With the fitness equipment industry peaking in August,Johnson Health Tech Co.,Ltd.(JHT),a well-known Taiwan-based fitness and gym equipment maker,targets third quarter revenue reaching US$8 million(NT$238 million),according to institutional investors.
Influenced by sluggish global market and off-peak season in the first half,the firm's first-half after-tax net profits were only NT$115 million(US$3.83 million)with earnings per share(EPS)of NT$0.59(US$0.0196).
Institutional investors say that,in addition to peaking orders,JHT postponed shipment of newly-launched home equipment from July to August in the United States,hence the possibility for revenues in September to hit a monthly record,adding that,due to peak season,revenues in August will hit NT$1 billion(US$33.33 million),with combined revenues likely to exceed NT$1.7 billion(US$56.66 million)driven by orders received in September,up almost 20%year on year(YoY);while,despite weak momentum in July,revenue growth still remained up 15%in the third quarter.
JHT recently claimed to have received orders from Fitness First,a major England-based fitness club,which will adopt JHT products in its 550 directly-managed stores worldwide;while JHT also signed a contract with Health City,a Netherland-based fitness corporation,to adopt its fitness equipment in its 300 global outlets,both of which will,say institutional investors,generate ample revenues in the fourth quarter.
Analysts add that JHT could confirm yearly operating performance till the end of September,with revenue performance likely to hit a new high in the fourth quarter and drive up revenues in 2012 as long as JHT's new sports equipment chain-store in the U.S.and Europe proceed smoothly.
