Handset camera lens supplier Largan Precision Co (大立光) yesterday reported a 29.62 percent increase in net profit for last quarter to NT$6.55 billion (US$211.1 million) from NT$5.05 billion in the first quarter, or earnings per share (EPS) of NT$48.84.
The Taichung-based firm posted revenue of NT$14.08 billion for last quarter, up 43.34 percent on a quarterly basis, while gross margin rose by 5.36 percentage points to 69.6 percent.
In the first half of the year, net profit surged by 22 percent year-on-year to NT$11.6 billion, with EPS rising from NT$70.97 to NT$86.51 over the period, Largan said.
Revenue increased 13 percent to NT$23.9 billion in the first six months, with 10-megapixel lenses making up 50 to 60 percent of total shipments, followed by 20-megapixel lenses and higher, which contributed 20 to 30 percent, while 8-megapixel lenses made up another 10 to 20 percent, the company said.
As the consumer electronics industry enters the peak season this quarter, Largan chief executive officer Adam Lin (林恩平) told an earnings’ conference yesterday that sales would improve this month after a decline last month, adding that production has reached full capacity and would continue unchanged through next month.
Lin remained confident, despite investor concerns over the company’s prospects due to the US-China trade dispute, saying that Largan has only been mildly affected and orders have remained relatively steady.
As new smartphone models with multi-camera configurations continue to hit the market, Largan said it is to increase production capacity.
However, Lin was reluctant to share details of the company’s expansion plans, saying only that the firm has extra floor space that could be used to expand capacity, while other land purchase deals remain under review.
Largan’s application to vertically expand its plant at the Taichung Industrial Park (台中工業區) under a government program aimed at increasing domestic production space has been approved by the Ministry of Economic Affairs, Export Processing Zone Administration Deputy Director Yang Po-keng (楊伯耕) said.
The company owns nine plants in Taiwan and two in China. It counts Huawei Technologies Co Ltd (華為), Apple Inc, Samsung Electronics Co Ltd, Oppo Mobile Telecommunications Corp (歐珀) and Vivo Communication Technology Co (維沃) among its major clients.
Although Largan specializes in the production and design of plastic aspherical lenses, Lin said that the company is also designing “G+P” (glass and plastic) periscope lenses to meet client demand.
Largan is also in the process of designing eight-piece lenses, while shipping of seven-piece lenses started late last year, Lin said.
Despite price pressure from clients, Lin said that the company’s high-end lenses are rarely affected.
Largan shares rose 3.61 percent to NT$4,305 in Taipei trading yesterday.
Nvidia Corp chief executive officer Jensen Huang (黃仁勳) on Monday introduced the company’s latest supercomputer platform, featuring six new chips made by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), saying that it is now “in full production.” “If Vera Rubin is going to be in time for this year, it must be in production by now, and so, today I can tell you that Vera Rubin is in full production,” Huang said during his keynote speech at CES in Las Vegas. The rollout of six concurrent chips for Vera Rubin — the company’s next-generation artificial intelligence (AI) computing platform — marks a strategic
Enhanced tax credits that have helped reduce the cost of health insurance for the vast majority of US Affordable Care Act enrollees expired on Jan.1, cementing higher health costs for millions of Americans at the start of the new year. Democrats forced a 43-day US government shutdown over the issue. Moderate Republicans called for a solution to save their political aspirations this year. US President Donald Trump floated a way out, only to back off after conservative backlash. In the end, no one’s efforts were enough to save the subsidies before their expiration date. A US House of Representatives vote
REVENUE PERFORMANCE: Cloud and network products, and electronic components saw strong increases, while smart consumer electronics and computing products fell Hon Hai Precision Industry Co (鴻海精密) yesterday posted 26.51 percent quarterly growth in revenue for last quarter to NT$2.6 trillion (US$82.44 billion), the strongest on record for the period and above expectations, but the company forecast a slight revenue dip this quarter due to seasonal factors. On an annual basis, revenue last quarter grew 22.07 percent, the company said. Analysts on average estimated about NT$2.4 trillion increase. Hon Hai, which assembles servers for Nvidia Corp and iPhones for Apple Inc, is expanding its capacity in the US, adding artificial intelligence (AI) server production in Wisconsin and Texas, where it operates established campuses. This
US President Donald Trump on Friday blocked US photonics firm HieFo Corp’s US$3 million acquisition of assets in New Jersey-based aerospace and defense specialist Emcore Corp, citing national security and China-related concerns. In an order released by the White House, Trump said HieFo was “controlled by a citizen of the People’s Republic of China” and that its 2024 acquisition of Emcore’s businesses led the US president to believe that it might “take action that threatens to impair the national security of the United States.” The order did not name the person or detail Trump’s concerns. “The Transaction is hereby prohibited,”
RSS