Pro-Hawk Revenues Surge on Suitcase Wheels

Taipei, July 19, 2012 (CENS)--After seeing its revenue shoot up 51% year-on-year to NT$477 million in the first half of 2012, Pro-Hawk Co., one of the leading bearing manufacturers in Taiwan, is determined to maintain a high rate of growth in the second half by filling increased orders for furniture casters and other products, said the company's chairman, B.F. Chen. Pro-Hawk also plans to work with the Eminent Luggage Corp., a prominent Taiwanese suitcase maker, to tap the NT$5 billion (US$167 million) global market for suitcase wheels.

Chen predicted that since Pro-Hawk leased an additional factory in June to expand production, the company's annual output will increase to NT$1 billion (US$33 million) this year. New orders for suitcase wheels are expected to boost output further, to NT$1.3 billion (US$43 million), next year. New plants are being considered to meet the growing demand.

The company has been making wheels for casters and garage doors for more than 30 years. In the past decade it has expanded into logistics equipment, and rollers and other logistics parts accounted for 56% of total revenue last year. In the first half of this year the figure rose further, to over 60%.

Pro-Hawk tapped into the car bearing market in 2004 by joining the Chrysler supply chain, and then became part of the Shanghai General Motors (SGM) supply system in 2006.

The company originally produced only bearings, chairman Chen reports, but has now started to produce whole sets of conveyor belt rollers. It turned out four million units of these products in the first half of this year.

The company recently received orders for 22 containers of furniture casters from a Brazilian client, adding revenue amounting to NT$50 million (US$1.47 million). The production of garage door guide bars brings in another NT$100 million (US$3.3 million) annually.

Chen expects that cooperation with Eminent in the production of suitcase wheels will boost revenues by another NT$20-30 million (US$670,000-1 million) per month.