 2009-07-10 |
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(Times reporter He Meiru, Taipei)
YC (4306) reported Q2 revenue of NT$972 million, down 16.98% year-on-year but up 25.54% compared to the previous quarter. In consolidated terms, thanks to early recognition of revenue from its subsidiary Wangzhou Construction's "City of the Coast" project, Q2 consolidated revenue reached NT$2.094 billion, an increase of 50.66% from the previous quarter. Looking ahead to Q3, YC indicated that demand remains strong, and order intake is going smoothly, providing high visibility.
YC noted that while demand is robust, the main challenge lies in the rising prices of raw materials like polypropylene (PP), which have increased significantly. This means that product selling prices cannot fully reflect these increases, requiring the company to absorb part of the costs. Currently, selling prices can only reflect about 90% of the raw material price hikes. Recently, crude oil prices fell from US$73 to below US$60, but due to production delays in new capacities in the Middle East, the response of raw material prices has been slow. YC expects that raw material prices will be corrected in August, which will benefit its operations in Q3.
In June, YC recorded revenue of NT$332 million, a growth of 2.56% compared to May. June's consolidated revenue was NT$1.125 billion, a significant increase of 119.3% from May, mainly due to the recognition of revenue from the Wangzhou Construction project. |
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