Two listed developers in Taichung and Tainan yesterday said that they are upbeat about business this year, as they would benefit from real demand fueled by a stable economy and investments by local tech firms.
Taichung-based Full Wang International Development Co (富旺國際開發) said it expects enhanced profitability this year as construction projects across Taiwan stay on course.
Full Wang said it has 12 projects on hand that might generate NT$16.87 billion (US$610.70 million) of sales, up from NT$3.19 billion last year, when a level-3 COVID-19 alert in the second quarter stalled construction and weighed on sales.
The 12 projects are in Hsinchu, Miaoli, Taichung, Yunlin and Kaohsiung, with strong sales rates, it said.
Full Wang, which is engaged in residential property development as well as sales of industrial land plots, said that windfalls would continue as companies return from abroad, and local semiconductor and flat-panel makers expand capacity.
Full Wang is also seeking to tap into commercial property management and is in talks with potential partners to be involved with a mixed-used complex to be built near the High-Speed Rail station in Taichung, it said.
The complex might generate NT$100 million in rental income from next year, if things proceed smoothly, it said.
Tainan-based Sun Yad Construction Co (上曜建設開發) said it is taking advantage of the southern city’s evolution into a home to new manufacturing facilities of heavyweight Taiwanese technology firms.
New manufacturing orders will create new jobs and housing demand, and Sun Yad is poised to win customers with its experience in development of upscale apartments, it said.
A lakeside residential project achieved a sales rate of more than 50 percent just three weeks after its release, it said.
Selling prices would stand firm at above NT$400,000 per ping (3.3m2) for units on upper floors, Sun Yad Construction said.
with penthouse units expected to be near NT$500,000 per ping, which would be close to rates in northern Taiwan, it said.
DISMAL OUTLOOK: A Citigroup analyst predicted firms face ‘the worst semiconductor downturn in at least a decade,’ due to inventory build and the potential of a recession Semiconductor stocks tumbled after Micron Technology Inc became the latest chipmaker to warn about slowing demand, triggering concern that the industry is heading into a painful downturn. In the US on Tuesday, the Philadelphia semiconductor index sank 4.6 percent, with all 30 members in the red, its biggest drop in about two months. In Asia, chip stocks from Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to Samsung Electronics Co, SK Hynix Inc and Tokyo Electron Ltd slumped. Investors are growing increasingly skittish as the notoriously cyclical industry is hurtling toward a prolonged slump after years of widespread shortages that led to heavy
With a tantalizing array of satay chicken, wok-fried mud crab and chilled tiger prawns, the dinner buffet at Singapore’s Grand Hyatt hotel typically sets diners back about US$70. Those on a tighter budget and with an eye on sustainability can fill a box for one-tenth of that price. Across Asia, tech start-ups are taking food otherwise destined for landfill and providing discounted meals through mobile phone apps. About one-third of food is lost or wasted every year globally, and the mountains of waste are estimated to cause 8 to 10 percent of greenhouse gas emissions such as methane, the UN says.
MAJOR REVENUE CONTRIBUTOR: The company said that it expects revenue this year to increase annually due to an improved smart consumer electronics outlook Hon Hai Precision Industry Co (鴻海精密) yesterday said revenue this quarter would be flat from last quarter, despite new phone models launched by key customers, as the market faces weakening demand. The iPhone assembler, based in New Taipei City’s Tucheng District (土城), said it is cautious about its business outlook, given mounting uncertainty regarding geopolitical tensions, soaring inflation and COVID-19 flare-ups, but still expects revenue this quarter to be higher than the NT$1.4 trillion (US$46.67 billion) it reported a year earlier. The forecast came as the company posted record second-quarter net profit of NT$33.29 billion, up 12 percent year-on-year from NT$29.78 billion.
Yageo Corp (國巨) yesterday said that its revenue would drop by a low single-digit percentage this quarter from a historical high last quarter, as customers and distributors are holding back demand to concentrate on inventory digestion due to flagging smartphone and notebook computer demand. The world’s biggest supplier of passive components expects to take three to six months to reduce its inventory of commoditized passive components to a normal level of 100 to 110 days, from 130 days currently. Yageo would reduce its factory utilization rate for standard passive components to about 60 percent this quarter, from about 70 percent last quarter,