MediaTek's Dec. sales reach 10-month low at NT$7.6 bil.
The China Post news staffTAIPEI, Taiwan -- MediaTek yesterday posted sales of NT$7.583 billion for December, a decline of 12.38 percent from November and the lowest in 10 months.
January 9, 2013, 11:34 am TWN
For the fourth quarter, sales totaled NT$26.735 billion, a decline of 9.28 percent from the previous quarter. The figures were lower than the firm's own estimate of NT$28.9 billion and its predicted quarter-on-quarter decline of 2 percent.
Foreign investors are mostly downbeat about the firm's first-quarter performance, saying sales would be slower than typical of the season. Market analysts mostly hold the view that sales in the first quarter of 2013 would stay flat or fall 15 percent quarter-on-quarter. The company's quarterly investors' conference is tentatively set for Feb. 4.
MediaTek had originally predicted fourth-quarter sales would be between NT$28.9 billion and NT$30.9 billion, on strong demands for smartphones in China. Yet the demands proved to be slower than expected, as downstream clients saw their inventories rise after China's Oct. 1 National Day break that lasted a week.
The company still predicts that gross profit margin would fall between 41 and 43 percent during the fourth quarter, while foreign investors put the firm's fourth-quarter earnings per share at approximately NT$3.2 to NT$3.4, lower than the firm's own estimate of NT$3.57 to NT$4.43.
For the whole of 2012, sales totaled NT$99.26 billion, a rise of 14.33 percent from 2011 yet still shy of the NT$100 billion mark. This year, the firm has a chance to hit that mark, experts predicted, due to various products to be launched by the semiconductor designer this year.
MediaTek yesterday closed at NT$302.5, up 0.33 percent from the previous session. The TAIEX meanwhile fell 33.43 points to 7,721.66.