Staying Ahead of the Industry: We Develop Our Own CSR Report
Although Taiwan Fu Hsing is not currently required by the Financial Supervisory Commission to provide a corporate social responsibility report, we established an "SER (social and environmental responsibility) Promotional Committee" in 2013 to hold regular meetings that involve relevant commissioners every year, and published the first corporate social responsibility report, which even received SGS certification in 2014. In the future, we will continue to devote our businesses to achieve corporate social responsibility.
Message from Company Management
Looking back at 2024, the global economic environment remains turbulent. In particular, the major North American markets have been significantly affected by high interest rates, which have increased the cost of capital and put pressure on consumer spending. Overall market demand is sluggish. Faced with significant challenges, we consistently maintain a flexible, customer-centric business strategy. Through solid teamwork, we continuously drive product innovation and market expansion, striving to capitalize on growth opportunities and enhance our market competitiveness in a dynamic environment.
Looking ahead to 2025, the international market remains uncertain, especially as US tariffs may continue to expand, posing a challenge to the global supply chain. The Company will continue to respond prudently, flexibly adjust its production strategies, strengthen its financial health, deepen innovation and R&D, and consolidate its market position through patent layout and new product development. At the same time, we remain committed to our responsibilities to shareholders, employees, customers, and the community, practicing sustainable management and steadily advancing towards the shared goals of corporate growth and social well-being.
Steady operation and continuous optimization of operational capabilities
The Company's consolidated operating revenue decreased by 11% this year compared to last year. However, benefiting from the depreciation of the New Taiwan Dollar and the Renminbi, as well as the decline in raw material prices such as stainless steel and iron, the gross profit margin increased by approximately 1%. Although net income attributable to owners of the parent company decreased slightly by 4% compared to last year, actual profit still reached the company’s internal budget target. Earnings per share and cash dividends remained stable, with a cash dividend yield exceeding 5%. Overall business performance demonstrated resilience.
Corporate governance, continued strengthening of risk management
Under the increasingly uncertain international situation, we continue to strengthen our corporate governance mechanisms, and promote regulatory compliance, industrial safety management, and improvements in production efficiency. In addition to actively implementing 6 Smanagement (organization, neatness, cleaning, standardization, continuous improvement, and safety) to eliminate potential risks, we have also adjusted our production layout in response to global trade changes. The new Thai plant is expected to be completed by the end of 2025, which will help diversify production risks and enhance supply chain resilience and competitiveness.
Social Responsibility: Expanding Diversity, Inclusion, and Employee Well-being
We believe that corporate growth requires progress in tandem with society. In 2024, the Company received the “DEI Friendly Employer Award” from 104 Job Bank and was interviewed by *CommonWealth Magazine* for the second time, recognizing our concrete efforts in DEI, especially our supportive policies for migrant workers and mature employees. In addition, we continue to build a sustainable workplace through technological innovation and talent development, creating a win-win situation for both the company and our employees.
Environmental sustainability, focusing on green innovation and carbon reduction actions
Environmental protection is an important commitment to our sustainable operations. This year, the Company has increased investment in digitalization, diversification, and green innovation, introducing recyclable and highly durable materials, promoting plastic-free packaging and low-carbon processes, and reducing the environmental impact throughout the product's life cycle. At the same time, we are actively developing IoT applications for smart door locks, and plan to integrate our cloud platform with leading international systems to offer safer and more convenient smart products, achieving a balance between technology and sustainability.