TAIPEI Aug 12 Taiwanese contract manufacturer
Pegatron Corp sees revenue in its communications and
consumer electronics segments growing 40-50 percent in the third
quarter compared to the last as it ramps up shipments for major
clients like Apple Inc and Sony Corp.
The company is grabbing more orders from Apple while the
California-based tech giant diversifies its suppliers and is the
sole assembler for cheaper iPhone models to be released next
month, according to sources.
"It does look like Pegatron will do better in H2 because of
its non-PC segment. It will mostly come from Apple's cheaper
iPhone and Sony's PlayStation 4," said Daiwa Securities analyst
Pegatron said it also expects its operating profit margin to
improve this quarter, after slipping 0.9 percentage points to
1.3 percent in the previous quarter due to an increase in setup
expenses for new products.
"We expect revenue in the non-computing segment to grow by
40 to 50 percent in Q3 due to new consumer products. Q4 will
also be higher," said company CEO and President Jason Cheng in
an investor conference.
Notebook shipments will decline by 5 to 10 percent, however,
while motherboard and desktop computer shipments will decline by
10 to 15 percent.
Technology blog AllThingsD reported on Sunday that Apple is
expected to present its redesigned iPhone on Sept. 10.
Pegatron currently makes older smartphone models for Apple,
including the iPhone 4S and iPhone 4, as well as the iPad Mini
and is set to help supply the upcoming cheaper iPhone model that
will come with five to six coloured plastic casings, sources
Pegatron reported on Monday a net profit of T$1.4 billion
($46.79 million) in the April to June quarter, below a median
forecast of T$1.8 billion by 15 analysts, polled by Thomson
The figure compares to a net profit of T$2.3 billion in the
first quarter and T$1.9 billion in the second quarter a year
Shares of Pegatron closed down 0.77 percent ahead of
earnings announcement, versus a 0.6 percent rise in the broader