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First Steamship Co., Ltd. (‘FSC’) was listed on Taiwan Stock Exchange (TSEC) in 1965 (Stock Symbol: 2601TW), becoming the first publicly listed shipping company in Taiwan. The company’s main operations include:
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Dry Bulk Carrier Shipping Operation
providing worldwide chartering service to Customers. Currently, FSC operates Six (6) vessels comprising of Five (5) Panamax and One (1) Handysize vessel. |
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Professional Vessel Management Operation
provides professional solutions to vessel owners, currently with Eleven (11) vessels under technical management. |
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Baltic Exchange Dry Index (BDI) regain upward momentum toward the end of 2Q 2006, and continued to exhibit ascending trend in 3Q, in the 4Q with the onset of demand for North America crop transport and the ever increasing global demand for coal, further pushup the Panamax freight rate. In the past, FSC in general maintains long-term charter contracts, by the end of 2005, the charter contracts begins to expire and are subsequently renewed on an annual basis. The charter rate set in the renewed contract is expected to rise significantly from previous years, which would in turn raise FSC future bulk carrier operating profits significantly.
The shopping industry is deeply influenced by global economic conditions, thus in order to ensure stable revenue source
, FSC has been actively evaluating potential investment opportunities to supplement the core shipping operation. In recent
years, the Chinese retail market has experienced explosive growth, attracting attention from countless global investors,
including FSC. In May 2006, FSC officially invested in China’s Grand Ocean Group (‘GO’).
Headquartered in Shanghai, the company currently owns seven (7) department stores in Greater China, located in
Fuzhou, Suzhou, Nanjing, Quanzhou, Wuxi, Changzhou and Wuhan respectively, with operating floor area totaling over
25,000 sq. m.. GO is planning on opening two additional stores in Fuzhou and Wuhan during 2007, by end of year,
Grand Ocean Group will be in possession of nine (9) department stores under direct ownership and management. GO
expects to expand in Greater China at the progressively rate of 2-3 stores per year, with target annual revenue and
profit growth rate set at 30%. |
Mainland China’s population growth, stable appreciation of Chinese Yuan, the increase of consumer disposable income, together Chinese Government’s support for enhancing consumerism, all contributed toward the increase in domestic demand, which greatly benefits Grand Ocean Group’s retail operation. As GO matures and reaches economy of scale, the company will become one of the major contributor toward FSC’s future profitability.
Freight Revenue = NTD 1,332,548,000
Profit After Tax = NTD 239,987,000
EPS (After Tax) = NTD 0.99 |
In 2006, GO reported NTD 3,395,300,000 in total revenue. Base on the percent interest held by FSC, the recognizable investment income is NTD 85,663,000, contributing NTD 0.35 toward final EPS. |
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Stock Code
Address
Telephone
Fax
Website
Chairman
President
Spokesman
Deputy Spokesman
Facility for Stock Transfer
Independent Auditors |
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2601
14F., No. 237, Fu Hsing South Rd., Section 2,Taipei, Taiwan
(02) 2706-9911
(02) 2706-9922
www.firsteam.com.tw
David Hsu
Sun, Ya-Ming
Daniel Dai (CFO)
Roger Chuang (Vice President)
Polaris Securities Co., Ltd.
Maggie Chang and Janice Lai KPMG Certified Public Accountants
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