TAIPEI, Taiwan, March 21, 2013 /PRNewswire/ -- SEYI (Shieh Yih Machinery Industry Co., Ltd) (4533 TT), one of the world's leading producers of mechanical presses, announced preliminary audited financial results for its most recent fiscal year today.
For the year ended December 31, 2012, the Company reported Sales of TWD 3.5 billion (US$ 118.0 million), a 13% decrease from Sales of TWD 4.02 billion (US$ 135.1 million) in the prior year. Continued weakness in the European and U.S. economies, exacerbated by the increase in the value of Asian currencies and increased price pressures for all Asian exporters as a result of QE3 and the ongoing debt crisis in Europe, were the key reasons for lower sales. While sales in Mainland China were flat due to the slowdown in the Chinese economy, Mainland China sales increased as a percentage of SEYI's total sales from 41% to 44%.
Gross Profit was TWD 836 million (US $28.1 million) in 2012, compared to TWD 916 million (US$ 30.8 million) in the prior year. Due to better product mix and cost control measures, the Company's Gross Profit Margin continued to improve, increasing from 23% to 24%.
SEYI's Operating Income was TWD 175 million (US$ 5.9 million) in its most recent year, compared to Operating Income of TWD 245.9 million (US$ 8.3 million) in 2011. For the full year, SEYI reported Net Income of TWD 122 million (US$ 4.1 million), compared to TWD 177.8 million (US$ 6.0 million) in 2011. Fully diluted Earnings Per Share were TWD 1.03 (US 0.03) in 2012, versus TWD 1.53 (US$ 0.05) per share in 2011.
SEYI's liquidity position strengthened further in 2012. Cash on hand totaled TWD 907.3 million (US$ 30.5 million) at the end of the year. Against that, the Company's Total Debt (Short and Long Term) decreased from TWD 917.6 billion (US$ 30.8 million) at the end of 2011 to TWD 717.1 million (US$ 24.1 million) at the 2012 year end.
In March, SEYI exhibited its Straight Side Direct Drive Servo Press, winner of the Taiwan Excellence Award in 2012 and 2013, at the 16th Taipei International Machine Tool Show (TIMTOS 2013), the largest such event in recent years. SEYI's display machines were purchased by Japanese customers attending the show, underscoring their acceptance by the most demanding customers in the marketplace. Also, SEYI has received new orders for its energy efficient and environmentally friendly servo presses from customers in Japan, North America and Germany.
SEYI's servo presses are well positioned given the strong global trends towards reduced power consumption and carbon emissions. The Company's servo presses reduce power consumption by half while doubling production capacity.
"Coming on the heels of our strong performance in 2011, 2012 was a disappointing year for SEYI. Weak customer demand across most of our markets and increased price pressures due to stronger Asian currencies prevented us from building on the sales momentum that we established in the prior year," Ms. Claire Kuo, Chairman and Chief Executive Officer, said.
"On a positive note, sales and earnings in 2012 are both above the levels achieved in 2010, and we were able to maintain and improve the Company's Gross Margin despite lower sales. Going forward, we are encouraged by the stability of our sales in Mainland China in the face of a slowdown in the country's economy, as well as our customers in the emerging markets of Brazil, Egypt, Thailand and Indonesia. The positive reception of SEYI's products at TIMTOS 2013, and the continued evolution of our sales towards higher tonnage presses in the automobile industry also bode well for the future," Ms. Kuo added.
Founded in 1962, SEYI has established a global leadership position in the metal forming machine tool industry over the past 50 years. SEYI manufactures mechanical presses, ranging in size from 25 to 2400 tons, at facilities located in Taiwan and the People's Republic of China. The company began with its original production facility in Taoyuan, Taiwan, and then expanded its capacity with a plant in Kunshan, Jiangsu Province, China in 2003. The maximum manufacturing capability is up to 2,400 tons. SEYI products are sold to customers in over 40 countries around the world. SEYI is the major foreign supplier to Mainland China, India, South East Asia and the Americas. Over the years, SEYI has received numerous quality awards from professional organizations around the world.
The Company completed an initial public offering of its common stock in 2002 and is traded on the Taiwanese OTC (4533 TT) market.
Note: TWD 29.75 to US$ 1.00
For further information contact:
Director of Business Development
203 Lemon Creek Dr. Unit A
Walnut, California 91789 USA
Phone: +1-909-839-1151 x207
446, Nan Shang Road,
Kueisan, Taoyuan, Taiwan
SOURCE Shieh Yih Machinery Industry Co., Ltd.