 2014-01-13 |
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Times Information Reporter: Wang Kexin, Taipei
On January 13, 2014, YC (4306) reported consolidated revenue of NT$1.601 billion for December 2013, marking a significant year-over-year increase of 10.43%. For the full year of 2013, the total revenue reached NT$19.618 billion, up 6% compared to the previous year. ACHEM Chemicals (1715), a subsidiary of YC, reported consolidated revenue of NT$907 million for December 2013, up 16.18% from the same month the previous year. The total revenue for ACHEM Chemicals for 2013 was NT$10.572 billion, reflecting a 6.1% increase from the previous year.
The revenue growth in December was driven by the new production capacities coming online. ACHEM Chemicals experienced revenue growth due to expanding its product line and developing new product applications, which improved its profitability structure. Additionally, Xinzhou Global benefited from the year-end procurement peak, contributing significantly to the group's revenue.
ACHEM Chemicals has been expanding its production capacity in response to the surge in demand for PVC adhesive tape in China. The company is actively investing in high-margin automotive tapes and niche products. The automotive tape product line now constitutes a larger proportion of PVC tape revenue, and it is expected to double in growth this year. From late last year to early this year, ACHEM has added four new PVC production lines. With the completion of the "Hai’an Plan" by the end of the year, six PVC film calendaring machines and six PVC tape coating lines are expected to come into production next year. The new capacity is anticipated to increase total PVC tape production by at least 20%. Additionally, the integration of PVC film production is expected to enhance vertical integration benefits, reducing production and sales costs, and further boosting revenue and profitability.
Furthermore, ACHEM Chemicals is also focused on new product development. The PE coating line at the Yangmei plant is nearing completion and will be Taiwan's only integrated PE protective tape production line. Once production officially begins in the second quarter, it will add new momentum to ACHEM's overall operations, with anticipated growth in revenue and profitability. |
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