Victor Taichung Aims at NT$10 B. Sales Target in 2008

Taipei, Feb. 26, 2008 (CENS)--Victor Taichung Machinery Group is setting a goal to move NT$10.3 billion (US$321.87 million at US$1:NT$32) of goods in 2008, which, if successfully achieved, would make the firm the first Taiwan-based machinery manufacturer to see annual sales break the NT$10 billion (US$312.5 million) mark.

Victor Taichung Machinery Works Co., the group's flagship company, registered NT$670 million (US$20.93 million) in after-tax earnings, or NT$6 (US$0.18) in earnings per share, last year.

Bert M.H. Huang, the group president, said that his company generated NT$5.87 billion (US$183.43 million) in sales from its Taiwan operation last year, up 15.06% annually. Along with the sales of a domestic subsidiary and mainland China operations, the group posted NT$9 billion (US$281.25 million) in sales last year, for a 20% annual growth.

Huang said that his company is set to embark on a very rosy 2008 as it is planning to go all-out to set foot in Germany, East Europe, Russia, India and Turkey. The company claims that it had generated some NT$1 billion (US$31.25 million) in sales in the European market, and that such figure would improve to reach US$1.3 billion (US$40.25 million) this year.

At present, Victor Taichung has a 30% share of domestic CNC lathe market with a 15% annual growth; while its operations in the mainland, including Shanghai and Guangzhou plants, will grow an annual 40% to reach NT$3 billion (US$93.75 million) in sales this year. Plus Victor Taichung will focus on large-sized models as vertical lathes, horizontal lathes and horizontal machining centers to widen profit margins.

The company said that its Taiwan headquarters has recently secured orders for 20 vertical machining centers, and 30 vertical and horizontal lathes from mainland buyers; while at the end of last year the company's China subsidiary landed orders from Hon Hai Precision Industry Co. for 400 plastic injection molding machines.

The company's current capacity expansion plans cover its operations in Wuhai of Hubei province and Yantai of Shandong province in mainland China, as well as that in Vietnam.