FEELING STRETCHED? Analysts said the company, which makes shoelaces, elastic bands and fasteners, might face further pressure on its margins this year

Taipei Times
Date: Apr 16, 2018
By: Staff writer

Taiwan Paiho Ltd (台灣百和) on Friday reported that first-quarter net profit attributable to the parent company declined 13.1 percent annually and 1.77 quarterly to NT$355.38 million (US$12.13 million).

Operating profit dropped 10.6 percent year-on-year to NT$589.51 million, and earnings per share (EPS) fell from NT$1.37 to NT$1.19, the shoelace and elastic band and fastener manufacturer said in a filing with the Taiwan Stock Exchange.

The bottom-line figures were another disappointing data release this month from Taiwan Paiho, following its report last week that first quarter consolidated sales rose by grew by a weaker-than-expected 3.4 percent year-on-year to NT$2.89 billion, due to low shipments in four-way stretchable elastic bands and one-piece fabrics.

At a quarterly meeting with analysts on Friday, Taiwan Paiho maintained its full-year revenue growth forecast of 10 to 15 percent, with gross margin expected to remain flat at 40 percent and an operating margin between 20 and 23 percent, KGI Securities Investment Advisory Co (凱基投顧) said in a client note later in the day.
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