Reserves rise US$562m
Taiwan’s foreign-exchange reserves amounted to US$460.44 billion as of the end of last month, an increase of US$562 million from a month earlier, the central bank said yesterday. The bank attributed the gain to returns from its foreign-exchange reserves management. The market value of securities and New Taiwan dollar-based deposits held by foreign investors reached US$394.3 billion last month, equivalent to 86 percent of the overall foreign-exchange reserves, it said. Central bank Governor Yang Chin-long (楊金龍) on Thursday said ample liquidity and foreign-exchange reserves would help the nation emerge unscathed from any financial market tumult as in the past.
Toshiba settles dispute
Memorychip maker Marconix International Co (旺宏電子) yesterday said Toshiba Corp has agreed to pay US$40 million to settle a series of patent infringement lawsuits in Taiwan and Japan. The companies on Thursday also signed a memorandum of understanding to cross-license 30 patents, Macronix said in a filing with the Taiwan Stock Exchange. Last year, Marconix lodged a patent lawsuit against Toshiba and its subsidiaries, as well as its local partner Phison Electronics Corp (群聯). Before that, Toshiba had filed a complaint accusing Marconix of illegally using its patents.
Largan posts flat sales
Smartphone camera lens supplier Largan Precision Co (大立光) yesterday reported that sales last month were nearly flat from August and grew slightly from the same month last year, despite investors’ concerns about weakening demand in the final quarter of the year. Consolidated sales were NT$5.52 billion (US$179 million) last month, the company said in a statement. Sales from July to last month totaled NT$16.35 billion, 33.03 percent higher than the previous quarter and in line with market expectations. For the year to date, the company’s cumulative sales were NT$37.51 billion, up 1.26 percent compared with the same period last year, company data showed.
Unimicron shares fall 2.61%
Shares of printed circuit board maker Unimicron Technology Corp (欣興) yesterday fell 2.61 percent, despite its implementation of a share buyback scheme. The company plans to repurchase 50 million shares on the open market from yesterday to Dec. 4 at about NT$14 to NT$29 per share, the company said in a Taiwan Stock Exchange filing on Thursday. The repurchased shares would account for as much as a 3.32 percent stake in Unimicron, the company said. Unimicron shares yesterday closed at NT$18.65 in Taipei trading, having risen 14.42 percent this year. The firm reported sales of NT$7.38 billion in first eight months of the year, up 20.59 percent year-on-year.
BizLink sales at US$61.49m
Wire harness maker BizLink Holding Inc (貿聯) yesterday said that its sales last month increased 18.66 percent year-on-year, but fell 7.3 percent month-on-month to US$61.49 million. The company is an exclusive harness supplier to US electric car maker Tesla Inc and has entered the supply chains of Europe’s high-end appliance brands after completing the acquisition of Leoni AG’s electrical appliance assembly business in May last year. In the first nine months of the year, BizLink’s consolidated sales were US$523.74 million, up 52.94 percent from the same period last year.
‘BIG LOSS’: This year might see the last generation of Huawei’s Kirin chips, as their production would stop next month because they are made using US technology Chinese tech giant Huawei Technologies Co (華為) is running out of processor chips to make smartphones due to US sanctions and would be forced to stop production of its own most advanced chips, a company executive has said, in a sign of growing damage to Huawei’s business from US pressure. Huawei, one of the biggest producers of smartphones and network equipment, is at the center of US-Chinese tension over technology and security. Washington last year cut off Huawei’s access to US components and technology, and those penalties were tightened in May, when the White House barred vendors worldwide from using US
’WHITE BOX’: The open platform would give local firms access to Cisco’s cloud-based mobile network to develop 5G telecom equipment and tap into the global market The Ministry of Economic Affairs (MOEA) yesterday introduced a new 5G “open lab” in collaboration with US-based information technology and networking giant Cisco Systems Inc to address the rapidly growing “white box” 5G networking equipment market. The open lab will be a platform where Taiwanese manufacturers can access Cisco’s cloud-based mobile network to develop their own 5G telecom equipment, such as small-cell base stations, network switches, modems and Internet of things (IoT) devices, a ministry statement said. The open platform would allow Taiwanese manufacturers to tap into the lucrative 5G telecom equipment market, which was previously monopolized by Nokia Oyj, Ericsson AB
CORPORATE SCANDAL: Cathay Life has invested NT$13.3 billion in Bank Mayapada since 2015, but the latest loss of NT$8.8 billion has completely written off its investment Cathay Life Insurance Co (國泰人壽) yesterday said it would recognize an investment loss of NT$8.8 billion (US$298.1 million) in Indonesia’s Bank Mayapada Internasional Tbk PT due to concerns about the lender’s operations amid a corporate scandal. The company said it would revise its earnings result for June, from a net profit of NT$6.52 billion to a net loss of NT$520 million, its first monthly loss over the past 17 months. After booking an investment loss of NT$5.2 billion in Bank Mayapada earlier this year, Cathay Life has so far recognized total investment losses of NT$14 billion in the lender, executive vice president
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday reported that revenue last month expanded 25 percent annually, but fell 12.8 percent month-on-month to NT$105.96 billion (US$3.59 billion). In the first seven months of this year, the chipmaker’s revenue surged 33.6 percent to NT$727.26 billion, compared with NT$544.46 billion a year earlier. TSMC has said it aims to grow its revenue by more than 20 percent this year. The company has since May 15 stopped taking new orders from Huawei Technologies Co (華為), its second-biggest customer after Apple Inc, due to the US’ restrictions on exports containing US technologies. TSMC has no plans to