TPK Holding Co (宸鴻), one of Apple Inc’s major touch-panel suppliers, yesterday said revenue plummeted 29.8 percent month-on-month to NT$13.88 billion last month, putting the firm still on track to hit the company's first-quarter revenue target.
On an annual basis, last month’s revenue rose 6.6 percent. In the first two months of this year, TPK accumulated NT$33.65 billion in revenue.
“TPK is likely to see this month’s revenue up slightly from last month, which will at least help it reach its revenue goal for the first quarter,” Fubon Securities (富邦證券) analyst Jeff Pu (蒲得宇) said.
On Feb. 25, the company said revenue would slide between 24 percent and 27 percent sequentially this quarter, to between NT$45 billion and NT$47 billion from NT$61.48 billion, because of fewer working days and inventory adjustment.
Credit Suisse analyst Jerry Su (蘇厚合) expected TPK to beat its target by reporting NT$47.3 billion in revenue this quarter, according to a report released on Friday last week. He gave TPK an “outperform” rating with a target price of NT$710.
Wintek Corp (勝華), which supplies touch panels for Apple’s iPad, last week reported revenue of NT$5.04 billion for last month, down 31.45 percent from January and 46.51 percent from a year ago.
In the first two months, the Taichung-based company made a total of NT$12.39 billion in revenue, down 32.32 percent from a year ago.
Su said there was no sign of recovery in Wintek’s outlook, amid rising order loss risk.
“Wintek lacks near-term catalysts and should see significant operating losses in the first half of 2013 as a result of a lower revenue base, lower utilization of 40 percent or 50 percent,” Su said in the report.
He cut the target price for Wintek to NT$10 from NT$14.7.
TPK shares soared by 6.9 percent yesterday to NT$604, while Wintek rose 1.29 percent to NT$15.65.