Youngone Corp. Hones Efficiency in Its Vietnamese Operations...Shinyoung Securities
Youngone Corp. Hones Efficiency in Its Vietnamese Operations...Shinyoung Securities
  • Korea IT Times
  • 승인 2014.10.06 19:07
  • 댓글 0
이 기사를 공유합니다

SEOUL, KOREA - Shinyoung Securities said on October 6 that Youngone Corp. will be able to achieve a higher-than-expected operating profit in the third quarter through vertical integration. It then adjusted the target price to 75,000 won from 68,000 won upward while maintaining the investment opinion at "buy."
 
Suh Jeong-yeon, Shinyoung Securities analyst, said, "[Youngone Corp.'s] third-quarter sales and operating profit are estimated at 388.9 billion won and 82.8 billion won, respectively, up 7.1 percent and 9.4 percent from a year ago, largely buoyed by improvements in its cost structure from vertical integration and a cut in selling and general administrative expenses."
 
The analyst underscored the importance of the company's Vietnamese plants that are at the forefront of its vertical integration moves. Currently Youngone Corp. is running five production sites in Vietnam, including three in Dam Dinh, 100 kilometers southeast from Hanoi, and one each in Bac Giang in the northeast and Hung Yen provinces in the Red River Delta of northern Vietnam. Of the 70,000 employees within Youngone, about 9,500 are production workers hired in the Vietnamese plants.
 
She added, "The Vietnamese factories are equipped with state-of-the-art facilities in weaving, spinning, and dyeing. This is a shrew strategy to overcome the higher cost problem in Vietnam than in Bangladesh. For example, the Nam Dinh plant achieved a net profit ratio close to 10 percent in the first half. By investing in materials production facilities for further vertical integration, Vietnam will likely be a second location of opportunity for Youngone Corp."

댓글삭제
삭제한 댓글은 다시 복구할 수 없습니다.
그래도 삭제하시겠습니까?
댓글 0
댓글쓰기
계정을 선택하시면 로그인·계정인증을 통해
댓글을 남기실 수 있습니다.

  • #1206, 36-4 Yeouido-dong, Yeongdeungpo-gu, Seoul, Korea(Postal Code 07331)
  • 서울특별시 영등포구 여의도동 36-4 (국제금융로8길 34) / 오륜빌딩 1206호
  • URL: www.koreaittimes.com / m.koreaittimes.com. Editorial Div. 02-578-0434 / 010-2442-9446. Email: info@koreaittimes.com.
  • Publisher: Monica Younsoo Chung. Chief Editorial Writer: Kim Hyoung-joong. CEO: Lee Kap-soo. Editor: Jung Yeon-jin.
  • Juvenile Protection Manager: Yeon Choul-woong. IT Times Canada: Willow St. Vancouver BC, Canada / 070-7008-0005.
  • Copyright(C) Korea IT Times, Allrights reserved.
ND소프트