Taiwan water-infrastructure firm Kuo Toong is growing steadily, good news for its shareholders and for a construction sector riding a wave of government spending.

• First-half sales rose 20% and profit was up 16%, driven by pipe orders and construction work already booked.
• Three new projects — two water plants and a sewer expansion — start work in the second half, which should lift revenue further.
• The company sees more than NT$200 billion of water projects coming, tied to Taiwan's science park build-out: recycled water plants, desalination plants, and water storage.
• It also makes plastic water pipe through a majority-owned unit, with four production lines due to start up by the end of 2026.
• Desalination is a long-standing side of the business, going back to a private plant it built in Penghu in 2004.

Outlook: With new projects breaking ground now and a large state-funded pipeline behind them, sales and profit look set to keep climbing into next year.