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Chenming Electronic Tech. Corp.
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Taiwan's chassis manufacturer Chenming states that despite the 2007 revenue performance is not ideal, compared with 2006 reduced about 20%, and in the raw material prices unfavorable conditions, the company control is appropriate, so it has little profit in each quarter. Estimated in 2007 will end with some profit. It is expected that in 2008, the company will actively expand customers and new orders, and is expected to continue to improve. 2008 performance is expected to be better than in 2007, to resume growth track.
Chenming self-calculated 2007 revenue of NT$ 3.58 billion, compared with NT$4.482 billion in 2006, reduced by 20.13%. It is indeed slightly worse operating conditions in last year. Chenming specialized in PC chassis, also develops various types of desktop (DT) and server chassis, professionalized in the design and manufacturing capabilities. However, due to the slowdown of the DT industry, and the market competition is fierce, so that in the past 2 years of operating growth also follow the slowdown in 2007 also appeared in 20% of the recession.
The company stated that in recent years because the PC market is becoming increasingly saturated, industrial growth is slowing down significantly, so in this poor environment, the industry growth is indeed more limited. In the recent 2 year, the raw material prices goes up. Which also caused a large operating cost control Challenge, and the pressure on the operation.
The company then pointed out that despite the 2007 revenue decline, fortunately under the proper cost control and management, each single seasons also maintained a slight profit. The estimated operation result in the fourth quarter still can keep a small profit. The annual earnings should also maintain a small profit. But the detailed financial figures cannot be told until the final settlement of the company is done.
As for 2008, Chenming stated that the company will remain the development in the PC chassis industry, but the products will be diversified, and actively develop new customers and new orders. It is estimated the performance in 2008 will pick up, so for the 2008 operation prospects are also more optimistic than 2007, and is expected to regain growth momentum.
DIGITIMES/黃共鈿