2018/04/26
Coretronic Corporation Announces First Quarter 2018 Results
Hsinchu, Taiwan – Coretronic Corporation (5371.TW) today announced its financial results for the first quarter of 2018. For the first quarter ended March 31, 2018, Coretronic posted consolidated sales revenue of NT$12,375 million, up 1.2% YoY and drop 17.8% QoQ due to traditional slow season and CNY holiday impact. Consolidated gross margin for the quarter was 16.02%, similar with 1Q17 but decreased by 2.54% as compared with 18.56% in the previous quarter, due to unfavorable currency exchange rate and product mix. Operating income was NT$160 million, with 38% YoY decline, mainly due to higher Operating Expense in 1Q18 and more RD expense resulting from development of the advance technologies area such as “image recognition, AI, cloud premium service and smart drone solutions”. Net income was NT$203 million, representing a 14.9% decrease YoY. Net income attributable to equity holders of the parent company was NT$193 million, drop 30% YoY. The basic EPS* for the first quarter were NT$0.45.
“The overall sales revenue of Energy Saving Business Group was NT$6,053 million in 1Q18, drop 11% QoQ due to regular slow season and CNY holiday impact. The overall shipment was 11.31 million units, flat QoQ.” “The second quarter remains the traditional slow season but thanks to more high-end and large-sized TV LCM EMS businesses from panel customers, overall Energy Saving product shipments are expected to grow slightly. Look into 2018, Coretronic will continue to develop various optical components to enhance the functionality of traditional TFT LCD modules. At the same time, we will also aggressively implement differentiated designs such as energy-saving, privacy and HDR applications on high-value application displays like automotive, industrial control, medical, gaming, smart home and PID/Signage market. We expect the overall operation performance of Energy Saving Business Group in 2018 will grow steadily with the goal of pursuing higher profits and value.” said Ms. Sarah Lin, President of Energy Saving Product Business Group of Coretronic.
“For 1Q18, the shipment of Visual Solutions products were 319K units, with 8% YoY growth and the sales revenue was NT$4,170 million, up 13% YoY driven by continuous growth in SSI products and demand growth for FIFA 2018. Coretronic expects the shipments in 2Q18 will grow over 1Q18 & 2Q17, driven by continued demand from FIFA 2018 and tender business.” said Mr. SY Chen, President of Visual Solutions Business Group of Coretronic. Regarding the development strategy of Visual Solutions products, SY pointed out that Coretronic will continuous integrate its leading technologies, “Optics, Mechanics, Electronic, Thermal Management and Cloud Service” to creating new integrated visual solutions for consumers, such as embedded modules, image blending, interactive touch, digital signage, large venue PID, intelligent interaction and smart links. At the same time, Coretronic will also develop VR/AR wearable display platform devices to continue to provide customers extremely impressive imagery experiences. “We expect the Visual Solutions business will continue to grow in 2018 resulting from continuous development of core technologies and new business.” said SY Chen, President of Visual Solutions Business Group of Coretronic.
* Basic EPS was calculated based on the total weighted average outstanding shares of the balance sheet dated (434m shares).
“The overall sales revenue of Energy Saving Business Group was NT$6,053 million in 1Q18, drop 11% QoQ due to regular slow season and CNY holiday impact. The overall shipment was 11.31 million units, flat QoQ.” “The second quarter remains the traditional slow season but thanks to more high-end and large-sized TV LCM EMS businesses from panel customers, overall Energy Saving product shipments are expected to grow slightly. Look into 2018, Coretronic will continue to develop various optical components to enhance the functionality of traditional TFT LCD modules. At the same time, we will also aggressively implement differentiated designs such as energy-saving, privacy and HDR applications on high-value application displays like automotive, industrial control, medical, gaming, smart home and PID/Signage market. We expect the overall operation performance of Energy Saving Business Group in 2018 will grow steadily with the goal of pursuing higher profits and value.” said Ms. Sarah Lin, President of Energy Saving Product Business Group of Coretronic.
“For 1Q18, the shipment of Visual Solutions products were 319K units, with 8% YoY growth and the sales revenue was NT$4,170 million, up 13% YoY driven by continuous growth in SSI products and demand growth for FIFA 2018. Coretronic expects the shipments in 2Q18 will grow over 1Q18 & 2Q17, driven by continued demand from FIFA 2018 and tender business.” said Mr. SY Chen, President of Visual Solutions Business Group of Coretronic. Regarding the development strategy of Visual Solutions products, SY pointed out that Coretronic will continuous integrate its leading technologies, “Optics, Mechanics, Electronic, Thermal Management and Cloud Service” to creating new integrated visual solutions for consumers, such as embedded modules, image blending, interactive touch, digital signage, large venue PID, intelligent interaction and smart links. At the same time, Coretronic will also develop VR/AR wearable display platform devices to continue to provide customers extremely impressive imagery experiences. “We expect the Visual Solutions business will continue to grow in 2018 resulting from continuous development of core technologies and new business.” said SY Chen, President of Visual Solutions Business Group of Coretronic.
* Basic EPS was calculated based on the total weighted average outstanding shares of the balance sheet dated (434m shares).
