Lite-On Tech Reports Strong Revenue Gains For June
EMS provider Lite-On Technology reported solid revenue growth in June, with sales of its three main product lines – optoelectronics, cloud/IoT products and computing/consumer electronics – all posting gains.
Total June revenue was T$14.6 billion (US$496.4 million), up 1% sequentially and 9% year-on-year. Second-quarter 2022 sales reached NT$42.975 billion, up 4.3% in the quarter and 3.4% year-on-year. For sales from January to June, revenue was NT$84.2 billion, up 7% from a year earlier.
According to company chairman Anson Chiu, sales growth in the second quarter was below expectations as global supply chain and related logistics operations still face some constraints, even though lockdown measures in China have been relaxed.
In June, sales of optoelectronic products accounted for 20% of total revenue, driven by strong demand for LED-based photocouplers for industrial, power supply and green energy applications. Coupled with electric vehicle (EV) charging devices and LED lighting for automotive applications, total optoelectronics sales in June were up 5% year-on-year.
Cloud and IoT products contributed 32% to total sales in June and were up 10% from a year earlier. Among them, power management systems for cloud servers, networking equipment, and power supplies for AI-based smart home appliances all enjoyed strong demand.
For the second half of 2022, Chiu believes that power supply systems for cloud server applications will serve as the primary growth driver, sales of invisible LED lighting fixtures and devices used in charging batteries for electric vehicles set to grow exponentially over the period.
Lite-On initially expected its laptop application shipments to remain flat or increase slightly in 2022, during which the overall laptop market is expected to contract by 4-6%.
However, Chiu said it remains to be seen whether the company should adjust its shipment outlook for laptop applications after factoring in the growing risk of a global inflationary spiral and deteriorating market conditions.