EXPANSION:Aside from investing further in research and development in Taiwan, the footwear manufacturer is focused on expanding its plants in India and Indonesia
Taipei Times
Date: Jul 05, 2016
By: Kuo Chia-erh / Staff reporter
Despite slowing orders from Nike Inc, Feng Tay Enterprises Co’s (豐泰企業) overseas production expansion strategy would remain unchanged and its second plant in India would begin operations in the second half of next year, a company spokesman said yesterday.
Nike said late last month that orders for the North American market in the third quarter would grow only 6 percent annually.
“As Feng Tay generates 80 percent of its revenue from Nike, we recommend investors switch to other stocks in the sector with better gross margins, stronger pricing power and more sales contribution from China,” Yuanta Securities Investment Consulting Co (元大投顧) analyst Peggy Shih (施姵帆) said in a note to clients last month. [FULL STORY]