Advantech Co Ltd (研華), the world’s largest industrial computer manufacturer, yesterday said that it benefited from strong COVID-19-related demand last quarter, but holds a conservative outlook for this quarter.
“The business impact of the virus is broad-based and continuous, but we experienced a significant rebound in revenue and profitability in the second quarter,” president of general management Eric Chen (陳清熙) said in a statement.
However, he is conservative in his outlook for the third quarter, as some customers have postponed their shipment schedule since June, Chen said.
Yesterday, Advantech’s board of directors signed off on the company’s second-quarter financial statement, which showed that net income increased 78 percent quarterly and 22 percent annually to NT$2.31 billion (US$78.3 million), with earnings per share of NT$3.29 — a record high.
Revenue last quarter was NT$14.02 billion, up 24 percent sequentially, but flat from a year earlier, the company said in the statement.
The increase in second-quarter revenue reached the high end of the company’s guidance of sequential growth of between 19.6 percent and 24.9 percent.
Revenue generated from the Chinese market grew 87 percent from the prior quarter, making up 23 percent of the company’s total revenue last quarter, while the US, Europe and North Asia markets contracted by 3 percent, 9 percent and 6 percent respectively, company data showed.
In the first half of this year, cumulative revenue dropped 3.8 percent year-on-year to NT$25.29 billion, while net income increased from NT$3.51 billion to NT$3.6 billion, with earnings per share of NT$5.14.
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