FOREIGN EXCHANGE
Yuan futures to be launched
Yuan forex futures are to be launched in Taiwan on July 20, Reuters reported yesterday, citing sources. Financial Supervisory Commission (FSC) Chairman William Tseng (曾銘宗) on May 7 said that the Taiwan Futures Exchange would introduce such futures contracts next month as the nation aims to become a major offshore yuan market. The report said the Taipei branches of Bank of China (中國銀行) and China Construction Bank (中國建設銀行), as well as Chang Hwa Commercial Bank (彰化銀行), Taipei Fubon Commercial Bank (台北富邦銀行), CTBC Bank (中國信託銀行), Bank SinoPac (永豐銀行) and KGI Bank (凱基銀行) would be the market makers.
TECHNOLOGY
Career eyes rise in profits
Career Technology Co Ltd (嘉聯益), one of Apple Inc’s major flexible printed circuit board suppliers for its iPad products, yesterday said its profit outlook would improve this year because of lower research and development expenses for new products. The remark by chairman Tsai Chang-ying (蔡長穎) at the company’s annual general meeting came after Career’s gross margin dropped to a record low of 6.4 percent in the first quarter, while the quarter’s operating margin was minus-4.3 percent. The firm also reported a net loss of NT$83.06 million (US$2.68 million), or NT$0.3 per share. Last year, its net income fell 37.86 percent annually to NT$407 million, or NT$1.25 per share. The company offered shareholders a cash dividend of NT$0.63 per share.
HOTELS
Ambassador to pay dividend
Ambassador Hotel Ltd (國賓大飯店) shareholders yesterday approved a company plan to pay a cash dividend of NT$0.7 per share, based on last year’s net income of NT$410.09 million, or NT$1.12 per share. The dividend payout is higher than the previous year’s NT$0.5 per share. The company’s sales from January to April totaled NT$1.194 billion, up 4.16 percent from a year earlier, while net profit in the first quarter grew 3.13 percent to NT$119.17 million, or NT$0.33 per share.
PHARMACEUTICALS
TWi given US approval
Drug developer TWi Pharmaceuticals Inc (安成) yesterday said it had received final approval from the US Food and Drug Administration on its abbreviated new drug application for an extended-release guanfacine hydrochloride tablet, which is the generic version of Shire Pharmaceutical Group PLC’s Intuniv drug for the treatment of attention deficit hyperactivity disorder. TWi said in a statement that its marketing partner, Par Pharmaceuticals Inc, is to launch the product in the US immediately. According to IMS Health’s estimate, annual sales of the Guanfacine HCl ER tablet in the US were about US$751 million last year.
TEXTILES
Nan Liu expects record sales
Nonwoven fabrics maker Nan Liu Enterprise Co (南六) might report record sales this quarter due to a larger scale of operations and higher capacity utilization, while a ramp-up of its new production lines this month should maintain upward momentum next quarter, Fubon Securities Co (富邦證券) said in a note on Tuesday. In the first quarter, Nan Liu’s net profit rose 56 percent year-on-year and 29 percent quarter-on-quarter to NT$151 million, or NT$2.08 per share. Shareholders on Tuesday approved the company’s proposal to distribute a cash dividend of NT$2.8 per share, based on last year’s earnings per share of NT$5.79.
Hypermarket chain Carrefour Taiwan and upscale supermarket chain Mia C’bon on Saturday announced the suspension of their partnership with Jkopay Co (街口支付), one of Taiwan’s largest digital payment providers, amid a lawsuit involving its parent company. Carrefour and Mia C’bon said they would notify customers once Jkopay services are reinstated. The two retailers joined an array of other firms in suspending their partnerships with Jkopay. On Friday night, popular beverage chain TP Tea (茶湯會) also suspended its use of the platform, urging customers to opt for alternative payment methods. Another drinks brand, Guiji (龜記), on Friday said that it is up to individual
UNCERTAINTIES: Exports surged 34.1% and private investment grew 7.03% to outpace expectations in the first half, although US tariffs could stall momentum The Chung-Hua Institution for Economic Research (CIER, 中華經濟研究院) yesterday raised its GDP growth forecast to 3.05 percent this year on a robust first-half performance, but warned that US tariff threats and external uncertainty could stall momentum in the second half of the year. “The first half proved exceptionally strong, allowing room for optimism,” CIER president Lien Hsien-ming (連賢明) said. “But the growth momentum may slow moving forward due to US tariffs.” The tariff threat poses definite downside risks, although the scale of the impact remains unclear given the unpredictability of US President Donald Trump’s policies, Lien said. Despite the headwinds, Taiwan is likely
READY TO BUY: Shortly after Nvidia announced the approval, Chinese firms scrambled to order the H20 GPUs, which the company must send to the US government for approval Nvidia Corp chief executive officer Jensen Huang (黃仁勳) late on Monday said the technology giant has won approval from US President Donald Trump’s administration to sell its advanced H20 graphics processing units (GPUs) used to develop artificial intelligence (AI) to China. The news came in a company blog post late on Monday and Huang also spoke about the coup on China’s state-run China Global Television Network in remarks shown on X. “The US government has assured Nvidia that licenses will be granted, and Nvidia hopes to start deliveries soon,” the post said. “Today, I’m announcing that the US government has approved for us
The National Stabilization Fund (NSF, 國安基金) is to continue supporting local shares, as uncertainties in international politics and the economy could affect Taiwanese industries’ global deployment and corporate profits, as well as affect stock movement and investor confidence, the Ministry of Finance said in a statement yesterday. The NT$500 billion (US$17.1 billion) fund would remain active in the stock market as the US’ tariff measures have not yet been fully finalized, which would drive international capital flows and global supply chain restructuring, the ministry said after the a meeting of the fund’s steering committee. Along with ongoing geopolitical risks and an unfavorable
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