Fu Yu Corporation
Overview
Fu Yu Corporation (SGX:F13) having HQ in Singapore was established in 1978 as a partnership fabricating injection moulds and manufacturing plastic injection parts, Fu Yu has since grown to become a listed corporation with global presence. Fu Yu Corporation is now one of the largest manufacturers and suppliers of high-precision injection moulds and plastic parts in Asia. Currently, Fu Yu Corporation has 8 manufacturing plants in Singapore, Malaysia and China.1
Taking a vertically integrated approach towards greater profitability, its operations make a complete range from design to fabrication to assembly, and include secondary processes such as silk screening, pad printing, ultrasonic welding, heatstaking and spray painting. The markets the company serve include the information technology, telecommunications, automotive, medical, electronic and electrical appliance and water filtration in home appliance sectors.
Capabilities
Mould Design & Fabrication
Fu Yu has one of the largest tool fabrication services in the region with a wide range of capability to produce fine precision moulds with steel insert of 0.005mm tolerance control and to the other range of usage of large moulds to be mounted on 1600 tonnes injection machines. Using a wide range of the latest design software such as ProE, Unigraphics and mold flow analysis software and other conversion software to cater for various design platforms, its project and design engineers will work closely with you to develop the optimum tool to meet your requirements of price, capacity and quality. With state of the art technology high speed machining centers, EDM centers with auto tool change systems and EROWA quick clamping system and fine 0.1mm to 0.25mm diameter wire for wire-cut, the Tooling Divisions in Singapore, Malaysia and China are able to fabricate over 250 moulds a month with competitive lead times to meet the Time-to-Market demands of its customers.2
Precision Injection Moulding Services
Whether your product requires a fine tolerance of 0.025mm control or a larger press, its range of 10 tonnes to 1600 tonnes machines will be able to fulfill your entire range of requirements. To challenge the demands of the market, high speed machines with injection speeds of 1000 mm/s, high speed multi axis traverse robots for complex operations, controlled environment production areas and other technological solutions are widely employed to produce high quality products at competitive prices.3
Metal Injection Moulding (MIM) Process
Metal Injection moulding (MIM) is a metalworking process in which finely-powdered metal is mixed with binder material to create a "feedstock" that is then shaped and solidified using injection moulding. The moulding process allows high volume, complex parts to be shaped in a single step. After moulding, the part undergoes conditioning operations to remove the binder (debinding) and densify the powders. Finished products are small components used in many industries and applications.4
Secondary Processes
To complement its one stop service, Fu Yu provides best in the Class finishing operations such as auto-spindle automated in-line spray painting system in a controlled environment, 4-colour tempo printing systems and silk screen printing which provides customers multi choices of selections.5
Mechanical and Electrical Assembly
Fu Yu provides full assembly operations for plastics including using ultrasonic welding, heat staking and mechanical and electrical components assembly and product testing means that you can entrust it to provide the turnkey solutions for your products.6
Subsidiaries
With the corporate headquarter in Singapore playing a pivotal role in marketing and process development, Fu Yu Corporation is able to allocate the resources across its various subsidiaries at various stages of the production process, according to requirements by its customers. This flexibility allows its customers to tap on the capacity of all the plants within the group and also to lower costs.7
Fu Yu Singapore
Fu Yu Chong Qing
Fu Yu Dong Guan
Fu Yu Shanghai
Fu Yu Su Zhou
Fu Yu Zhu Hai
Classic Advantage Sdn Bhd
Fu Hao Manufacturing (M) Sdn Bhd
Financial highlights
For the year ended 31 December 2019 (“FY2019”), Group revenue dipped marginally by 1.8% to S$194.1 million from S$197.7 million in FY2018. This was attributed mainly to lower sales from the Group’s China segment, partially buffered by higher revenue contribution from its Malaysia segment.8
The Group’s gross profit for FY2019 also climbed 8.4% to S$38.2 million from S$35.3 million in FY2018. This translated into a higher gross profit margin of 19.7% in FY2019 compared to 17.8% in FY2018.
Excluding the one-time expenses of around S$4.2 million that was recognised in the cost of sales, the Group would have registered higher gross profit of S$42.4 million and gross profit margin of 21.9% in FY2019. This improvement reflected the Group’s efforts to enhance its sales mix as well as its ongoing initiatives to achieve better cost and operational efficiencies.
For FY2019, net profit attributable to owners of the Company increased by 6.8% to S$12.7 million from S$11.9 million in FY2018. Excluding the one-time expenses of S$5.6 million, the Group would have recorded a 54.0% growth in net profit attributable to owners of the Company to S$18.3 million in FY2019.
Geographical Segments
SINGAPORE
Singapore segment’s revenue in FY2019 was relatively steady at S$46.3 million compared to S$47.3 million in FY2018. This was attributed primarily to stable sales of medical and automotive products. Singapore segment accounted for 23.9% of Group revenue in FY2019, unchanged from FY2018. Excluding the dividend income from Malaysia and China subsidiaries totalling S$10.2 million, Singapore segment would have recorded a profit of S$4.9 million in FY2019, a decrease of S$2.5 million from S$7.4 million in FY2018. This decline was due mainly to a foreign exchange loss in FY2019 as opposed to a foreign exchange gain in FY2018.
CHINA
China segment’s revenue decreased S$6.7 million to S$105.6 million in FY2019 from S$112.3 million in FY2018 due primarily to lower sales derived from the printing & imaging segment. As a result, China operations accounted for a lower 54.4% of Group revenue in FY2019 as compared to 56.8% in FY2018. China segment’s profit decreased to S$1.8 million in FY2019 from S$2.4 million in FY2018 due mainly to the one-time expenses relating to the closure of Fu Yu Shanghai. Excluding the one-time expenses of S$5.6 million, China segment would have recorded a higher profit of S$7.4 million in FY2019 compared to S$2.4 million in FY2018.
MALAYSIA
Malaysia segment’s revenue increased S$4.1 million to S$42.2 million in FY2019 from S$38.1 million in FY2018. This was attributed primarily to higher sales of consumer products and power tools. Malaysia segment’s contribution to Group revenue expanded to 21.7% in FY2019 from 19.3% in FY2018. Malaysia segment’s profit increased S$2.1 million to S$8.7 million in FY2019 from S$6.6 million in FY2018 attributed mainly to improved sales.
References
- ^ http://www.fuyucorp.com/about-us/
- ^ http://www.fuyucorp.com/capabilities/mould-design/
- ^ http://www.fuyucorp.com/capabilities/precision/
- ^ http://www.fuyucorp.com/capabilities/metal-injection-moulding/
- ^ http://www.fuyucorp.com/capabilities/secondary/
- ^ http://www.fuyucorp.com/capabilities/assembly/
- ^ http://www.fuyucorp.com/subsidiaries/
- ^ https://links.sgx.com/FileOpen/Fu%20Yu%20-%20Results%20Q4%202019.ashx?App=Announcement&FileID=597544
