Acer's profits soar in the third quarter

Acer Inc, the country's only internationally recognized computer brand name, said yesterday that profits in the three months to Sept. 30 soared to more than seven times the figure for the same period last year.

Acer's profits after tax climbed from NT$523 million in the third quarter last year to NT$3.86 billion this year, the company told investors yesterday afternoon.

Yesterday was the first time Acer faced investors since the Acer Group spun off its manufacturing business in 2000 to focus on building a brand. The company struggled to make a profit until the third quarter last year.

Yesterday's result underscores the company's strong performance in the 12 months since then, with notebook sales up 91 percent year-on-year, sales of computer monitors up 81 percent, other computer products up 65 percent and desktop computers up 31 percent, Acer president Wang Chen-tang (王振堂) said.

When the first three quarters are added together, Acer has made NT$5.87 billion in after-tax profit so far this year, including NT$3.7 billion from share sales.

The company is now well on track to reach its profit target for the year of NT$6 billion, but Wang said that there are concerns about rising component costs and increased competition.