Aerospace Industrial Development Corp (AIDC, 漢翔航空工業), the largest civilian and military aircraft manufacturer in the nation, expects sales and profitability this quarter to improve from last quarter, in which the company recognized a large amount of human resources costs.
AIDC saw consolidated sales stand at NT$6.01 billion (US$197.92 million) in the third quarter of this year, an increase of 5.07 percent from a year earlier, according to the company’s stock exchange filing data.
However, the company might see momentum of both revenue and net income accelerate in the fourth quarter from the third quarter on the back of increased orders.
In addition, the company’s move to settle employees’ seniority in the third quarter, as a necessary step for its privatization, might lead to its one-time recognition of substantial costs, further impacting profitability.
AIDC, which held a shareholders’ conference yesterday, re-elected its board members with effectively an unchanged result, as the government remains the largest shareholder of the company.
AIDC chairman Jason Liu (劉介岑) and president Butch Hsu (徐延年) were both selected to continue their terms.
In related news, budget airline Tigerair Taiwan (台灣虎航) yesterday said it has received permission to operate regular routes to Thailand’s Bangkok and Chiang Mai, with the carrier scheduled to begin operations in the middle of next month.
The two routes are set to be the second and the third regular routes run by the carrier, following its daily flights to Singapore, which commenced on Sept. 26.
Tigerair Taiwan, a joint venture between Taiwan’s China Airlines Ltd (CAL, 中華航空) and Tiger Airways Pte of Singapore, has developed quicker than V Air (威航), the other low-cost carrier in Taiwan under planning, mainly on the back of CAL’s solid support.
V Air, a subsidiary of the TransAsia Airways Group (復興航空集團), is set to begin operations by the end of this year, with a similar plan to Tigerair Taiwan to launch routes to Bangkok and Chiang Mai.
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