BizLink Holding Inc (貿聯), a connector, cable assembly and wire harness supplier, said yesterday that its net profit for last year rose more than 80 percent from a year earlier, with market analysts attributing the growth largely to rising demand for electric vehicle components.
BizLink has been dubbed one of the “Tesla Motors stocks” after the company started to supply components to the world’s largest electric car maker.
Last year, BizLink registered a total of NT$564 million (US$18.61 million) in net profit, up 83.11 percent from a year earlier, with earnings per share (EPS) of NT$7.28, compared with NT$4.49 recorded in 2012.
Last year’s net profit and EPS were record highs for the firm.
In a board meeting held a day earlier, BizLink proposed to issue a dividend of NT$5.5, comprising a cash dividend of NT$5 and a stock dividend of NT$0.5.
Based on last year’s EPS, its dividend payout ratio stood at 75.5 percent.
Analysts said BizLink, which was incorporated in the Cayman Islands and launched a primary listing on the Taiwan Stock Exchange in 2011, has been spotlighted by the market due to its business ties with Tesla.
With many institutional investors showing confidence about Tesla’s shipments, investor interest in local suppliers to the US automaker, such as BizLink, has accelerated.
30 PERCENT INCREASE
So far this year, BizLink shares have increased more than 30 percent, closing at NT$166.00 in yesterday’s trading.
Last year, BizLink shares surged 299.68 percent, Taiwan Stock Exchange data showed.