The average net profit in the manufacturing industry is only around 3%, but Tongda Group (698.HK) revealed at its 2017 annual results presentation at the JW Marriott Hotel in Hong Kong that the company's total revenue increased by 9.4% to HKD 8.56 billion, with gross profit rising by 18.3% to HKD 2.23 billion. The gross margin reached an astonishing 26.1%. In 2018, the company further expanded its production capacity, gained more market share, and expects the waterproof components to grow by more than double.
Why Can a Tiny Phone Case Produce Such High Profits for a Company?
Established in 1988, the Tangda Group listed on the Main Board of the Hong Kong Stock Exchange in 2000. It specializes in the design and production of consumer electronics, including shells and related products for mobile phones, laptops, and electrical appliances. Key clients include Huawei, Lenovo, ZTE, Xiaomi, Coolpad, Haier, Gree, Midea, Toshiba, HP, Dell, ASUS, Nokia, and Fujitsu. The company has established manufacturing centers and service networks in over 30 countries and regions, with Xishi, Xiamen, Shanghai, and Shenzhen serving as its main production bases. Additionally, it has research and development centers in Shanghai and Taiwan. The company employs over 30,000 staff members.
Dongtong Group will continue to enhance the application and R&D of new technologies, materials, and processes. From all-plastic to all-metal, and now to glass casings, mainstream products like the IMT casing, featuring 2.5D glass + metal frame, and 3D glass + metal frame, are all being produced by Dongtong. The company is focusing on expanding its in-house developed Molding Insert Molding (IML) technology and Injection Molding Decorative Surface (IMD) technology applications, and is the first in China to offer a one-stop service for vertically integrated antenna casings using Laser Direct Structuring (LDS) antenna technology.
Focusing on Molding, Demonstrating Efficiency
The research, design, and production of precision molds are a crucial part of Tangda Group's industrial chain. Their design capabilities and development technologies are at the international professional level, providing robust hardware support and technical backing for Tangda's product technical improvements and innovations.
As a long-term信息化 partner of Tongda Group, Fangtian Software has provided professional software products and services to the group. Witnessed the rapid expansion of Tongda Group's mold workshop from 100 to 300, then to 500 people and beyond.
On September 26, 2018, Tondach (Xiamen) Technology Co., Ltd. and Guangdong Fangtian Software Technology Co., Ltd. jointly embarked on a new journey of corporate informatization and digitalization. Tondach Group officially upgraded to Fangtian's top-tier mold ERP software product, marking the launch of the Fangtian B9 CLOUD Enterprise Management Software project.
The project launch was highly valued by both parties' senior management. Representatives from DATONG Group, including the General Manager, the General Manager of the Mold Department, the General Manager Lu, and the IT Department Manager Tang, among over 30 management staff, were all present. The Chairman of Guangdong Fangtian Software Technology Co., Ltd., Xu Zefu, also led his advisory team to attend the meeting.
The FT B9 CLOUD is an advanced, flagship management software product developed by FT Software Company for large-scale corporate groups. It focuses on comprehensive groups with financial control, multi-location, multi-plant manufacturing enterprises with operational control, and the trade industry. It primarily assists enterprises in achieving intelligent production, smart manufacturing, and the Internet+, while meeting the O2O operational model of enterprises. It ensures refined production and control within the enterprise, and carries out intelligent scheduling in aspects such as equipment load, order delivery, work order scheduling, and material coordination. A product born from the trend of Internet+ Industry 4.0, it covers group management extensively, realizing intelligent production, smart decision-making, and cost control.
