Eclat Textile Maintains 6-Month Order Visibility; Founder Hung Chen-hai Sees Traditional Stocks as Undervalued

(CNA, Taipei, 19th, by reporter Tseng Jen-kai) Textile giant Eclat Textile held an investor conference today, where General Manager Hung Jui-ting stated that order visibility remains at six months. He expressed cautious optimism for this year's operations, noting that Eclat aims to maintain monthly revenue above NT$3 billion, except for February, which has fewer working days due to the Lunar New Year. Regarding investor concerns about the potential impact of a US-Iran conflict, Hung Jui-ting said that the conflict has pushed up oil prices, and US economic data shows signs of burgeoning inflation. Eclat will continue to monitor the situation closely and maintain tight communication with its brand clients. So far, Eclat's order intake and shipments remain normal. In terms of expansion, Eclat stated that pre-production work for its new plant in Indonesia is nearly complete. Construction is expected to begin in the second half of this year, with a target for production to start by the end of 2027. The new plant is planned to incorporate new technologies like AI to enhance production and management efficiency. Eclat's founder, Hung Chen-hai, who retired in 2024, made a surprise appearance at the conference. When asked by the media afterward about Eclat's relatively subdued stock price while the Taiwan stock index frequently hits new highs, Hung Chen-hai commented that the current wave of capital is focused on AI, and traditional industry stocks have indeed been undervalued during this period. Eclat recently released its first-quarter financial report, with quarterly revenue of NT$9.621 billion, an increase of 2.63% year-over-year and 3.8% quarter-over-quarter. Net profit attributable to the parent company was NT$1.834 billion, up 16% quarterly and 9.2% annually, marking the third-highest in its history and a new high for the last 14 quarters. Quarterly earnings per share were NT$6.69.