Taiwan's Machine Tool Makers See Improving Q3 Profitability
2014/10/15 | By Ken LiuTaiwan's leading machine-tool makers estimate Q3 sales of this year to be more profitable than that of last year, with orders booked to keep production lines humming throughout the final quarter and potential orders being tracked for Q1, 2015.
Among those manufacturers are Hiwin Technologies Corp., AWEA Mechantronic Co., Ltd., Roundtop Machinery Industries Co., Ltd., Goodway Machine Corp., Tongtai Machine & Tool Co., Ltd., Shieh Yih Machinery Industry Co., Ltd., and Taiwan Takisawa Technology Co., Ltd.
Hiwin, a major supplier of ballscrews and linear guideways, is busy filling orders for industrial robots, ballscrews and guideways until the end of this year.
They secured NT$30 million (US$1 million) to NT$100 million (US$3.3 million) of orders at the International Manufacturing Technology Show 2014 (IMTS 2014), held September 8-13 in Chicago, attributing such success mostly to the Obama Administration's policy to encourage overseas expat American manufacturers to "reshore" or move production back home. Also, the devaluation of the New Taiwan dollar against the U.S. dollar in Q3 brought the Taiwanese manufacturers some profit in foreign exchange.
Tongtai executives say it had landed at least NT$100 million of orders at IMTS 2014, increasing its booked orders to approximately NT$2.3 billion (US$76.6 million). The company will stay busy filling the orders throughout Q4 this year and tracking potential orders for Q1, 2015.
Tongtai aims to be a top-10 machine-tool maker by 2020, with revenue topping NT$20 billion (US$666.6 million), targeting 2014 revenue of NT$8.5 billion (US$283.3 million) and 2015 goal of NT$10 billion (US$333.3 million) or so.
Goodway and its subsidiary, the AWEA Mechantronic, won a combined NT$100 million (US$3.3 million) or so of orders at IMTS 2014, with production lines filled until the end of this year and potential orders being tracked for the first two months of next year.
Goodway and AWEA have been approved by their board of directors to issue NT$603 million (US$20 million) and NT$400 million (US$13 million) of convertible bonds, respectively. (KL)
Jan.-Aug. Revenue and Undelivered Orders at Taiwan's Leading Machine Tool Makers
| Stock code
| Company
| Jan.-Aug. consolidated revenue
| YoY change (%)
| Undelivered order
|
| 1530
| AWEA
| NT$2.4bn
| +27.56
| NT$1.4bn
|
| 1540
| Roundtop
| NT$694M
| +15.45
| NT$600M
|
| 1583
| Goodway
| NT$4.8bn
| +26.10
| NT$900M
|
| 2049
| Hiwin
| NT$9.3bn
| +27.34
| NT$4bn
|
| 4510
| Kao Fong
| NT$1.3bn
| +8.07
| NT$400M
|
| 4513
| Falcon
| NT$1.5bn
| +15.74
| NT$300-400M
|
| 4526
| Tongtai
| NT$5.9bn
| +20.93
| NT$2.3bn
|
| 4533
| Shieh Yih
| NT$2.7bn
| +13.53
| NT$1.4bn
|
| 6609
| Taiwan Takisawa
| NT$2.2bn
| +19.07
| NT$800-900M
|