LOSS-MAKING copper wire and rod maker Ta Win Holdings Bhd
says it will soon be reporting a profit in the coming fourth quarter (Q4)of its financial year ending June 30, 2021 (FY21) following several corporate moves it had made to diversify its business last year.
The company’s group managing director Datuk Seri Ngu Tieng Ung tells StarBizWeek the anticipated turnaround in Q4 is also due to profit guarantees that it had received for stake acquisitions it had made into two companies last year.
The two companies which it had acquired are associate company Royce Pharma Manufacturing Sdn Bhd (RPM) in which Ta Win has a 32.5% equity stake and subsidiary Sin Line Tek Electronic Co Sdn Bhd (SLT) in which Ta Win has a 51% stake.
“We will be receiving profit guarantees for investments in RPM and SLT. These profit guarantees are expected to support our financial performance in the next two financial years,” Ngu says. “In addition, this will generate additional streams of income for us, while diversifying and cushioning us against potential risks across different industries,” he adds.
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