Text & Photo: Wheel Giant

Giant Group's Board of Directors approved the company's 2024 financial results on March 14. The group reported consolidated revenue of NT$71.28 billion, a 7.4% decrease compared to the previous year. The decline in revenue was primarily attributed to increased inventory age and significant sales discounts, which led to a NT$1.9 billion inventory impairment loss, affecting the company's gross margin. As a result, the gross margin for 2024 dropped to 19.0%, down from 22.1% in 2023. Excluding the impact of the inventory impairment, the gross margin would have remained at 21.7%.

Although operating expenses slightly decreased alongside the revenue decline, the expense ratio rose to 16.4%, up from 15.9% in 2023, leading to a 60% drop in operating profit. Net income after tax also fell by 62.8% year-on-year to NT$1.26 billion, with earnings per share (EPS) of NT$3.22.

The Board also approved a proposal for a cash dividend of NT$2.2 per share, which will be subject to approval at the Annual Shareholder Meeting, scheduled for June 23, 2025.

For the fourth quarter of 2024, Giant Group's consolidated revenue amounted to NT$13.59 billion, an 8.5% decrease from the same period in 2023. The decline was driven by discount clearance in the U.S. and European markets, as well as slower sales in China, compounded by additional inventory impairment losses. The gross margin for Q4 dropped to 13.5%, and excluding the impact of the inventory impairment, the gross margin would have been 18%. With the decline in gross margin exceeding the reduction in operating expenses, the company reported an operating loss of NT$1.04 billion for the quarter. Net loss after tax for Q4 was NT$910 million, resulting in a net loss per share of NT$2.32.

On the left is Giant Group President Young Liu, and on the right is Giant Group CEO Phoebe Liu.