Taiwanese Golf Club Head Makers to Keep Prospering in Q2
2011/03/14 | By Steve ChuangTaipei, March 14, 2011 (CENS)--With their clients heavily promoting new golf clubs, Taiwanese manufacturers of golf club heads have received considerable contract orders and hence are expected to keep prospering through the second quarter of this year.
One of them is Advanced International Multitech Co., which has secured contract orders valued at over NT$500 million from its clients, including TaylorMade, the largest golf club vendor in the world. With these newly added contract orders to drive the growth, Advanced International's single-month revenue is estimated to shoot up to over NT$800 million, indicated institutional investors.
In fact, Advanced International has benefited from its clients' promotion of new products since the end of last year, scoring revenue of NT$621 million in December, 2010, up 42.91% from a month earlier and garnering much higher revenue of NT$845 million in January, for a month-on-month growth of 35.92%.
In the meantime, Advanced International's counterpart Dynamic Precision Industry Corp. confirmed that its production lines have been fully booked till April, as its major client TaylorMade is building an inventory for its newest R11 series golf clubs that have proven popular with consumers worldwide, and hence has increased contract orders for golf club heads lately.
Also profiting from clients launching new products, Dynamic Precision scored sales revenue of NT$149 million and NT$190 million last December and this January, respectively, representing a 63.68% and 27.29% increase from a month earlier.
Reportedly having landed an order from Japan's Bridgestone, O-Ta Precision Industry Co., Ltd. is also expected to achieve a 30% month-on-month growth in sales revenue of NT$450 million for March to rally back from gloomy performance in the past two months.
To sum up, with customers stepping up promotion of new products along with U.S.'s economy simmering, industry insiders have turned increasingly optimistic about their sales outlooks for the second quarter.