increase, he said.
Last year, Catcher’s consolidated sales grew 16.8 percent from a year earlier to a record high of NT$43.25 billion.
Hung said he is upbeat about the firm’s sales growth this year, estimating that it could exceed last year’s and forecasting that Catcher will perform better in the second half of the year than it did in the first.
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