TELECOMS
Profit to fall: Taiwan Mobile
Taiwan Mobile Corp (台灣大哥大) yesterday forecast a 6 percent annual decline in net income for this year to NT$14.38 billion (US$459 million), or earnings per share of NT$5.28. Sales are expected to rise 2 percent annually to NT$118.85 billion, Taiwan’s second-biggest mobile carrier said in its earnings guidance. Last year, net income dropped 2 percent annually to NT$15.32 billion, or earnings per share of NT$5.63, reaching 109 percent of the company’s target, Taiwan Mobile said, adding that sales last year rose 7 percent annually to NT$116.65 billion, reaching 108 percent of its target. The company’s board has approved a NT$8.5 billion capital expenditure plan for this year, saying that its free cash flow has maintained growth, despite the spending.
PHARMACEUTICALS
OBI-822 gets China approval
OBI Pharma Inc (台灣浩鼎) yesterday said that OBI-822, its breast cancer vaccine, has received approval from Chinese authorities to commence phase III clinical trials in that country, following a four-year wait. The trials are to involve 414 patients and are expected to be completed within 24 month, the company said. In 2012, the company had applied for fast-track approval in China via a cross-strait agreement aimed at cutting redundant studies, but the plans to expedite commercialization fell through as the China Food and Drug Administration did not begin a review of the company’s application until 2015.
PANEL MAKERS
Power outage slows Innolux
The electricity supply at Southern Taiwan Science Park was unexpectedly interrupted yesterday morning, affecting Innolux Corp’s (群創) 6G and 7.5G display production lines, the Central News Agency (CNA) quoted the company as saying. Innolux activated its emergency backup power supply units and evacuated employees at the plant over safety concerns, CNA said, adding that Innolux resumed operations in the afternoon. Innolux said the incident slightly affected its production, but it would work extra shifts to ensure shipments will not be delayed.
ENERGY
Swancor unit signs deal
Resin maker Swancor Holding Co Ltd (上緯) yesterday said in a filing with the Taiwan Stock Exchange that a subsidiary has signed an agreement with Sydney-based Macquarie Capital and Denmark-headquartered DONG Energy A/S for an offshore wind farm project named Formosa I. Macquarie Capital and DONG Energy would acquire 50 percent and 35 percent ownership respectively in the project after receiving approval from the Investment Commission and EU regulators. Shares in Swancor on Tuesday dipped 1.36 percent to NT$72.6 in Taipei trading.
FOOD AND BEVERAGE
TTFB opens new restaurant
Restaurant operator Tai Tong Food & Beverage Group (TTFB, 瓦城泰統集團) yesterday opened the first outlet of its new Chinese cuisine brand Rice Bar (時時香) in Taichung. The group operates six restaurant chains with more than 100 outlets in Taiwan and China, compared with 90 outlets it operated at the end of 2015, company data showed. The new brand features 20 types of rice to showcase the staple ingredient of Chinese cuisine, the firm said. The company reported that sales last year rose 11.72 percent to NT$3.85 billion. The company gave a upbeat outlook on sales this year on the back of its new restaurant and brand expansions.
Contract chipmaker United Microelectronics Corp (UMC, 聯電) yesterday said it has signed a memorandum of understanding (MOU) with Polar Semiconductor LLC to collaborate on the production of 8-inch wafers in the US. The collaboration aims to strengthen 8-inch wafer manufacturing in the US amid Washington’s efforts to increase onshore manufacturing of semiconductors, contribute to supply chain resilience against shifting geopolitical dynamics, and ensure a secure domestic supply of power semiconductors critical to automotive, electric grids, robotic manufacturing and data centers, the companies said in a joint statement. Under the MOU, Polar and UMC will identify devices for Polar to manufacture at
TARIFF TALKS: The US secretary of commerce is eyeing more than US$300 billion in investments and said Taiwan would train US workers, but Taipei has denied the latter US Secretary of Commerce Howard Lutnick said the US is expecting a large investment pledge from Taiwan in trade talks, while President William Lai (賴清德) listed areas that need improvement in order for projects to be completed. “We’re in the midst of discussions,” Lutnick said on Wednesday. “But the fact is, this administration’s goal is to bring semiconductor manufacturing to America.” Lai on Wednesday said Taiwan is supportive of US President Donald Trump’s goal of reindustrializing the US, including efforts to ramp up semiconductor production. Such a goal would require the US to reduce its reliance on Taiwan as a key source
The demise of the coal industry left the US’ Appalachian region in tatters, with lost jobs, spoiled water and countless kilometers of abandoned underground mines. Now entrepreneurs are eyeing the rural region with ambitious visions to rebuild its economy by converting old mines into solar power systems and data centers that could help fuel the increasing power demands of the artificial intelligence (AI) boom. One such project is underway by a non-profit team calling itself Energy DELTA (Discovery, Education, Learning and Technology Accelerator) Lab, which is looking to develop energy sources on about 26,305 hectares of old coal land in
Netflix on Friday faced fierce criticism over its blockbuster deal to acquire Warner Bros Discovery. The streaming giant is already viewed as a pariah in some Hollywood circles, largely due to its reluctance to release content in theaters and its disruption of traditional industry practices. As Netflix emerged as the likely winning bidder for Warner Bros — the studio behind Casablanca, the Harry Potter movies and Friends — Hollywood’s elite launched an aggressive campaign against the acquisition. Titanic director James Cameron called the buyout a “disaster,” while a group of prominent producers are lobbying US Congress to oppose the deal,
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