Auto-parts Maker Tong Yang Reports Self-audited 2013 EPS of NT$2.71

Tong Yang Industrial Co., Ltd., a major maker of aftermarket (AM) plastic body-parts and an Original Equipment (OE) parts supplier to many international automakers, recently publicized operational results for 2013.

The company's self-audited pretax consolidated revenue totals NT$19.62 billion (US$653.9 million) in 2013, up 15% from the previous year, with pretax earnings of NT$1.73 billion (US$57.5 million), up 79%, pretax earnings per share (EPS) of NT$2.71 (US$0.09), all of which being three-year highs. Tong Yang is also very optimistic about continued sales growth in 2014, anticipating increasing demand from both AM and OE customers.

In December 2013, Tong Yang registered self-audited pretax earnings of NT$179 million (US$5.96 million), an eye-catching 2,553% year-on-year (YoY) increase, and a new monthly high in company history, attributing the high growth to the new International Financial Reporting Standards (IFRS) and strong demand rebound in the high season.

Crispin Wu, Tong Yang's president, said that blizzard conditions hit the northeast and midwest of North America, causing more car accidents and strong demand for replacement auto parts in late 2013.

Tong Yang's operation in China is also very encouraging, he added, thanks to stable growth of new-car sales in the world's largest automobile market. At least three new parts factories have kicked off or are going to start mass production in China from late 2013 to early 2014, which are expected to further upgrade Tong Yang's operation in China.

The auto parts maker said that it has been elevating the number of its CAPA-, NSF-, THATCHAM- and TUV-certified products to meet strongly recovering demand from Europe and North America, where consumers now better understand lower priced, but OE-parallel quality of aftermarket (AM) auto parts.

To meet strong demand, Tong Yang plans to add a new plastic injection and an electro-plating factories in Taiwan in 2014.

Tong Yang's OEM business in Taiwan has been gaining more  orders from overseas customers, with the export proportion of its OEM parts having risen to 53% from 46%. In December 2013, the company's OEM operation revenue saw a 414% YoY increase.