12/23/2014 1:33:00 PM
NEWS BRIEFS
Chin Well Posts Strong Profit, Forecasts More
Malaysia’s carbon steel fastener manufacturer Chin Well Holdings Bhd. forecasts growth in 2015, Bernama.com reports.
The group posted a 61.8% increase in net profits to RM35.8 million in 2014. Executive Director Tsai Chia Ling said she expects even better results next year.
“Demand has slowed down in Europe due to early winter which has resulted in many outdoor work being stopped,” Tsai stated. “But, we foresee demand for fasteners to pick up soon.”
The group recently added high security fencing and gabion to its product mix.
“These new products are expected to contribute about 10% to the group’s profits,” she added.
Growth in 2015 is expected to come from new orders from Germany and France for DIY products, according to Bernama.com.
In November Chin Well agreed to acquire Asia Angel Holdings Limited for RM47.5 million (US$14.2 million). Incorporated in the British Virgin Islands, Asia Angel holds 40% stake in Chin Well’s subsidiary, Chin Well Fasteners (Vietnam) Co Ltd (CW Vietnam).
Tsai is optimistic the deal would be approved by the end of December.
“Our Vietnam operations witnessed a strong double-digit expansion growth both in revenue and profits in the past year due to rising demand for DIY fasteners in Europe and the United States.”
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