Asustek Computer Inc (華碩) yesterday posted consolidated sales of NT$108.22 billion (US$3.53 billion) for last quarter, down 9.25 percent from the same time a year earlier due to weaker-than-expected demand from the European and Chinese markets.
Revenue also dropped 14.37 percent from the previous quarter’s NT$126.39 billion, company data showed.
“Demand in Europe was much softer than the company’s estimate. We think the political and economic dynamics, and the competition there all weighed on Asustek’s performance,” spokesman Nick Wu (吳長榮) said by telephone.
The company said it had adjusted its product portfolio by shipping more gaming and ultra-light notebooks to lift its average selling price, but revenue still shrank.
The New Taiwan dollar’s appreciation and higher notebook and smartphone component prices further added to the pressure, it said.
Asustek’s PC-related products accounted for 65 percent of its total revenue of NT$466.99 billion last year, while its smartphone business contributed 18 percent, company data showed.
Revenue could hit bottom this quarter, given rising component costs and a slow season for notebooks, the company said.
Its smartphone business also faces a challenging period from April to June, as the company is not expected to introduce its new ZenFone series until June or July.
Analysts said they expect its operations to pick up from next quarter, after the company launches new flagship smartphones and notebooks.
In other news, Quanta Computer Inc (廣達), the world’s largest contract notebook manufacturer, yesterday reported revenue of NT$56.03 billion for last quarter, edging down 0.51 percent from last year’s NT$56.31 billion.
Quanta said it shipped 9.2 million notebooks in the first three months of this year, adding 9.52 percent from the same time last year.
On a quarterly basis, shipments declined 12.4 percent from 10.5 million units in the final quarter of last year, but the scale of contraction was much smaller than its estimated 20-percent decline.
It attributed the momentum to extended demand for one of its large notebook client’s new models.
Wistron Corp (緯創) reported sales of NT$168.4 billion for last quarter, jumping 25.03 percent from NT$134.69 billion over the same period last year.
It attributed the growth to strong shipments of notebooks, desktop computers and servers.
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