Formosa Plastics Group (FPG, 台塑集團) yesterday posted total revenue of NT$91.4 billion (US$3.10 billion) for last month, a 4.5 percent growth from June and the second consecutive month of month-on-month growth as market demand recovers from the impact of COVID-19.
However, the largest industrial conglomerate’s aggregated revenue contracted 27.7 percent from a year earlier.
All four major subsidiaries of FPG posted month-on-month revenue growth.
Formosa Plastics Corp (FPC, 台塑), the group’s flagship company, posted NT$15.71 billion in revenue, a 6.4 percent increase from June and a 10.2 percent decrease from a year earlier.
FPC spokesman Jerry Lin (林勝冠) said in a filing with the Taiwan Stock Exchange that rebounding demand for PVC pipes for agricultural purposes in India raised prices for PVC products by 10 percent last month from June, offsetting a weakness in demand from PVC factories in India due to city lockdowns.
Also strongly affected by a COVID-19-related fall in demand for petroleum products, Formosa Petrochemical Corp (FPCC, 台塑石化) posted a revenue of NT$33.53 billion, an increase of 4.5 percent from June’s NT$32.09 billion.
On an annual basis, the oil refiner’s revenue contracted 41.2 percent.
FPCC pokesman Lin Keh-yen (林克彥) attributed rising oil prices to growth in FPCC’s revenue.
Average Dubai crude prices increased US$2.5 a barrel last month from June, causing FPCC’s products to be sold for an average of US$5.9 per barrel more compared with the preceding month.
FPCC refined 12.69 million barrels of crude oil last month, down 1.5 million barrels in June, the company’s filing with the exchange showed.
Nan Ya Plastics Corp (南亞塑膠) posted revenues of NT$21.7 billion, a 4.6 percent increase month-on-month, but an 11.4 percent decrease from a year ago.
Nan Ya chairman Wu Chia-chau (吳嘉昭) said in a regulatory filing that most product categories had seen growth, as many nations around the world started phasing out COVID-19 related lockdowns.
Together with stimulus policies, this has led to rebounding demand from consumption and manufacturing activities, she added.
Formosa Chemicals & Fibre Corp (FCFC, 台灣化纖) posted revenues of NT$20.5 billion, up 3.1 percent over June, but a drop of 23.4 percent from a year earlier.
FCFC vice chairman Hong Fu-yuan (洪福源) said customers are replenishing low inventories as nations reopen their economies.
SETTING AN EXAMPLE: The commission suspended the bank’s two top executives as ‘a warning to all banks,’ while the fine is the biggest to be given to a bank in a single case The Financial Supervisory Commission (FSC) yesterday fined E.Sun Commercial Bank (玉山銀行) NT$20 million (US$693,698) over a theft scandal and punished the bank’s two top executives. A customer relationship manager surnamed Pan (潘) at the bank’s branch in Kaohsiung’s Fengshan District (鳳山) stole NT$140 million from 41 clients over the past seven years, the commission said. Pan secretly transferred the stolen money to accounts belonging to her and her family members by using clients’ debit cards, passwords or documents that were stamped using the clients’ personal stamps between July 2013 and June this year, the commission said. The commission suspended Ben Chen (陳炳良), the
Contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to remain the third-largest IC supplier this year, unchanged from last year, IC Insights said yesterday. IC designer MediaTek Inc (聯發科) is expected to become the 11th-largest, up from 16th last year, the semiconductor market research firm said. TSMC is expected to post US$45.42 billion in sales, up 31 percent from last year, IC Insights said in a report released on its Web site. TSMC’s sales growth is largely due to a surge in orders from Apple Inc and HiSilicon Technologies Co (海思半導體) — two of its major clients — which
HARD ASK: At a meeting held by the MOEA to talk about the RCEP trade deal, trade associations said that they expect the government to push for more free-trade deals Business representatives yesterday urged the government to slow the appreciation of the New Taiwan dollar, saying that some Taiwanese industries have been undercut by rivals due to unfavorable foreign exchange rates. The government should also assist local industries to expand their domestic market, and push for more bilateral trade deals so that Taiwanese companies can enjoy zero or preferential tariffs on exports, following the nation’s exclusion from the Regional Comprehensive Economic Partnership (RCEP) which was signed by 15 Asia-Pacific nations on Nov. 15, they said at a meeting with the Ministry of Economic Affairs (MOEA). Some participants said that the NT dollar’s
BREATH OF LIFE: The firm said the under-utilized plant should start mass production in the first quarter, timed to coincide with Intel Corp’s release of its Ice Lake server chip Hon Hai Precision Industry Co (鴻海精密) plans to assemble key components for Google servers at its plant in Wisconsin, people familiar with the matter said, finally breathing life into a factory that US President Donald Trump hailed as crucial to bringing manufacturing back to the US. The company has decided to locate production for this new contract at the existing complex rather than make the components at home or in China, the people said, asking not to be identified. The under-utilized plant should start mass production in the first quarter, timed with the release of Intel Corp’s Ice Lake server chips,