Acer posts nearly 30% income growth

By Lisa Wang  /  STAFF REPORTER

Fri, Oct 26, 2007 - Page 12

Acer Inc, the world's fourth-largest computer vendor, yesterday posted nearly 30 percent growth for third quarter net income on robust demand.

Net income leapt to NT$2.92 billion (US$89.84 million), or NT$1.24 per share, during the July-September period, from NT$1.85 billion, or NT$0.78 a share. Revenues increased around 29 percent to NT$121.93 billion from NT$94.73 billion during the same period.

That brought the earnings to NT$10.56 billion in the first nine months of the year, up 18 percent from the same period last year.

Acer is scheduled to give its outlook for the fourth quarter and comment about its purchase of Gateway Inc during an investor's conference today.

Acer shares rose 3.43 percent to NT$72.4 yesterday after analysts at Citigroup, CLSA and Goldman Sachs raised their outlook on Acer or reinitiated the stock as they expected the purchase of the US PC brand would help further boost Acer's market share and cost efficiency.

Acer's shipments jumped nearly 60 percent to 5.44 million units in the quarter ended Sept. 30, compared to 3.42 million units a year earlier, the International Data Corp's (IDC) tallies showed.

That helped expand Acer's global market share to 8.1 percent from 5.9 percent, catching up the world's No.3 computer maker Lenovo Group (聯想), according to the IDC. Lenovo's market share rose to 8.2 percent last quarter.