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Appreciated NTD & Capital Stock Inflation May Pull Back Sanshing's Profit in Q2 & Q3
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2014-06-30
Sanshing Fastech is the world's largest nut maker supplying to Tier 1 and Tier 2 component suppliers mainly in Europe and US. The company has acquired a certain proportion of market share in the automotive nut market, and in the future nut sales will naturally grow with the  car market. The future growth of Sanshing is mainly determined by the fastener market. In the demand for fasteners, screws account for 70%, nuts account for 20%, and washers account for 10%. Thus, screw demand is much higher than nuts. Recently the company has turned to expanding screw capacity bring up the next growth. Although future growth remains optimistic, capital stock inflation might pull back the profit growth this year.
 
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