Business and Finance

MediaTek sees surge in annual income

LATEST PRODUCTS: MediaTek undercut Qualcomm and is supplying its Helio P60 chips to Oppo Mobile Telecommunications for use in the R15 smartphone

Taipei Times
Date: Apr 28, 2018
By: Lisa Wang  /  Staff reporter

MediaTek Inc (聯發科), the world’s No. 2 handset chip designer, yesterday posted a 59 percent annual growth in operating income for last quarter as customers’ growing adoption of new smartphone chips drove its gross margin to a three-year high.

Operating income surged to NT$1.93 billion (US$65.12 million) during the quarter ending on March 31, compared with NT$1.21 billion during the same period last year, MediaTek’s financial statement showed.

That represents quarterly growth of 49.5 percent from NT$1.29 billion.

Gross margin climbed to 38.4 percent, from 37.4 percent the previous quarter and 33.5 percent a year earlier.    [FULL  STORY]

Government statistics office predicts 2.42% growth for 2018

Radio Taiwan International
Date: 2018-04-26

Top financial officials predict that Taiwan will see 2.42% economic growth this year. Heads of government financial agencies went to the legislature to report on the economy on Thursday.

Lawmaker Lai Shyh-bao expressed concern over the fall of the stock
market. The head of the government statistics office Tzer Ming-chu said
the economy is still looking good and should be able to see 2.42% growth.

Tzer said that domestic demand would be one of the driving forces of the economy. Lawmakers questioned if pension reforms in July would affect consumer behavior. But Tzer said that it shouldn’t make much of a difference since the reforms were gradual.

He also cited global factors such as US-China trade tensions and the rising of US interest rates as factors that Taiwan needs to keep a watch on.    [FULL  STORY]

US chipmaker Micron to boost hiring in Taiwan to fight China poaching

US chipmaker Micron to hire 800 workers in Taiwan to counter poaching from Chinese rivals

Taiwan News 
Date: 2018/04/26
By: Keoni Everington, Taiwan News, Staff Writer

TAIPEI (Taiwan News) — U.S.-based chipmaker Micron Technology is planning hire at

(Image from Google Maps)

least 800 new workers in Taiwan by 2019 to counter poaching efforts by Chinese rivals, reported the Nikkei Asian Review.

The memory chipmaker has lost hundreds of engineers since its acquisition of dynamic random access memory (DRAM) maker Inotera Memories (華亞科) in 2016, which was a joint venture with Taiwanese company Nanya Technology (南亞科). Chinese rival chipmakers are luring away Taiwanese engineers by offering salaries five times higher than what they make in Taiwan.

Wang Wen-yuan (王文淵), president of the Formosa Plastics Group (FPG) conglomerate last week told CNA that Chinese rivals have lured away 48 high level technicians from Nanya Technology, while Inotera Memories lost more than 400 employees.    [FULL  STORY]

Taiwan pushing for foreign investment agreement with Canada: minister

Focus Taiwan
Date: 2018/04/26
By: Liao Yu-yang, Hu Yu-li and Kuan-lin Liu

Taipei, April 26 (CNA) Minister of Economic Affairs Shen Jong-chin (沈榮津) said Thursday

Minister of Economic Affairs Shen Jong-chin (沈榮津)/CNA file photo

that he has been pressing his Canadian counterpart on the issue of a bilateral foreign investment agreement.

Shen said he spoke with Canadian Minister of International Trade Francois-Philippe Champagne on the phone Wednesday night and expressed Taiwan’s desire to sign a Foreign Investment Promotion and Protection Agreement (FIPA) with Canada.

In response, Champagne said that he hoped to discuss with Taiwan the particulars of a bilateral trade and investment agreement after Canada completes its current talks with several other countries on bilateral agreements.

The phone conversation went well, Shen told reporters in Taipei, but he declined to give any further details.    [FULL  STORY]

AUO profit plunges on weak demand

BETTER PROSPECTS: The LCD panelmaker expects its customers to complete their inventory digestion this quarter and for TV panel demand to pick up next quarter

Taipei Times
Date: Apr 27, 2018
By: Lisa Wang  /  Staff reporter

LCD panelmaker AU Optronics Corp (AUO, 友達光電) yesterday reported that its first-quarter net profit dropped more than half on weaker-than-expected TV demand from China due to excess inventory.

Despite an unfavorable pricing environment, AUO still posted an operating profit of NT$2.95 billion (US$99.3 million) in the first three months of the year, outperforming bigger South Korean rival LG Display Co, which unexpectedly posted a net loss of 49 billion won (US$44.5 million).

“Demand cooled off in the first quarter, which was, as usual, a slow season,” AUO chairman and chief executive officer Paul Peng (彭雙浪) told investors. “However, AUO performed relatively well as its efforts to boost its products’ value bore fruit. The quarterly [operating] profit matched our expectations.”

The company delivered a better earnings before interest, taxes, depreciation and amortization (EBITDA) margin of 16 percent last quarter, compared with LG Display’s 14 percent.    [FULL  STORY]

INFOGRAPHIC: Taiwan’s Industrial Sector Stokes Electricity Crisis

The News Lens
Date: 2018/04/25
By: If Lin, Infographic Editor / Data journalist in Taiwan

Infographic Editor / Data journalist in Taiwan

 

The debate over Taiwan’s electricity shortage revolves around generating power and the sources it comes from, but it’s worth considering the other end of the equation – where does it all go?

