STAYING THE COURSE: Losses in the period were caused by excess capacity, in addition to tight components supply, but expanding would keep the firm competitive, its CEO said
Date: Aug 10, 2018
By: Ted Chen / Staff reporter
Pegatron Corp (和碩) yesterday said that it would continue vertical integration efforts to reduce costs after the its earnings and profitability took a hit in the past quarter.
The the second-biggest assembler of Apple iPhones reported that net income in the second quarter of the year dropped 26.2 percent annually to NT$2.72 billion (US$88.81 million), with revenue rising 12.8 percent annually to NT$271.26 billion.
Earnings per share fell to NT$1.12 last quarter from NT$1.34 in the same period last year.
The revenue contribution from consumer electronics in the April-to-June quarter surged 44 percent annually, benefiting from new customers’ launches of products, including Internet of Things devices and smart watches, the company said.