Ennoconn Corp (樺漢科技) yesterday reported its best first-quarter financial results in its history and said it remains positive about the second quarter, based on orders and improving inventory turnover.
Ennoconn, an industrial computer subsidiary of Hon Hai Precision Industry Co (鴻海精密), provides hardware solutions for point-of-sale, banking automation, kiosk, lottery and industrial automation systems.
The company attributed last quarter’s growth to improving shipments, as well as the services it provided to major financial retailers and lottery operators in the European and US markets.
Photo courtesy of Ennoconn Corp
Net profit for the January-to-March quarter jumped 56.7 percent year-on-year to NT$492.45 million (US$16.02 million), Ennoconn said, as expanding business scale and better collaboration with its customers helped improve its bottom line.
On a quarterly basis, net profit declined 75.9 percent from NT$2.05 billion.
Earnings per share were NT$4.64, compared with NT$2.98 a year earlier and NT$19.31 the previous quarter, company data showed.
As the company’s three major units — design and manufacturing, systems integration and brand business — maintained steady growth momentum, first-quarter revenue rose 31.5 percent year-on-year to NT$28.49 billion.
The figure rose 14.1 percent from the previous quarter.
In the first quarter, the design and manufacturing segment’s profit jumped 122 percent from a year earlier, while profits generated by the systems integration and brand business segments rose 24.2 percent and 57.1 percent respectively, the company said.
Ennoconn’s revenue last month rose 26.45 percent year-on-year to NT$9.33 billion, bringing cumulative revenue in the first four months to NT$38.07 billion.
The company said its cumulative revenue increased 31.05 percent from the previous year and was its best January-to-April figure ever.
The company said it is upbeat about this year, as it has clear order visibility through the first quarter of next year and has a book-to-bill ratio of about 1.1 percent.
Figures above 1 percent indicate increasing demand.
Ennoconn chairman Steve Chu (朱復銓) yesterday said the company has reached a new milestone for its business transformation from industrial PC to intelligent computing and innovative platform convergence, following five years of horizontal and vertical integration of resources at the company’s subsidiaries and partners.
The company aims to develop business opportunities with partners including MediaTek Inc (聯發科), Google Cloud, Chunghwa Telecom Co (中華電信), Intel Corp and Arm Ltd, it said at an event in Taipei.
Ennoconn is committed to implementing a diversified and multifaceted business model, extending global deployment of multiple supply chains and continuing hardware, and software integration to maintain its competitiveness, despite macroeconomic headwinds, it said.
The government yesterday approved applications by Alphabet Inc’s Google to invest NT$27.08 billion (US$859.98 million) in Taiwan, the Ministry of Economic Affairs said in a statement. The Department of Investment Review approved two investments proposed by Google, with much of the funds to be used for data processing and electronic information supply services, as well as inventory procurement businesses in the semiconductor field, the ministry said. It marks the second consecutive year that Google has applied to increase its investment in Taiwan. Google plans to infuse NT$25.34 billion into Charter Investments Ltd (特許投資顧問) through its Singapore-based subsidiary Fructan Holdings Singapore Pte Ltd, and
Micron Technology Inc is a driving force pushing the US Congress to pass legislation that would put new export restrictions on equipment its Chinese competitors use to make their chips, according to people familiar with the matter. A US House of Representatives panel yesterday was to vote on the “MATCH Act,” a bill designed to close gaps in restrictions on chipmaking equipment. It would also pressure foreign companies that sell equipment to Chinese chipmaking facilities to align with export curbs on US companies like Lam Research Corp and Applied Materials Inc. The bill targets facilities operated by China’s ChangXin Memory Technologies Inc
Singapore-based ride-hailing and delivery giant Grab Holdings’ planned acquisition of Foodpanda’s Taiwan operations has yet to enter the formal review stage, as regulators await supplementary documents, the Fair Trade Commission (FTC) said yesterday. Acting FTC Chairman Chen Chih-min (陳志民) told the legislature’s Economics Committee that although Grab submitted its application on March 27, the case has not been officially accepted because required materials remain incomplete. Once the filing is finalized, the FTC would launch a formal probe into the deal, focusing on issues such as cross-shareholding and potential restrictions on market competition, Chen told lawmakers. Grab last month announced that it would acquire
SECOND-RATE: Models distilled from US products do not perform the same as the original and undo measures that ensure the systems are neutral, the US’ cable said The US Department of State has ordered a global push to bring attention to what it said are widespread efforts by Chinese companies, including artificial intelligence (AI) start-up DeepSeek (深度求索), to steal intellectual property from US AI labs, according to a diplomatic cable. The cable, dated Friday and sent to diplomatic and consular posts around the world, instructs diplomatic staff to speak to their foreign counterparts about “concerns over adversaries’ extraction and distillation of US AI models.” Distillation is the process of training smaller AI models using output from larger, more expensive ones to lower the costs of training a powerful new
RSS