HTC’s brand awareness drops
Taiwan’s HTC Corp (宏達電) has suffered a drop in brand awareness in the Chinese market over the past two years, according to market researcher TrendForce Corp (集邦科技).
TrendForce said in a report that HTC’s brand awareness in China fell to 16 percent last quarter from 23 percent in the first quarter of 2012, ranking sixth.
In contrast, China’s Xiaomi Corp (小米) saw its brand awareness rise to 27 percent from 3 percent over the period, ranking third, TrendForce said.
In first and second places were South Korea’s Samsung Electronics Co and US-based Apple Inc, with 83 percent and 80 percent brand awareness respectively, the report said.
Profits up for King Yuan
King Yuan Electronics Co Ltd (京元電), which provides chip testing and packaging services, yesterday said net profit soared more than 80 percent sequentially to NT$782.7 million (US$26.06 million) last quarter, from NT$431 million in the first quarter.
Earnings per share rose to NT$0.66 from NT$0.36 during the same period, according to a company statement.
The quarterly figure represented 37 percent annual growth from NT$570.5 million in net profit in the second quarter of last year.
Gross margin rose to the historic high of 32 percent last quarter, compared with 27 percent in the previous quarter.
Last quarter, King Yuan spent NT$2.75 billion on new facilities and equipment.
Faraday net income grows
Faraday Technology Corp (智原), a fabless chip designing service and silicon patent provider, yesterday said net income grew about 22 percent to NT$206 million last quarter, compared with NT$168 million in the first quarter after non-operating income surged.
Non-operating income expanded to NT$27 million last quarter from NT$3 million a quarter ago, according to the company’s financial statement.
Looking ahead, Faraday expects revenue to drop slightly this quarter, compared with last quarter’s NT$1.47 billion, due to a higher base.
The communications segment would be a relatively strong area, supported by stable shipment of 4G base station cases and contribution from new 40-nanometer projects, while revenue from patent licensing would be stable in the current quarter, Faraday said.
Paywave coming to phones
Chunghwa Telecom Co (中華電信) said on Thursday it had received a security certification from card issuer Visa Inc for digital credit cards that use near-field communication (NFC) technology on smartphones.
The certification means Chunghwa Telecom will be able to issue virtual cards through over-the-air downloads, enabling users to simply touch their NFC-enabled phones to a compatible reader to make payments.
Chunghwa Telecom said it intends to team up with local partners including banks to jointly launch commercial services based on NFC technology.
Acer’s Chromebook sales up
Acer Inc’s (宏碁) Chromebook shipments have increased 70 percent year-on-year since the beginning of the year, growing faster than the broader market, president and chief executive officer Jason Chen (陳俊聖) said on Thursday.
The company, which in 2011 launched its first Chromebook model, the AC700, is also set to launch a Chromebook in Japan next week, he said.
Citing the latest data from the NPD Group, Chen said it had topped the US Chromebook market in the first quarter of the year with a 46.7 percent share.
NOT ALL GOOD: Analysts warned that other data for last month might be less rosy due to the virus and analysts expect the PMI to contract again next month Chinese factory activity saw surprise growth last month as businesses went back to work following a lengthy shutdown, but analysts said that the economy faces a challenging recovery as external demand has been devastated by the COVID-19 pandemic, while the World Bank said that growth could screech to a halt. China is slowly returning to life after months of tough restrictions aimed at containing the virus, which put millions of people into virtual house arrest and brought economic activity to a near standstill. The strict measures saw a closely watched gauge of manufacturing plunge to its lowest level on record in February,
The output of the global smartphone industry this year is to contract by 7.8 percent on an annual basis as the COVID-19 pandemic ushers in a global recession, Taipei-based market researcher TrendForce Corp (集邦科技) said in a report on Monday. The global production of smartphones is expected to fall to 1.29 billion units, as the pandemic dampens demand for consumer electronics, leading to a decline in shipments across Europe and North America, TrendForce said. With consumers delaying smartphone purchases and thereby lengthening the device replacement cycle, overall prices would suffer a setback that is expected to negatively affect the profitability of smartphone
ELECTRONICS Lite-On delays sale of unit Lite-On Technology Corp (光寶科技) yesterday said it would postpone the sale of its solid-state drives (SSD) business to Kioxia Holdings Corp, formerly known as Toshiba Memory Holdings Corp, due to disruptions amid the COVID-19 pandemic. Last year, the Taiwan-based electronics components supplier struck the deal with the Japanese firm, agreeing to sell the unit for US$165 million. Citing unfinished integration work due to the pandemic, Lite-On has deferred today’s closing date until further notice, adding that the delay would not have a negative effect on the unit’s operations. AUTO PARTS Hiroca approves dividend Automotive interior parts supplier Hiroca
ALL ABOUT STRATEGY: The company is optimistic, saying that its gross margin should increase year-on-year, but it is scaling back on its plans to expand capacity Quang Viet Enterprise Co (QVE, 廣越), which makes down jackets and garments for sportswear and outdoor brands including Adidas AG, yesterday said that revenue might drop 5 to 10 percent annually this year as some customers trimmed orders in response to the COVID-19 pandemic. That would mark its first revenue decline since 2016. Quang Viet posted record-high revenue of NT$16.26 billion (US$537.45 million) last year, up 22 percent from 2018. Down jackets made up 40 percent of it revenue last year. North Face Inc and Patagonia Inc are this year likely to reduce orders by 20 to 30 percent from a