Sunday, December 11, 2016
Search
  
Submit your own News for
inclusion in our Site.
Click here...
Breaking News
Apple AirPods Will Miss Holiday Season
Japan Display To Receive ¥50 bil. Support From Government
Google Said to Bring Internet To Cubans
Super Mario Run Won't Play Offline
U.S. Confirms Samsung and LG Dumped Washers
Xiaomi Electric Vehicle Launch on Monday, Yeelight LED Ceiling Light Launched
Hon Hai, Sharp To Build Massive LCD TV Plant In China
U.S. To Review Cyber Attacks Beyond 2016 Election
Active Discussions
Which of these DVD media are the best, most durable?
How to back up a PS2 DL game
Copy a protected DVD?
roxio issues with xp pro
Help make DVDInfoPro better with dvdinfomantis!!!
menu making
Optiarc AD-7260S review
cdrw trouble
 Home > News > Optical Storage > CD-R di...
Last 7 Days News : SU MO TU WE TH FR SA All News

Monday, September 02, 2002
CD-R disc makers post declines in 1H earnings


Taiwan’s major CD-R disc makers all reported sharp declines in first-half net profit from a year ago, hurt by slumping disc prices. Meanwhile, the future direction of CD-R prices remains unclear, as manufacturers take a wait-and-see attitude before rivals make pricing moves. Ritek, Lead Data and GigaStorage posted losses in the first half due to narrowing margins and foreign-exchange losses, despite up to 30% revenue growth year-on-year during that period.

These companies have also revised their earnings guidance for the full year, saying that they now expect a loss rather than a profit due to significant margin pressure. On a pre-tax basis, Ritek predicted a loss of NT$3.5 billion, Lead Data NT$424 million and GigaStorage NT$495 million for 2002.

CMC Magnetics and Prodisc Technology have fared relatively well, but both saw a severe downturn in earnings. CMC’s first-half net profit slid 75% year-on-year while Prodisc’s fell 55%. They didn’t give financial projections for the year.

Ritek expects a sequential loss for the current quarter, citing a market glut that leaves little room to raise prices to improve margins. Per-unit contract prices for blank CD-R discs have arrived at a low of US$0.14, nearing the NT$0.135 that it takes to make a disc and translating into a razor-thin profit in disc manufacturing.

CMC and Prodisc, more optimistic in their business assessment, said prices will stabilize around year-end after inventory returns to healthier levels in the current quarter, which would stimulate buying among distributors. They didn’t comment on their future pricing plans.


Previous
Next
Major music labels promote new CD format        All News        Major music labels promote new CD format
Major music labels promote new CD format     Optical Storage News      Major music labels promote new CD format

Source Link Get RSS feed Easy Print E-Mail this Message

Related News
China makers raise OEM prices for CD-R disc to US$0.09
Taiwan optical-disc makers unimpressed by cut in CD-R royalty
Taiwan second-tier makers raise CD-R OEM prices to US$0.10
CD-R to dominate China's blank optical disc market until 2007
September sales at Taiwan CD-R disc makers set to rise
Taiwan CD-R disc makers advance into high-speed products
Second-tier CD-R disc makers step up October price increase
Ineos Phenol plant fire to have limited effect on Taiwan CD-R disc makers
CD-R disc makers see weak sales for August
CD-R disc makers ramp up China production
PIDA: CD-R disc demand to ease this year
CD-R makers predict prices will rebound in September

Most Popular News
 
Home | News | All News | Reviews | Articles | Guides | Download | Expert Area | Forum | Site Info
Site best viewed at 1024x768+ - CDRINFO.COM 1998-2016 - All rights reserved -
Privacy policy - Contact Us .