Synnex revenue hits second-highest level

By Kevin Chen  /  Staff reporter

Wed, Oct 09, 2013 - Page 14

Synnex Technology International Corp (聯強) yesterday said revenue last month hit the second-highest level in the company’s history, boosted by double-digit percentage increases in sales generated from consumer electronics and integrated circuit components, the company said in an e-mailed statement.

Since the Taipei-based company has been working with Apple Inc in India via its reinvestment unit, Redington Group, and is widely expected to become a distribution partner for Apple in China, Synnex could see revenue climb even higher this quarter, analysts said.

Synnex’s consolidated revenue went up 15.99 percent to NT$31.2 billion (US$1.06 billion) last month from NT$26.9 billion in August, slightly lower than its highest-ever level of NT$31.25 billion posted in September last year.

During the July-to-September period, revenue amounted to NT$85.8 billion, up 9 percent from NT$78.7 billion in the previous quarter and 4 percent higher than NT$82.5 billion in the same period last year, the company said in the statement.

The quarterly result was better than Yuanta Investment Consulting Co’s (元大投顧) forecast of NT$82.6 billion and comparable to First Capital Management Inc’s (第一金證券投顧) estimate of NT$86.7 billion.

Among its major products, Synnex’s consumer electronics revenue increased 38 percent year-on-year to NT$13.8 billion last quarter and IC components sales rose 32 percent to NT$19.7 billion over the same period. That helped the company offset its 57 percent annual decline in telecom products revenue, which was only NT$4.7 billion last quarter.

Sales of information technology products, which account for 57 percent of its total revenue and are the company’s main driver, increased just 2 percent to NT$47.6 billion last quarter, company data showed.

Synnex — Asia’s leading distributor of information technology products and electronics components — shares rose 0.32 percent to NT$47.1 yesterday, down 11.96 percent since the beginning of the year, data from the Taiwan Stock Exchange showed.