Elan Microelectronics Corp (義隆電子) on Wednesday reported 57.6 percent year-on-year growth in net profit for last quarter, as remote schooling and work-from-home trends boosted demand for touchpad controllers and fingerprint sensors used in laptops.
Net profit surged to NT$1.08 billion (US$37.4 million), from NT$686 million in the third quarter last year, setting an all-time high, the company said, adding that on a quarterly basis, net profit rose 17.65 percent from NT$918 million.
Elan Microelectronics expects the growth momentum to carry into this quarter, with revenue likely to reach NT$4.55 billion to NT$4.75 billion, compared with NT$4.71 billion last quarter.
Gross margin is to bounce back 46 to 47 percent, compared with 45.5 percent last quarter, the company said.
Looking forward, company spokesman Dennis Liu (劉代銘) said that “people are expecting a decline in the fourth quarter, but we do not see that happening. The fourth quarter will not be as slow as it used to be.”
This year, Elan Microelectronics has seen revenue increase by 60 percent annually to NT$15 billion, Liu said.
The company generated NT$9.49 billion in revenue last year.
Market share gains and increases in average prices are driving the growth, he said.
Elan Microelectronics also holds a positive outlook for the first two quarters of next year based on clients’ messaging, company chairman Yeh I-hau (葉儀皓) told investors in Taipei on Wednesday.
Demand for touchpad controllers for laptops looks positive, but wafer supply is a concern, Yeh said.
The company has been forced to push back shipments of touchpad controllers to early next year due to wafer supply constraints, he added.
Elan Microelectronics has secured wafer supply from Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), starting next month, the company said, adding that TSMC has promised to increase wafer supply significantly next year.
The company has clinched supply contracts from Microsoft Corp to supply touchpad controllers and fingerprint sensors for Microsoft’s new Surface Laptop Go, it said.
Real estate agent and property developer JSL Construction & Development Co (愛山林) led the average compensation rankings among companies listed on the Taiwan Stock Exchange (TWSE) last year, while contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) finished 14th. JSL Construction paid its employees total average compensation of NT$4.78 million (US$159,701), down 13.5 percent from a year earlier, but still ahead of the most profitable listed tech giants, including TSMC, TWSE data showed. Last year, the average compensation (which includes salary, overtime, bonuses and allowances) paid by TSMC rose 21.6 percent to reach about NT$3.33 million, lifting its ranking by 10 notches
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