TELECOMS
Gemtek forecasts 40-60 split
Telecom equipment maker Gemtek Technology Co (正文) yesterday guided its full-year sales split to be 40-60 for the first and second halves of this year, as the company is shifting its focus on cloud-computing-related businesses. Consolidated sales for last year fell 0.87 percent to NT$17.53 billion (US$536.17 million) from a year earlier, with a net profit of NT$206 million, or NT$0.69 per share, Gemtek said. Apart from cloud-based solutions, wireless broadband products, long-term evolution-enabled items and equipment support for G-fast technology are expected to drive the company’s sales growth this year, Gemtek chairman Howard Chen (陳鴻文) said.
FINANCE
Mega chairman resigns
State-run Mega Financial Holding Co (兆豐金控) yesterday said that chairman Mckinney Tsai (蔡友才) has tendered his resignation and is to leave the post on Friday. Minister of Finance Chang Sheng-ford (張盛和) confirmed that Tsai had expressed his intention to leave the post about six months ago due to personal reasons, the Central News Agency reported. Chang said Mega Financial president Wu Hann-ching (吳漢卿) will take over management of the company until a new chairman is chosen by the incoming government after May 20.
INSURANCE
Taiwan Fire & Marine fined
The Financial Supervisory Commission yesterday fined Taiwan Fire & Marine Insurance Co (台灣產物保險) NT$4.8 million for irregularities in the company’s internal control mechanisms. The commission also decided to suspend the insurer’s sales of fire insurance to commercial users for one month beginning on April 15.
FINANCE
KD to continue ‘green’ focus
Investment holding company KD Holding Corp (崑鼎) yesterday said it would continue focusing on environmental protection, green energy and renewable energy businesses this year, hoping its total sales would be higher than last year’s NT$4.08 billion. The company said it also plans to invest in overseas markets, including China, Malaysia and India. The company reported a net profit of NT$710 million for last year, up 4.6 percent year-on-year, with earnings per share of NT$10.84.
ONLINE GAMES
X-Legend sales down
Online game publisher X-Legend Entertainment Co (傳奇網路) yesterday reported a net profit of NT$30 million for last year, with earnings per share of NT$0.27, the lowest in five years. Annual sales for last year decreased 15.92 percent to NT$1.24 billion, due to flat sales of new products and declining contribution from royalties. The company’s board on Monday approved a plan to pay a cash dividend of NT$0.25 per share, which is to be subject to a shareholder approval on June 22.
SEMICONDUCTORS
Inotera plan approved
Shareholders of Inotera Memories Inc (華亞科技), a DRAM joint venture between Nanya Technology Corp (南亞科技) and Micron Technology Inc, yesterday approved plans to sell Nanya’s 24 percent holding in the company to Micron in a deal worth NT$132.5 billion. The transaction is expected to be completed in the middle of this year. Inotera will become a wholly owned subsidiary of Micron and will be delisted from the local stock market. Inotera’s board yesterday also approved a budget of NT$6.1 billion on developing 20-nanometer process technology.
Taiwanese suppliers to Taiwan Semiconductor Manufacturing Co. (TSMC, 台積電) are expected to follow the contract chipmaker’s step to invest in the US, but their relocation may be seven to eight years away, Minister of Economic Affairs J.W. Kuo (郭智輝) said yesterday. When asked by opposition Chinese Nationalist Party (KMT) Legislator Niu Hsu-ting (牛煦庭) in the legislature about growing concerns that TSMC’s huge investments in the US will prompt its suppliers to follow suit, Kuo said based on the chipmaker’s current limited production volume, it is unlikely to lead its supply chain to go there for now. “Unless TSMC completes its planned six
Intel Corp has named Tasha Chuang (莊蓓瑜) to lead Intel Taiwan in a bid to reinforce relations between the company and its Taiwanese partners. The appointment of Chuang as general manager for Intel Taiwan takes effect on Thursday, the firm said in a statement yesterday. Chuang is to lead her team in Taiwan to pursue product development and sales growth in an effort to reinforce the company’s ties with its partners and clients, Intel said. Chuang was previously in charge of managing Intel’s ties with leading Taiwanese PC brand Asustek Computer Inc (華碩), which included helping Asustek strengthen its global businesses, the company
Power supply and electronic components maker Delta Electronics Inc (台達電) yesterday said second-quarter revenue is expected to surpass the first quarter, which rose 30 percent year-on-year to NT$118.92 billion (US$3.71 billion). Revenue this quarter is likely to grow, as US clients have front-loaded orders ahead of US President Donald Trump’s planned tariffs on Taiwanese goods, Delta chairman Ping Cheng (鄭平) said at an earnings conference in Taipei, referring to the 90-day pause in tariff implementation Trump announced on April 9. While situations in the third and fourth quarters remain unclear, “We will not halt our long-term deployments and do not plan to
TikTok abounds with viral videos accusing prestigious brands of secretly manufacturing luxury goods in China so they can be sold at cut prices. However, while these “revelations” are spurious, behind them lurks a well-oiled machine for selling counterfeit goods that is making the most of the confusion surrounding trade tariffs. Chinese content creators who portray themselves as workers or subcontractors in the luxury goods business claim that Beijing has lifted confidentiality clauses on local subcontractors as a way to respond to the huge hike in customs duties imposed on China by US President Donald Trump. They say this Chinese decision, of which Agence
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