Taiwan Life fined NT$6m
The Financial Supervisory Commission yesterday fined Taiwan Life Insurance Co (台灣人壽保險) NT$6 million (US$199,382) for irregularities related to a real-estate transaction that was made as the insurer was acquired by CTBC Financial Holding Co (中信金控) in 2015. CTBC Financial was found to have overpaid for commercial property that was owned by Gobo Group (國寶集團), a major shareholder in the insurer. The property was put to auction in 2014 with a starting bid of NT$1.4 billion and did not find a buyer. It was later sold to CTBC Financial for NT$1.57 billion.
ASLAN defends IPO
ASLAN Pharmaceuticals (亞獅康), a biotech firm focused on the development of immunotherapies and targeted agents for Asia-prevalent tumor types, yesterday responded to allegations that the interests of retail investors who had participated in its initial public offering (IPO) on the Taipei Exchange had been harmed as its share price dropped from its NT$58 debut to NT$52.2. The company said that all of its investors have agreed to lockup periods of one to two years for board members and management, and six months for other investors of varying stakes. They did not sell ASLAN shares during its volatile market debut on Thursday last week, and it is not seeking to capital gains as critics claim, the company said.
HTC sales hit 14-month low
HTC Corp (宏達電) yesterday reported that its sales last month had dipped 4 percent sequentially and 33 percent annually to NT$4.53 billion, reaching the lowest in the past 14 months. Sales during the first five months of this year fell 13 percent annually to NT$23.78 billion. The company attributed its sales performance to an ongoing product cycle adjustment, as it had launched its latest HTC U11 flagship handset last month. The company would also cut its number of new handset models this year from six to five in a bid to remain in the black.
MediaTek reports growth
MediaTek Inc (聯發科), the nation’s biggest handset chip designer, yesterday reported NT$18.44 billion in revenue for last month, representing 3.89 percent growth from April’s NT$17.75 billion. The sequential growth was supported by recovering demand from Chinese handset makers. On an annual basis, revenue plunged 25.16 percent from NT$24.64 billion made in May last year. The company forecast in April that revenue would be flat or grow 8 percent quarter-over-quarter to between NT$56.1 billion and NT$60.6 billion. Shipments of chips used in smartphones and tablets are to increase by less than 5 percent quarterly to between 110 million and 120 million units this quarter, MediaTek said.
Nanya reduction hits revenue
DRAM chipmaker Nanya Technology Corp (南亞科技) yesterday said revenue fell 4.68 percent last month to NT$4.12 billion from NT$4.32 billion in April due to a 4 percent reduction in shipments. The Taoyuan-based chipmaker attributed the shipment decline to its ongoing technological migration to 20 nanometer (nm) technology from 30nm technology. Compared with the same period last year, revenue soared 42.06 percent from NT$2.9 billion. As chip prices are stabilizing, Nanya Technology expects revenue to return to growth this month on a monthly basis. The company expects shipments to grow about 1 percent this quarter from last quarter.
Facebook Inc on Wednesday reported its profit doubled in the second quarter as digital advertising surged, but warned of cooler growth in the months ahead in an update that sent its shares sinking. Profit rose to US$10.4 billion on revenue of US$29 billion, a 56 percent increase from last year, mainly from an increase in ad revenue, Facebook said. The number of people using the social network monthly climbed to 2.9 billion, a year-on-year gain of 7 percent, while about 3.5 billion people used at least one of the company’s apps, including Instagram, WhatsApp and Messenger. “We had a strong quarter, as we
FURTHER TAX MEASURES NEEDED? Corporate owners accounted for almost 30 percent of empty houses, many of which are held by firms that own 10 or more properties The number of unoccupied houses nationwide totaled 876,000 units last year, or 11.94 percent of all houses, the Ministry of the Interior said in a report issued on Thursday. Almost 30 percent of empty houses were owned by companies, suggesting that many corporate property owners engage in house hoarding, the ministry said. Excluding developers and builders, companies still owned 20 percent of empty houses, it said. The report is based on housing units’ electricity use and considers properties that use less than 60 kilowatt-hours per month as unoccupied. The study contradicts Ministry of Finance reports saying that house hoarding subsided and there is no
HIGH-END MARKET: The company has sufficient growth upsides in its four major business segments to reach revenue of US$20 billion, CEO Rick Tsai told investors MediaTek Inc (聯發科), the world’s biggest supplier of 5G smartphone chips, yesterday raised its revenue growth target for this year to more than 45 percent, after strong demand mainly for its mid-range and premium 5G chips pushed net profit to a record high last quarter. The Hsinchu-based chip designer had three months earlier projected a 40 percent growth from NT$322.16 billion (US$11.48 billion) last year. MediaTek expects next year to be another growth year, with a higher 5G penetration rate and accelerating digital transformation during the post-COVID-19 pandemic era. The company also gained confidence about its gross margin improvement on the expectation
CAUSE INVESTIGATED: The incident occurred early in the morning, when electricity demand was low, and did not result in a power outage or a radiation leak, Taipower said The No. 2 reactor at the Guosheng Nuclear Power Plant in New Taipei City’s Wanli District (萬里) experienced a malfunction that triggered an automatic shutdown early yesterday morning, Taiwan Power Co (Taipower, 台電) said. The exact cause of the incident is still being investigated, but there is no risk of a radiation leak, the state-run utility said. “While we are still investigating the exact cause, the automatic shutdown was safely executed and there is no danger from radiation,” Taipower spokesman Chang Ting-shu (張廷舒) said. The malfunction occurred at 6:33am, triggering an emergency shutdown, taking 985 megawatts of power offline, Chang said. The control