Treasury collects NT$1.96tn
The national treasury collected a record NT$1.96 trillion (US$61.26 billion) in tax revenues last year, 4.8 percent higher than the budget target, driven primarily by business and personal income taxes, the Ministry of Finance said yesterday. Business income tax totaled NT$401.2 billion last year, while personal income tax amounted to NT$408.3 billion, the ministry said.
Acer revenue falls
PC maker Acer Inc (宏碁) yesterday reported revenue of NT$85.67 billion for the last quarter, down 1.17 percent from a year earlier and 0.11 percent from the previous month. The firm posted revenue of NT$86.69 billion in the fourth quarter of last year and NT$85.68 billion in the previous quarter, according to a company filing with the Taiwan Stock Exchange. Acer’s consolidated annual revenue totaled NT$329.83 billion last year, a decline of 8.43 percent from the previous year’s NT$360.19 billion. Acer shares dropped 1.43 percent to NT$20.65 in Taipei trading yesterday, underperforming the TAIEX, which fell 0.4 percent.
FSC approves Wuhan branch
State-run Taiwan Business Bank (臺灣企銀) has won the the Financial Supervisory Commission’s (FSC) approval to set up a new branch in Wuhan, China, allowing the lender to strengthen services to Taiwanese firms in central China, the bank said in a statement yesterday. The new branch will be its second in China — the first was opened in Shanghai in August 2012. Wuhan, the eighth-largest city in China, is home to many Taiwanese aiming to take advantage of China’s GDP growth, the bank said, adding that it would reach out to small and medium-sized corporate customers there.
Hiwin posts revenue hike
Hiwin Technology Corp (上銀科技), the nation’s largest machine tool maker, last week reported NT$4.28 billion in sales for last quarter, bringing the company’s total revenue last year up 21.25 percent to NT$15.08 billion. The company made annual revenue of NT$12.44 in 2013. Last quarter’s figure jumped 10.59 percent from the previous year’s NT$3.87 billion, but only rose 1.18 percent from the previous quarter’s NT$4.23 billion. JPMorgan Securities Ltd said Hiwin’s sales growth momentum would resume from this quarter, due to healthy order momentum from machine tool vendors and incremental demand for industrial robots. Contribution from industrial robots is forecast to account for 10 to 15 percent of the company’s estimated revenue of NT$17.69 billion this year, JPMorgan said in a note on Thursday last week.
St Shine struggles in Japan
Contact lens maker St Shine Optical Co Ltd (精華光學) might continue losing market share in Japan this year due to intense market competition and continued pricing pressure stemming from foreign exchange fluctuations, Deutsche Bank said in a client note on Wednesday last week. The company has forecast flat sales growth for this quarter from last quarter’s NT$1.34 billion, which rose 0.8 percent from the previous quarter, with momentum likely to pick up next quarter when clients launch new products. Deutsche Bank forecast St Shine to post 6 percent growth in year-on-year sales to NT$5.74 billion this year. Last year, the company’s sales totaled NT$5.41 billion, up 3.62 percent from 2013.
From the customer’s perspective, car rental is a straightforward business. The only uncertainty is whether the hire company will charge you for the scratch they discover when you hand back the vehicle. Hertz Global Holdings Inc’s bankruptcy protection filing on Friday last week was a reminder that today even the simplest business models are underpinned by a lot more financial complexity than meets the eye. The proximate cause of Hertz’s demise was of course the sudden collapse in bookings caused by COVID-19 travel restrictions. The company’s monthly revenue last month fell 73 percent year-on-year, a shortfall that even the most resilient
Uber Technologies Inc, Lyft Inc and Airbnb Inc have slashed thousands of jobs. Salesforce.com Inc and Visa Inc are letting employees work remotely for months; Twitter Inc and Square Inc are allowing them to do so for good. For the companies’ hometown of San Francisco, the moves are early signs of a dire blow. In a city with a long history of booms, busts and natural calamities, the COVID-19 pandemic has suddenly upended nearly a decade of prosperity. While municipalities across the US are grappling with economic fallout from the virus, San Francisco stands to take a deeper hit given its high
BULK PURCHASE: The French chain and Hong Kong-based Dairy Farm International reached a deal covering 224 stores, which is expected to be finalized by year’s end Carrefour SA yesterday announced it would acquire Wellcome Taiwan Co (惠康百貨) for 97 million euros (US$108.33 million), and bring all the Wellcome supermarkets (頂好超市) and Jasons Market Place stores nationwide under its banner within 12 months of the deal closing. The France-based hypermarket chain reached an agreement with Hong Kong-based Dairy Farm International Holdings (牛奶國際控股), the pan-Asian retailer that launched Wellcome Taiwan in 1987. The transaction involves 199 Wellcome supermarkets, which have average sales areas of 420m2 and 25 high-end Jasons Market Place stores, which have an average sales area of 820m2, as well as a warehouse in Taoyuan, Carrefour Taiwan (家樂福)
‘ONE-STOP SHOP’: A Miaoli official said that the factory in the Jhunan section of the Hsinchu Science Park would create more than 1,000 jobs and boost prosperity A new high-end IC packaging and testing plant planned by contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) in Miaoli County is expected to start operations in the middle of next year, Miaoli County Commissioner Hsu Yao-chang (徐耀昌) said. Hsu wrote on Facebook that TSMC, the world’s largest pure wafer foundry operator, would invest NT$303.2 billion (US$10.1 billion) to build the plant, the largest-ever single investment in Taiwan. However, TSMC declined to disclose the financial terms of the deal, while a company board meeting on May 12 approved a spending plan worth NT$168.2 billion as part of its investment plans. Construction of the