Taiwan's Heavy Electrical Equipment Makers See Strong First Half, With Optimism for Second Half

Taiwan's 'Big Four' heavy electrical equipment manufacturers have unveiled strong first-half financial reports, signaling continued robust performance driven by global demand for power infrastructure and advanced technology. Three of the four companies, Chin Fong (1519), CTCI (1513), and Shilin Electric & Engineering (1503), each posted net profits exceeding NT$2 billion (approximately $62 million USD) for the period.

The sector's success is largely attributed to a confluence of major global projects. Demand for AI data centers, Taiwan Power Company's grid reinforcement initiatives, and significant infrastructure spending in the United States are fueling export growth. This surge in demand has extended order visibility for these companies well into 2029, providing a stable outlook for the coming years.

Looking ahead to the second half of the year, the outlook remains optimistic. Chin Fong anticipates continued demand from U.S. infrastructure projects, AI data centers, and AI factory expansions, alongside Taiwan's grid reinforcement efforts. Shilin Electric & Engineering expects its export business to drive double-digit growth in both revenue and profit for the full year. While the renewable energy sector's momentum has softened, the overall order book for heavy electrical equipment manufacturers remains strong.

Among the individual company performances, CTCI reported first-half revenue of NT$5.346 billion and a net profit attributable to owners of NT$446 million, with earnings per share of NT$1.65. Chin Fong announced revenue of NT$10.212 billion and a net profit of NT$2.060 billion, translating to NT$6.52 per share, with a notable gross profit margin of 43.55%. CTCI's net profit was NT$2.224 billion, or NT$4.50 per share. Shilin Electric & Engineering achieved revenue of NT$21.122 billion and a net profit of NT$2.625 billion, or NT$5.04 per share.