IC distributor GMI Technology is expected to see revenues increase 25-30% in 2010, driven by growth in the networking segment, according to market watchers.
In addition to Realtek Semiconductor's networking chips, demand for Toshiba's NAND flash products also continues to grow, added the sources.
The company estimates monthly revenues in 2010 will remain level with its fourth-quarter 2009 average at about NT$1 billion (US$31.49 million). However, first-quarter 2010 revenues may drop 10% sequentially due to long vacations during the Lunar New Year, the sources noted.
GMI also distributes JMicron Technology's USB 3.0 device chips for external disk drivers. The distributor is optimistic about the USB 3.0 outlook for the second half of 2010 and expects revenues from the product line to double for the year.
The company has reported net profits of NT$13.1 million (US$0.41 million) for December 2009 with a net EPS of NT$0.18. Net profits and EPS in 2009 totaled NT$205 million and NT$2.86, respectively. GMI saw revenues of NT$3.13 billion in fourth-quarter 2009, down 1.4% on quarter, and revenues of NT$11.1 billion for the year, up 23% on year.