Pneumatic components supplier Airtac International Group (亞德客) on Friday reported consolidated revenue of NT$2.26 billion (US$76.2 million) for last month, down 20.2 percent from a month earlier due to fewer working days and China’s COVID-19 pandemic restrictions.
Last month’s revenue was down 6.67 percent year-on-year, as strict pandemic measures prevented the company from delivering products to clients in a timely or efficient manner, Airtac said in a regulatory filing.
“However, the company believes that such adverse effects are short-term phenomena, and demand is only deferred to the coming weeks or months,” Airtac said in the filing.
The company said current orders are much higher than its shipments, while the effects of China’s rigid COVID-19 restrictions remain uncertain.
“The company still has a positive expectation for market demand, so it maintains a 110 percent utilization rate to increase inventory to meet the demand,” Airtac said.
The company’s products are used in the production of electronic equipment, general machinery, packaging, automotive devices, batteries, construction equipment and machine tools.
Shipments for the battery, automobile and textile machinery industries posted a higher growth rate last month, it said.
From January to last month, cumulative revenue reached NT$8.77 billion, up 4.94 percent year-on-year thanks to sustained customer demand, and capacity increases for pneumatic components and linear guide equipment, Airtac data showed.
Separately, linear-motion component supplier Hiwin Technologies Co (上銀科技) reported that revenue last month edged up 1.13 percent monthly to NT$2.74 billion, the highest since October, 2018.
The company continued to benefit from pull-in orders from customers in the semiconductor, automation, new energy, machine tool and electric vehicle industries.
Revenue last month increased 22.65 percent on an annual basis, an indication that China’s rolling lockdowns in some cities have not affected the firm’s major manufacturing site in Suzhou, Jiangsu Province, although local distributors in Shanghai and Kunshan face logistics problems due to strict pandemic measures.
Hiwin’s cumulative revenue in the first four months of the year grew 25.3 percent annually to NT$10.31 billion, the company said in its regulatory filing on Friday.
Hiwin, which also produces ball screws and linear guideways, said it has clear order visibility to the third quarter of the year.
Analysts forecast that Hiwin’s revenue and earnings would continue to grow this year, given a persistent recovery in automation demand in Europe and the US, as well as price increases in response to a rise in the costs of raw materials.
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