TRANSPORTATION
THSRC to adjust payout
Taiwan High Speed Rail Corp (THSRC, 台灣高鐵) yesterday said that it would adjust a plan to pay a cash dividend to shareholders as sales plunge amid the COVID-19 pandemic. Instead of paying NT$6.87 billion (US$227.79 million) in cash dividends, or NT$1.22 per share, it would this year distribute NT$6.81 billion, or NT$1.21 per share, a company regulatory filing said. THSRC said that it would move forward with the payout, but reduce the amount by NT$55.72 million. Mitigation and cost reduction plans have been introduced to cope with fallout from the pandemic, it said.
ELEVATORS
Golden Friends eyes growth
Golden Friends Corp (崇友), one of the nation’s leading suppliers of elevators and escalators, yesterday maintained its business growth projection of between 3 and 5 percent for this year despite the pandemic. Its maintenance and repair business, replacement business and orders for new elevators are expected to steadily expand this year, while the sale of new elevators to returning Taiwanese companies should remain steady from last year, the company told an online business forum organized by the Taipei Exchange. Revenue last month increased 15.05 percent year-on-year to NT$389.5 million, but consolidated revenue in the first quarter fell 3.13 percent to NT$998.29 million, company data showed.
APPAREL
Virus boosts Nan Liu profit
Nonwoven fabric maker Nan Liu Enterprise Co Ltd (南六企業) yesterday posted revenue of NT$698.82 million, up 72.94 percent month-on-month and 24.42 percent year-on-year, as it benefited from producing protective gowns amid the pandemic. The Kaohsiung-based company said that its Chinese plant in Pinghu, Zhejiang Province, last month resumed full production, and that production lines at its new factory in Kaohsiung’s Yanchao District (燕巢), which were certified by Japanese clients, are expected to begin shipments this quarter. Consolidated revenue in the first quarter fell 2.44 percent year-on-year to NT$1.57 billion, as lockdowns in China prior to last month stalled production, the company said.
APPAREL
TOPBI optimistic for Q2
TOPBI International Holdings Ltd (淘帝國際控股), a leading children’s clothing brand in China, yesterday said that its outlook remains upbeat for the second quarter as the company aims to take advantage of peak season demand and e-commerce sales channels amid China’s recovery from the pandemic. The company reported revenue of NT$336.91 million for last month, down 42.84 percent annually, while consolidated revenue in the first quarter declined 35.58 percent year-on-year to NT$864.95 million, a company statement said.
BANKING
CABEI to set up local office
The Central American Bank for Economic Integration (CABEI), Central America’s main regional bank, plans to open a regional office in Taiwan, it said in a statement on Wednesday last week. The bank, which highlighted Taiwan’s contributions to the region during the pandemic, said that it is committed to supporting Central American countries by attracting investment and promoting the region’s competitiveness. Taiwan, which has been a member of CABEI since 1992, is the bank’s largest partner from outside of the region and has a long history of supporting food security, agriculture and education in Central America, the bank said.
Hon Hai Precision Industry Co (鴻海精密) yesterday said that its research institute has launched its first advanced artificial intelligence (AI) large language model (LLM) using traditional Chinese, with technology assistance from Nvidia Corp. Hon Hai, also known as Foxconn Technology Group (富士康科技集團), said the LLM, FoxBrain, is expected to improve its data analysis capabilities for smart manufacturing, and electric vehicle and smart city development. An LLM is a type of AI trained on vast amounts of text data and uses deep learning techniques, particularly neural networks, to process and generate language. They are essential for building and improving AI-powered servers. Nvidia provided assistance
STILL HOPEFUL: Delayed payment of NT$5.35 billion from an Indian server client sent its earnings plunging last year, but the firm expects a gradual pickup ahead Asustek Computer Inc (華碩), the world’s No. 5 PC vendor, yesterday reported an 87 percent slump in net profit for last year, dragged by a massive overdue payment from an Indian cloud service provider. The Indian customer has delayed payment totaling NT$5.35 billion (US$162.7 million), Asustek chief financial officer Nick Wu (吳長榮) told an online earnings conference. Asustek shipped servers to India between April and June last year. The customer told Asustek that it is launching multiple fundraising projects and expected to repay the debt in the short term, Wu said. The Indian customer accounted for less than 10 percent to Asustek’s
‘DECENT RESULTS’: The company said it is confident thanks to an improving world economy and uptakes in new wireless and AI technologies, despite US uncertainty Pegatron Corp (和碩) yesterday said it plans to build a new server manufacturing factory in the US this year to address US President Donald Trump’s new tariff policy. That would be the second server production base for Pegatron in addition to the existing facilities in Taoyuan, the iPhone assembler said. Servers are one of the new businesses Pegatron has explored in recent years to develop a more balanced product lineup. “We aim to provide our services from a location in the vicinity of our customers,” Pegatron president and chief executive officer Gary Cheng (鄭光治) told an online earnings conference yesterday. “We
LEAK SOURCE? There would be concern over the possibility of tech leaks if TSMC were to form a joint venture to operate Intel’s factories, an analyst said Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday stayed mum after a report said that the chipmaker has pitched chip designers Nvidia Corp, Advanced Micro Devices Inc and Broadcom Inc about taking a stake in a joint venture to operate Intel Corp’s factories. Industry sources told the Central News Agency (CNA) that the possibility of TSMC proposing to operate Intel’s wafer fabs is low, as the Taiwanese chipmaker has always focused on its core business. There is also concern over possible technology leaks if TSMC were to form a joint venture to operate Intel’s factories, Concord Securities Co (康和證券) analyst Kerry Huang (黃志祺)
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