Reported 12 months ago
Yadek-KY (1590), a pneumatic component manufacturer, received higher orders than shipments in June due to customers anticipating more favorable policies after the Third Plenum in China, resulting in deferred deliveries and a decrease in June revenue compared to expectations. However, the second quarter and first half of the year still achieved record-high revenue for the same period. Forecasts indicate that Yadek's third-quarter shipments may exceed expectations, leading to optimistic revenue and profit growth for the entire year. Yadek's June consolidated revenue was RMB 565 million, down 4.46% annually, with a total of NT$2.516 billion, also down by 1.03% year-on-year but hitting a record high for the same period. Second-quarter revenue reached RMB 1.891 billion, up 3%, and NT$8.428 billion, up 5% annually, while first-half revenue grew by 4.62% to RMB 3.541 billion and by 4.87% to NT$15.634 billion. Yadek noted that although June orders remained higher than shipments, delays caused by fewer workdays and clients waiting for post-Third Plenum incentives in July affected deliveries. Nevertheless, they believe that current demand is deferred rather than lost and expect third-quarter shipments to surpass initial estimates. The company remains positive about total annual shipments, as China's investments in key industrial and agricultural equipment sectors and subsidies for sectors like home appliances and automotive industries bode well for their products like pneumatic components and linear guides.
Source: YAHOO