Wistron saw its gross margins return above 5% in the third quarter and expects the percentage to continue increasing in 2014 despite a decline in notebook shipments, which are estimated to drop from 23-24 million units in 2013 to 20 million in 2014, according to the company.
Wistron has started reorganizing its notebook production bases since early 2013 and has shifted its notebook production lines in Kunshan, eastern China to Chongqing and Chengdu, western China to lower costs. In 2014, Wistron will have 80% of its notebook shipments supplied by its plants in eastern China.
Wistron has announced revenues of NT$159.89 billion (US$5.4 billion), net profits of NT$1.47 billion and earnings per share (EPS) of NT$0.64 for the third quarter. For the first three quarters of 2013, revenues came to NT$481.03 billion, net profits NT$4.83 billion and EPS NT$2.12.
Wistron's notebook shipments will decline to five million units in the fourth quarter from 6.05 million units in the third quarter, while its LCD TV shipments will stay flat at around 800,000 units and handheld devices including tablets and smartphones, will reach five million units, down from 5.7 million in the third quarter.
Wistron expects its LCD TV shipments to reach three million units in 2014, about the same volume as in 2013.
As for the server and storage businesses, shipments are expected to grow from 1.8 million units in 2013 to 2.1 million in 2014. |