EQUITIES
TAIEX flat due to US markets
Shares in Taiwan closed nearly flat yesterday, after moving into consolidation mode, as investor sentiment was dictated by a lackluster performance on Wall Street after a hawkish statement given by US Federal Reserve Chairman Jerome Powell, dealers said. Lingering concerns over Russia’s war with Ukraine also weighed on the main board, with the bellwether electronics sector — led by large-cap semiconductor stocks — taking the brunt of the pressure, they said. The TAIEX closed down 0.65 points at 17,559.71, after moving between 17,468.55 and 17,573.29. Turnover totaled NT$235.455 billion (US$8.25 billion), with foreign institutional investors selling a net NT$354 million of shares on the main board after buying a net NT$196 million on Monday, Taiwan Stock Exchange data showed.
EQUITIES
Foreigners sell NT$39.32bn
Foreign investors last week sold a net NT$39.32 billion of local shares after selling NT$180.98 billion a week earlier, the Taiwan Stock Exchange said in a statement on Monday. As of Friday, foreign investors had sold NT$478.75 billion of local shares from the beginning of the year, it said. Last week, the top three shares foreign investors sold were China Development Financial Holding Corp (中華開發金控), Taiwan Semiconductor Manufacturing Co (台積電) and AU Optronics Corp (友達光電), while the top three shares they bought were China Steel Corp (中鋼), Tatung Co (大同) and Pegatron Corp (和碩), the exchange said. As of Friday, the market cap of shares held by foreign investors was NT$22.52 trillion, or 41.60 percent of total market cap, it said.
ELECTRONICS
Tong Hsing revenue to drop
Tong Hsing Electronic Industries Inc (同欣電), an image sensor packaging services arm of Yageo Corp (國巨), yesterday said revenue this quarter would likely drop by a single-digit percentage from a quarter earlier due to seasonal factors. However, the firm remains positive about its business performance for the whole of this year, expecting revenue to hit another record compared with last year’s NT$13.88 billion, as customer demand remains strong, Tong Hsing president Heinz Ru (呂紹萍) told investors in a teleconference. Complementary metal-oxide semiconductor image sensor packaging services would grow at the fastest rate this year, while ceramic substrate, radio-frequency module and mixed IC module businesses would also see steady growth, he said. The firm’s new production facilities in Taoyuan’s Bade District (八德) are expected to begin installing equipment in August and start volume production in the fourth quarter, chief operating officer Chang Chia-shuai (張嘉帥) said. The firm has budgeted a capital expenditure of NT$1 billion for this year. Net profit rose 90.6 percent year-on-year to NT$2.77 billion last year, the highest in the firm’s history, with earnings per share rising from NT$7.88 to NT$15.49, company data showed.
LOTTERY
Winning invoices unclaimed
Four NT$10 million-winning uniform invoices and nine NT$2 million winners issued in November and December last year remain unclaimed, the Ministry of Finance said yesterday. The winning serial number for the NT$10 million prize is 31150905 and the one for the NT$2 million prize is 28564531, the ministry said. It urged those with winning receipts who have yet to claim their prize to do so by the May 5 deadline. The ministry said the winning numbers for invoices issued in January and last month would be drawn on Friday.
Shares of contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) came under pressure yesterday after a report that Apple Inc is looking to shift some orders from the Taiwanese company to Intel Corp. TSMC shares fell NT$55, or 2.4 percent, to close at NT$2,235 on the local main board, Taiwan Stock Exchange data showed. Despite the losses, TSMC is expected to continue to benefit from sound fundamentals, as it maintains a lead over its peers in high-end process development, analysts said. “The selling was a knee-jerk reaction to an Intel-Apple report over the weekend,” Mega International Investment Services Corp (兆豐國際投顧) analyst Alex Huang
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) is expected to remain Apple Inc’s primary chip manufacturing partner despite reports that Apple could shift some orders to Intel Corp, industry experts said yesterday. The comments came after The Wall Street Journal reported on Friday that Apple and Intel had reached a preliminary agreement following more than a year of negotiations for Intel to manufacture some chips for Apple devices. Taiwan Institute of Economic Research (台灣經濟研究院) economist Arisa Liu (劉佩真) said TSMC’s advanced packaging technologies, including integrated fan-out and chip-on-wafer-on-substrate, remain critical to the performance of Apple’s A-series and M-series chips. She said Intel and Samsung
TRANSITION: With the closure, the company would reorganize its Taiwanese unit to a sales and service-focused model, Bridgestone said Bridgestone Corp yesterday announced it would cease manufacturing operations at its tire plant in Hsinchu County’s Hukou Township (湖口), affecting more than 500 workers. Bridgestone Taiwan Co (台灣普利司通) said in a statement that the decision was based on the Tokyo-based tire maker’s adjustments to its global operational strategy and long-term market development considerations. The Taiwanese unit would be reorganized as part of the closure, effective yesterday, and all related production activities would be concluded, the statement said. Under the plan, Bridgestone would continue to deepen its presence in the Taiwanese market, while transitioning to a sales and service-focused business model, it added. The Hsinchu
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has approved a capital budget of US$31.28 billion for production expansion to meet long-term development needs during the artificial intelligence (AI) boom. The company’s board meeting yesterday approved the capital appropriation plan for purposes such as the installation of advanced technology capacity and fab construction, the world’s largest contract chipmaker said in a statement. At an earnings conference last month, TSMC forecast that its capital expenditure for this year would be at the higher end of the US$52 billion to US$56 billion range it forecast in January in response to robust demand for 5G, AI and
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