Taiwanese LED factory’s revenue in July shows two trends: chips rising, packaging falling
The revenue of the Taiwanese LED group in July showed two trends: epitaxial growth and packaging decline. The sales of packaging manufacturers Everlight and Lextar both fell in July compared with June. Only Dongbei increased by 0.67% month on month, and the annual increase was as high as 40%. Chip factory Epistar benefited from the effects of production cuts, with revenue in July increasing by 3.52% month-on-month and 3.33% year-on-year.
Yiguang’s July revenue reached 2.267 billion yuan (NT$, the same below), a monthly decrease of 6.3% and an annual increase of 0.59%. The company said that the decline in revenue in July was mainly due to the deferral of some orders to August, and that it will see improved performance this month. The third quarter performance will still show an upward trend, with the legal person forecasting a quarterly increase of 8.47%.
Vertically integrated factory Longda’s revenue in July was 1.045 billion yuan, a monthly decrease of 10.31% and an annual decrease of 4.23%. Revenue performance was not as good as expected, mainly due to increased price pressure in the lighting market. However, backlight revenue is relatively stable. In the third quarter, high-end models such as wide color gamut and high contrast packages will be shipped. Coupled with the continued demand for CSP (wafer level packaging), revenue will improve.
Packaging factory Dongbei’s revenue in July was 706 million yuan, a monthly increase of 0.67% and an annual increase of 40.1%. Revenue increased significantly compared with the same period last year, mainly due to the lower base period at this time last year. Dongbei has recently been troubled by a patent war. The U.S. ITC ruled that Dongbei's products must be banned from import and removed from shelves. However, Dongbei said that the products found to be infringing were discontinued as early as Q1 last year, which had little impact on operations. Looking forward to the third quarter, Dongbei said that the lighting market will only increase its performance after August, and TV demand has already recovered, and revenue in the third quarter will increase slightly compared with the second quarter.
Epistar’s revenue in July was 2.18 billion yuan, a monthly increase of 3.52% and an annual increase of 3.33%; demand for backlight, lighting and four-yuan products rebounded simultaneously. In the third quarter, the industry is expected to challenge losses due to lower expense ratios and single-order shipments.
ANNA