Delta Electronics Inc (台達電) last quarter posted NT$3.37 billion (US$109.04 million) in net income, up 21 percent from the same period last year, aided by cheaper raw materials and growing demand for infrastructure facilities.
Revenue grew 6 percent to NT$54.10 billion, the company said.
Uninterruptible power system (UPS), data centers, indoor and outdoor power systems, fans and thermal products, and passive components would drive growth this quarter, Delta chairman Yancey Hai (海英俊) said during an investors’ conference.
The company said it is developing more energy-efficient data centers as the scale is increasing with a surge in electricity usage.
“Big data centers now resemble small cities” Hai said, while citing companies such as Amazon.com Inc, Alphabet Inc’s Google and Facebook Inc.
Hai also said that implantation of data centers depends greatly on individual companies with neither a fixed timeline nor seasonality, unlike the PC industry.
“[Their] structures also vary from servers to cooling systems.” Hai said.
The industrial automation segment is expected to remain flat as clients and investors alike await outcomes of an trade spat between the US and China.
In terms of the electric vehicles segment, “motors are the most important part, requiring a lot of safety certification” Hai said, adding that the company has invested in the sector for 10 years, and started exporting three years ago.
Research and development (R&D) expenses increased 11 percent year-on-year this quarter as the company continues to develop its automation sector.
“With the Thailand acquisition, R&D expenses will drop in percentage ... but we will strive to maintain it above 7 percent.” Delta chief executive officer Zheng Ping (鄭平) said.
On April 17, the company approved a NT$2.57 billion plan to purchase land and buildings in Taoyuan’s Jhongli District (中壢).
Hai said that the company’s investments in Taiwan are focused mainly on R&D, although a small part of the production line would be moved back home due to the trade spat.
While 80 percent of the company’s production remains in China, Thailand is to be a new manufacturing base for the company, as it acquired a 42.85 percent stake in Delta Electronics (Thailand) PCL (泰達電) through its subsidiary Delta Electronics International (Singapore) Pte early last month.
Among the rows of vibrators, rubber torsos and leather harnesses at a Chinese sex toys exhibition in Shanghai this weekend, the beginnings of an artificial intelligence (AI)-driven shift in the industry quietly pulsed. China manufactures about 70 percent of the world’s sex toys, most of it the “hardware” on display at the fair — whether that be technicolor tentacled dildos or hyper-realistic personalized silicone dolls. Yet smart toys have been rising in popularity for some time. Many major European and US brands already offer tech-enhanced products that can enable long-distance love, monitor well-being and even bring people one step closer to
Malaysia’s leader yesterday announced plans to build a massive semiconductor design park, aiming to boost the Southeast Asian nation’s role in the global chip industry. A prominent player in the semiconductor industry for decades, Malaysia accounts for an estimated 13 percent of global back-end manufacturing, according to German tech giant Bosch. Now it wants to go beyond production and emerge as a chip design powerhouse too, Malaysian Prime Minister Anwar Ibrahim said. “I am pleased to announce the largest IC (integrated circuit) Design Park in Southeast Asia, that will house world-class anchor tenants and collaborate with global companies such as Arm [Holdings PLC],”
Sales in the retail, and food and beverage sectors last month continued to rise, increasing 0.7 percent and 13.6 percent respectively from a year earlier, setting record highs for the month of March, the Ministry of Economic Affairs said yesterday. Sales in the wholesale sector also grew last month by 4.6 annually, mainly due to the business opportunities for emerging applications related to artificial intelligence (AI) and high-performance computing technologies, the ministry said in a report. The ministry forecast that retail, and food and beverage sales this month would retain their growth momentum as the former would benefit from Tomb Sweeping Day
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