PELIKAN TONER TO BOOST PROFIT

[Anonymous]

Pelikan: Hardcopy business to boost profit
PELIKAN International Corp Bhd, a stationery maker, expects group net profit to grow as much as 40 per cent in the current year ending December 31 2006, boosted by the purchase of Pelikan Hardcopy Holding AG.
Pelikan International is in the midst of buying the entire manufacturing business of Pelikan Hardcopy, a maker and distributor of imaging supplies and printer accessories such as inkjet and toner.
Pelikan International is due to announce its 2005 full-year results by the end of the month. It made RM52.68 million in net profit on the back of RM371.79 million in revenue for the nine months ended September 30 2005.
“Our existing business under Pelikan International is expected to grow between 20 per cent and 30 per cent in net profit, and the hardcopy business by another 20 per cent,” executive chairman Loo Hooi Keat said.
Pelikan Hardcopy is projected to chalk up RM25 million in net profit in the year ending December 31 2006, Loo said. Last year, the hardcopy business made about RM500 million in sales.
The combined annual revenue of Pelikan International and Pelikan Hardcopy will be more than RM1 billion.
The takeover, which is likely to be finalised by end of the month, will be followed by the opening of a similar manufacturing facility in Malaysia.
Pelikan Hardcopy has a toner powder plant and ink-jet assembly plants in Switzerland, a thermal transfer plant in Scotland, toner assembly outfit in Czech Republic and impact production unit in China.
“One of the plants in Switzerland will be moved to Malaysia while the plants, one each in Czech and China, will stay. All future expansion for the hardcopy business will be in Malaysia,” he said.
Since most of the sales are currently derived from Europe, the new manufacturing unit here will enable Pelikan to tap the vast Asian market

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February 24, 2006 at 11:18 AM