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Wistron reports lower margin for Q2

Wistron reports lower margin for Q2

Taipei, Aug. 13 (CNA) Taiwan's Wistron Corp. (??), one of the world's largest contract laptop makers, on Thursday reported a worse-than-expected operating margin for the second quarter, citing a scale back of operations capacity utilization. In the April-June quarter, Wistron's revenue was NT$146.073 billion (US$4.56 billion), its operating income was NT$19 million, and its earnings per share (EPS) was NT$0.03, according to its report. The results fell short of forecasts and dropped from an operating income of NT$817 million and an EPS of NT$0.3 in the first quarter. The company's operating margin also declined significantly from 0.54 percent in the first quarter to 0.013 percent in the second quarter. "The decreased margin was primarily due to continued model transition in smart devices, a cutback in operations and capacity utilization, weak PC momentum and a one-time employee bonus expense of NT$350 million that was booked in Q2," Wistron said in an emailed statement. Wistron Chairman Simon Lin (???) said at a shareholders'meeting on June 26 that he remained cautious about the company's notebook shipment growth in the second half of the year following the "frozen" demand from customers in May, which he attributed to delayed buying before the launch of the Windows 10 operating system in July. Wistron counts Hewlett-Packard Co., Dell Inc., Lenovo Group Ltd., Sony Corp. and Taiwan's Acer Inc. (??) among its notebook customers, according to local media reports. Shares in Wistron fell 3.08 percent to close at NT$15.75 in Taipei trade Thursday. (By Jeffrey Wu)


Updated : 2021-09-17 14:07 GMT+08:00