Taiwan’s electrical infrastructure has been walking a razor’s edge for the past few years, and the suggestion that Taiwan might not have enough electricity is a frequent matter of debate.

The attempted shuttering of Taiwan’s aging nuclear power plants, protests surrounding the use of fossil fuels, and the lethargic adoption of renewable energy have all contributed to the shortage. However, the lack of electricity doesn’t exist in a vacuum – somebody is using it all.

According to data from state-run utility company Taiwan Power Company (Taipower), Taiwan’s electricity consumption has skyrocketed in the past few decades. Taiwan used 100 billion kilowatt-hours (kWh) in 1995, but this had doubled by 2013. Most of this growth in demand didn’t come from personal use – it’s not like appliances got less efficient during the past three decades. Where did this power go?    [FULL  STORY]

 

Taipei to conduct workplace safety inspections targeting logistics, trucking, and bus industries

Taipei City Mayor Ko Wen-je (柯文哲) instructed the city’s Department of Labor to step up workplace safety inspections targeting the logistics, trucking, and bus industries on the heels of the drowsy-driving-related crash

Taiwan News 
Date: 2018/04/25
By: George Liao, Taiwan News, Staff Writer

TAIPEI (Taiwan News)—Taipei City Mayor Ko Wen-je (柯文哲) instructed the city’s

(photo from the website of Taipei’s Department of Information and Tourism)

Department of Labor (DOL) to step up workplace safety inspections targeting the logistics, trucking, and bus industries on the heels of the drowsy-driving-related crash on a national highway killing two police officers and one truck driver on April 23.

DOL Commissioner Lai Hsiang-lin (賴香伶) said that the Labor Inspection Office will implement a special inspection project to make sure requirements on safe driving practices are met.

The agency has called for all sectors to deal with overwork-related problems in the logistics, freight transport, and bus industries, Lai said.  Companies that employ truck or bus drivers are liable to prevent driver fatigue and comply with related requirements, she added.

According to Lai, the inspections will focus on whether drivers work continuously for more than 12 hours; whether drivers receive at least 11 hours’ break between shifts; and whether drivers are on duty more than six consecutive days.    [FULL  STORY]

Taiwan Water, ITRI to target Southeast Asian market with water tech

Focus Taiwan
Date: 2018/04/25
By: Wei Shu and Kuan-lin Liu

Taipei, April 25 (CNA) Taiwan Water Corp. and the Industrial Technology Research

Taiwan Water Chairman Kuo Chun-ming (郭俊銘, second right)/photo courtesy of Industrial Technology Research Institute

Institute (ITRI) signed a letter of intent on Wednesday to cooperate on targeting the Southeast Asia market with a technical solution that improves water supply, delivery and sewage treatment.

The institute’s latest water technology utilizes artificial intelligence of things (AIoT) and techniques in water treatment to monitor and improve water quality as well as detect and prevent leaks.

The solution tackles each stage of the water production, usage and recycling process, and according to Taiwan Water Chairman Kuo Chun-ming (郭俊銘) is a much needed technology in countries such as India, Indonesia, the Philippines, Myanmar and Thailand.

The alliance between the two organizations will target markets in countries involved in the New Southbound Policy.    [FULL  STORY]

Yageo shares fall despite profit

BEATING ESTIMATES: First Capital Management Inc said that the firm’s gross margin was more than the 46 percent it predicted and raised its revenue forecast for Yageo

Taipei Times
Date: Apr 26, 2018
By: Lisa Wang  /  Staff reporter

Yageo Corp (國巨), the world’s biggest supplier of chip resistors, saw its shares fall by 8.61 percent yesterday, despite posting another record-breaking quarterly net profit as it hiked its prices due to supply constraints.

In the quarter that ended on March 31, Yageo made NT$4.26 billion (US$144 million), which was more than the company’s share capital of NT$3.51 billion. That represented a 4.3 times increase from NT$818.4 million in the first quarter of last year.

On a quarterly basis, net profit jumped 40 percent from NT$3.02 billion.

Earnings per share surged to NT$12.15 last quarter, compared with NT$1.62 a year earlier and NT$8.62 the previous quarter.    [FULL  STORY]

Clean government draws foreign investors: Tsai

Radio Taiwan International
Date: 2018-04-24

President Tsai Ing-wen has emphasized the importance of clean government to attract

President Tsai Ing-wen (front, right) meets Tuesday with a delegation from allied Central American countries.

foreign investment. Tsai was speaking Tuesday while receiving a delegation from allied Central American countries.

Tsai said even though Taiwan is not a member of the United Nations, she is determined to fight corruption because the issue is of great importance to the UN.

“We are determined not to fall behind any country in fighting for clean government. We not only set up an Agency Against Corruption under the justice ministry, but we have also passed an act to ratify the UN Convention Against Corruption,” Tsai said. “Whether a country has an attractive environment for investment is closely connected to its efforts for clean and transparent government. We will continue to work in that direction so that Taiwan becomes more and more attractive to foreign investors.”    [FULL  STORY]