Electronic parts supplier BizLink Holding Inc (貿聯) on Friday last week reported NT$437.78 million (US$14.21 million) in third-quarter net profit, up 42.77 percent from a year earlier and marking the highest quarterly figure in the company’s history. Earnings per share were NT$3.72.
BizLink, the sole supplier of wiring harnesses for battery management systems in Tesla Inc’s Model 3, said in a statement that third-quarter revenue was also a quarterly record at NT$5.68 billion, up 26.62 percent from the same period last year.
Gross margin was 22.71 percent and operating margin reached 9.86 percent, improving from 21.79 percent and 8.63 percent in the same period last year respectively.
Apart from supplying cables and harnesses for electric-vehicle battery management systems, BizLink’s product portfolio includes components for information technology (IT) and electrical appliances, as well as industrial, medical, solar and telecom equipment.
The automotive business accounted for a modest 16 percent of BizLink’s total revenue last quarter, compared with 44 percent for IT business, 27 percent for electrical appliances and 13 percent for other equipment, the company said in the statement.
BizLink said that IT business last quarter benefited from rising demand during a high season for commercial docking stations, although some clients adjusted inventories by the end of the quarter.
Shipments for automotive harnesses were flat from the previous quarter, while sales of harnesses for electrical appliances had returned to normal levels by the end of the quarter after dipping in July due to summer holidays in Europe, it said.
In the first 10 months, combined revenue expanded by 46.14 percent annually to NT$17.52 billion, the company said.
It expects stable shipments of docking stations and dongles, BizLink said, adding that it plans to launch new docking stations for the consumer market by the end of the year.
The company is also to see a gradual increase in shipments of electric-vehicle harnesses, thanks to a steady growth in production at major clients, BizLink said.
Overall harness shipments for the industrial and medical segments are to remain steady in the following two quarters, given solid demand from customers, it said.
Meanwhile, due to higher US tariffs on Chinese goods in the second half, BizLink said it would discuss with clients moving some production lines for IT, automotive and medical items from China to Malaysia, Mexico or other regions.
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