Camera lens module maker Largan Precision Co (大立光) yesterday posted a 35.23 percent monthly decline in sales to NT$2.61 billion (US$82.98 million) last month attributable to fewer working days because of the Lunar New Year holiday.
However, sales surged 63.45 percent from the NT$1.6 billion recorded last year, according to a company filing with the Taiwan Stock Exchange.
The company expects revenues to pick up this month, but it is still too early to tell how much sales are set to grow from last month, Largan investor relations official Josephine Huang (黃印嘉) said in a telephone interview.
“Overall, given that January and last month both saw strong annual growth, we are positive that this quarter’s sales will post year-on-year growth,” Huang said by telephone.
Largan chief executive officer Adam Lin (林恩平) in January said sales for this quarter might show a slight decline from last quarter due to seasonal factors, but the figure would show strong annual growth.
In the first two months of the year, Largan’s accumulated revenues totaled NT$6.64 billion, up 64.95 percent year-on-year.
Yuanta Securities Investment Consulting Co (元大投顧) expects Largan’s revenue this quarter to plunge 40.51 percent from the NT$16.81 billion recorded last quarter to about NT$10 billion.
“Sales for this month are expected to be lower than January’s NT$4.03 billion due to seasonal factors. I expect the quarterly results to be slightly higher than NT$10 billion,” said a Yuanta analyst, who declined to be named.
Largan said 8-megapixel products accounted for between 40 and 50 percent of its total shipments last month, with 10-megapixel products contributing 20 to 30 percent of total shipments.
Largan said its 1-megapixel and 5-megapixel products each contributed between 10 and 20 percent of last month’s shipments.
To meet growing customer demand, the company has invested in new plants which are set to begin operations next quarter, the company said.
In related news, Huang said Largan is optimistic about the prospects of its contact lens business, adding that the company has opened the second of its stores selling contact lens products in Taichung.
Largan’s contact lens products are available at more than 100 retail stores across Taiwan and it plans to expand the number this year, the company said.
Largan shares rose 4.59 percent to NT$2,735 in Taipei trading yesterday, outperforming the TAIEX, which gained 0.53 percent.
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