PC brand Acer Inc (宏碁) yesterday reported that its net profit last year totaled NT$4.93 billion (US$156.5 million), down 1.43 percent year-on-year, as the firm recorded falling revenue and profit margins.
Last year, earnings per share (EPS) fell to NT$1.64, from NT$1.67 the previous year, Acer said in a statement.
The announcement came as the company released its financial results for the final quarter of last year.
Photo: Vanessa Cho, Taipei Times
Its net profit came in at NT$1.02 billion, compared with net losses of NT$832 million during the same period a year earlier.
EPS rose to NT$0.32 in the quarter, compared with losses per share of NT$0.28 the previous year, Acer said.
While last year’s net profit registered the lowest level in four years, the company’s board of directors has proposed distributing a cash dividend of NT$1.6 per share, Acer said.
If approved by shareholders on May 31, the planned cash dividend would represent a payout ratio of 97.56 percent.
Based on the company’s closing share price of NT$45.9 yesterday, it would translate into a dividend yield of 3.49 percent.
Acer’s full-year revenue last year decreased 12.39 percent year-on-year to NT$241.31 billion, affected by still weak PC and consumer electronics demand amid a global economic slowdown, while gross margin and operating margin declined to 10.7 percent and 1.8 percent respectively.
Despite the lackluster performance last year, Acer has maintained a confident outlook for its business this year, aided by sales related to artificial intelligence (AI) applications, it said.
“Acer’s computer and display business has returned to the right track of profitability and seasonality while inventory is under control. The company is optimistic about the business opportunities that artificial intelligence brings and considers generative AI to become a megatrend in 2024 and beyond,” the statement said.
Three of Acer's subsidiaries — Acer E-Enabling Business Inc (宏碁資訊), Acer Medical Inc (宏碁智醫), Altos Inc (安圖斯科技) — focus on enterprises AI products and services, while the parent company itself is working with major global brands on AI PCs.
In the recent few years, Acer has continued to diversify its business by setting up more subsidiaries amid muted PC business growth, with businesses other than computers and displays contributing 42.8 percent to its total operating profit of NT$4.23 billion last year, the company said.
Acer's subsidiaries span various fields, including cyber security, beverages, apparel, home appliances, AI-assisted cloud services, medical solutions, gaming software and hardware, and charging piles.
Three subsidiaries went public last year, giving Acer 12 publicly listed subsidiaries, the company said.
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