 2010-02-11 |
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(Reported by Zhao Xiao-Hui, Central News Agency, Taipei, February 11, 2010)
Tape manufacturing giant YC (4306) announced that its self-assessed consolidated revenue for January 2010 was NT$1.19 billion, marking an impressive 2.64-fold increase year-over-year. This growth was driven not only by strong market demand but also by its acquisition of ACHEM (1715).
Following last year's acquisition of ACHEM, YC’s self-assessed January revenue reached NT$347 million, representing a 66.83% increase from NT$208 million in the same period last year. Subsidiary ACHEM also posted self-assessed January revenue of NT$315 million, a 108.81% increase from NT$151 million in the previous year.
YC Group’s consolidated January revenue of NT$1.19 billion showed remarkable growth, with a 2.64-fold year-over-year increase.
YC explained that the increase in raw material prices prompted customers to boost inventory levels, which, combined with last year’s January coinciding with the Chinese New Year holiday, contributed to the substantial growth in January revenue this year. Many well-known international companies have significantly increased confidence in ACHEM due to its stabilized management, resulting in more stable orders compared to previous years.
YC noted that the strong performance in the construction and electronics industries has led to a surge in demand for PVC tape, creating a tight supply. The demand for biaxially oriented polypropylene (BOPP) films has also increased with the recovering economy.
YC expects raw material costs to remain high, with prices staying at elevated levels, forecasting that plastic prices will continue to rise moderately, resulting in steady revenue growth. Analysts predict that consumer demand will noticeably recover this year, benefiting the packaging materials industry. With ACHEM successfully integrated into the YC Group, the synergy between the two companies is highly anticipated, creating potential for the whole to exceed the sum of its parts. |
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