TPK Holdings revenue grew 14.59% last month

By Lisa Wang  /  Staff reporter

Wed, Sep 05, 2012 - Page 13

TPK Holdings Co Ltd (宸鴻), which is one of Apple Inc’s major touch-screen suppliers, yesterday said revenue grew 14.59 percent last month from July, fueled by strong demand for new touch screens used in tablets.

Revenue expanded to NT$12.96 billion (US$433 million) last month, compared with July’s NT$11.32 billion, according to a company statement. That represented annual growth of 21.5 percent from NT$10.68 billion in the same month last year.

“Customer demand is stronger than our expectations,” a TPK financial official said by telephone.

That could provide an opportunity for the company to raise its current quarter outlook, he said.

TPK’s revenue growth last month beat a forecast for montly growth of between 5 percent and 10 by Credit Suisse analyst Jerry Su (蘇厚合).

Su said shipments of Google’s new Kindle Fire e-reader, Apple’s iPad mini and Microsoft’s Surface tablets would provide an upside for TPK’s third-quarter revenue. Su expected TPK to post mid-to-high single digit percentage growth in revenue this quarter from last quarter.

Last month, TPK said revenue would grow by a low single digit percentage from NT$36.08 billion last quarter, driven by significant increases in shipments of touch panels used in tablets and e-readers.

Next quarter, new touch screens for Windows 8-powered notebook computers will be a new catalyst to drive the company’s revenue, TPK said.

Separately, commenting on speculation that TPK might regain new orders from its top client Apple to supply touch screens for the new iPhone 5, company spokesman and chief financial executive Freddie Liu (劉詩亮) said by telephone that that was “impossible.”

TPK said the company’s factories were fully loaded at the moment and that it was unlikely to allocate capacity for any new orders.

On Monday, another Apple touch panel supplier, Wintek Corp (勝華), said revenue increased 19.7 percent to NT$10.04 billion last month from July’s NT$8.39 billion. The company said a rise in shipments of one-glass-solution touch screens for tablets helped boost its revenue.