 2015-05-13 |
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[Economic Times Reporter Wang Yi-xin, Taipei]
YC Group has reported growth in revenue for April across its subsidiaries compared to March. With international oil prices stabilizing and the group actively pursuing vertical integration, revenue is expected to show a growth trend.
In April, YC (4306) achieved consolidated revenue of NT$1.579 billion, a 9.66% increase from March. However, the cumulative revenue for the first four months of the year decreased by 13.34% compared to the same period last year. ACHEM (1715) reported consolidated revenue of NT$926 million in April, a 6.96% month-over-month increase, but its cumulative revenue for the first four months was down 7.64% year-over-year. Xinzhou Global (3171) had consolidated revenue of NT$141 million in April, up 5.73% from March, with a 5.38% decrease in cumulative revenue for the first four months compared to the previous year.
After experiencing a significant drop in oil prices at the end of last year, which impacted its film business performance, YC faced considerable pressure in the first quarter due to oversupply in the Mainland China film market. However, with oil prices beginning to rise again in the second quarter and the company actively managing its assets, along with the anticipated delivery of the Xinzuang MORE project by year-end, YC expects a significant increase in both revenue and profitability in the second quarter. This trend suggests that the company's overall performance for the year will likely show stable growth.
ACHEM’s revenue in April showed recovery after a low period in the first quarter due to a sharp drop in oil prices and reduced unit prices. With increased export orders to the US and Japan and stabilized demand in the Mainland China market, ACHEM’s operations have gradually resumed steady growth. Additionally, with the Yangmei PE plant and the Hai’an plant in Mainland China coming online in the second half of the year, and the benefits of vertical integration gradually manifesting, ACHEM’s overall performance is expected to show a recovering growth trend.
After integrating its packaging business, Xinzhou Global has seen significant improvements in the Taiwan market, with stable growth expected this year. In Mainland China, after a restructuring phase last year, the business is now breaking even on a monthly basis. The expansion into Central and Northern China is anticipated to show results starting in the second quarter, with significant growth in operations and profitability expected for Xinzhou Global due to lower procurement costs and improved performance in Mainland China. |
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