LIMITING FACTORS: Prolonged wafer supply constraints have limited TDDI growth and a patent infringement lawsuit by a rival are expected to slow growth momentum

Taipei Times
Date: Nov 07, 2018
By: Lisa Wang  /  Staff reporter

Novatek Microelectronics Corp (聯詠科技), a supplier of driver ICs for large LCD panels, yesterday said that its net profit rose 18.3 percent year-on-year, driven primarily by inventory buildup demand for TV chips ahead of the year-end holiday season.

However, the growth momentum is expected to slow in the current quarter as the electronics industry enters its slow season, it said.

Revenue is expected to fall to between NT$14.6 billion and NT$15 billion (US$474.3 million and US$487.3 million), down between 7.36 percent and 4.82 percent respectively from last quarter’s NT$15.76 billion, a record high, Novatek president Steven Wang (王守仁) told investors.

He forecast that gross margin would dip to between 29.5 percent and 31 percent, compared with 31.7 percent in the third quarter.    [FULL  STORY]