News
TAIPEI — Leading ODM Compal Electronics reported second-quarter revenue of NT98.9 million, up 2% sequentially. Net income was up 25% to NT3.3 million.
Gross margins were flat, at 4.8%.
The company said it would invest $30 million in a notebook PC plant in Vietnam, with mass production scheduled for the end of 2009. With more than 85% of notebooks PCs coming from the Shanghai area, Compal president Ray Chen said investment in Vietnam could spread risk for its customers.
The company expects its Vietnam plant will produce 300,000 to 500,000 notebooks monthly, reported DigiTimes, with costs around 3 to 5% lower compared to its Shanghai plant.
The ODM also plans to invest up to NT$ 1.5 billion in Wah Yuen Technology Holding in exchange for a 71% stake in Hong-Ya Technology and JuRong Hauye New Technology, a pair of magnesium alloy casing manufacturers. Compal says the investment will strengthen its vertical integration.
Gross margins were flat, at 4.8%.
The company said it would invest $30 million in a notebook PC plant in Vietnam, with mass production scheduled for the end of 2009. With more than 85% of notebooks PCs coming from the Shanghai area, Compal president Ray Chen said investment in Vietnam could spread risk for its customers.
The company expects its Vietnam plant will produce 300,000 to 500,000 notebooks monthly, reported DigiTimes, with costs around 3 to 5% lower compared to its Shanghai plant.
The ODM also plans to invest up to NT$ 1.5 billion in Wah Yuen Technology Holding in exchange for a 71% stake in Hong-Ya Technology and JuRong Hauye New Technology, a pair of magnesium alloy casing manufacturers. Compal says the investment will strengthen its vertical integration.
HIALEAH, FL -- Simclar Inc., the world's 37th largest EMS company, reported June quarter sales rose 22% to $37.1 million on higher demand from existing and new customers. Net income nearly doubled, to $1.4 million, up from $709,033 in the same period in 2006.
Pre-tax income was $2.1 million, up from $1.3 million. Backlogs at quarter's end were $30.6 million, up 8.6% from the end of the first quarter.
In a press statement, chairman Sam Russell said, "We are beginning to realize the increased benefit of the vertical integration of our products. Our cash generation in the first half of the year has been good and has allowed us to make $1.5 million of additional bank loan repayments, over and above our scheduled repayments."
Pre-tax income was $2.1 million, up from $1.3 million. Backlogs at quarter's end were $30.6 million, up 8.6% from the end of the first quarter.
In a press statement, chairman Sam Russell said, "We are beginning to realize the increased benefit of the vertical integration of our products. Our cash generation in the first half of the year has been good and has allowed us to make $1.5 million of additional bank loan repayments, over and above our scheduled repayments."
SAN JOSE – SEMI today reported worldwide semiconductor manufacturing equipment billings reached $11.1 billion in the second quarter. The figure is up 3% sequentially, and about 15% year-over-year.
TAIPEI — Foxconn Electronics reported July non-consolidated revenues of $2.93 billion, up 2.6% sequentially and 39.5% year-over-year, on demand for consumer electronics, PCs and networking devices.
ARLINGTON, VA — Electronic component orders rose in July, boosted by a late rush in June that carried over into the next month, according to the latest monthly average compiled by the Electronic Components, Assemblies & Materials Association.
The 12-month average remained relatively flat, the trade group said.
Orders began picking up momentum in the last weeks of June and continued throughout July, maintaining a pattern of summer acceleration seen in past years.
In a statement, ECA president Bob Willis said, “It looks as if we are on the way to the third straight year of order growth."
The 12-month average remained relatively flat, the trade group said.
Orders began picking up momentum in the last weeks of June and continued throughout July, maintaining a pattern of summer acceleration seen in past years.
In a statement, ECA president Bob Willis said, “It looks as if we are on the way to the third straight year of order growth."
FRANKLIN, MA – On Sept. 13, Speedline Technologies will offer a Webcast on high-speed solder paste inspection techniques and tools. The one-hour presentation will start at 11 am EST.
Various inspection techniques and tools are available for process verification and defect detection. Specific areas of discussion will include process design, process control factors to limit defects, and inspection/process equipment available to discover defects as early as possible. Capabilities and benefits of printer 2-D inspection and 3-D AOI will be reviewed.
To register, visit www.speedlinetech.com/seminars.
LAKE FOREST, CA — EMS company Probe Manufacturing reported second-quarter sales fell 50% year-over-year to $1.8 million. Net profits rose 510% to $336,627 for the period ended June 30.
Cash from operations was $161,796, up from $44,143 for the same period in 2006. Debt was cut by $452,055.
Probe reported sales of $1.9 million in the March quarter.
"We are pleased with our results, as we marked the seventh consecutive quarter of positive net income from operations and debt reduction," said Probe CEO Reza Zarif.
For the quarter, half the revenue came from medical, aerospace and alternative energy business, up from 20% in 2006. Probe seeks to focus on the medical device manufacturing, aerospace and alternative energy industries, which management believes to be more stable and less likely to move offshore. Five customers accounted for approximately 77% of sales in the quarter, compared to 93% in 2006.
Cash from operations was $161,796, up from $44,143 for the same period in 2006. Debt was cut by $452,055.
Probe reported sales of $1.9 million in the March quarter.
"We are pleased with our results, as we marked the seventh consecutive quarter of positive net income from operations and debt reduction," said Probe CEO Reza Zarif.
For the quarter, half the revenue came from medical, aerospace and alternative energy business, up from 20% in 2006. Probe seeks to focus on the medical device manufacturing, aerospace and alternative energy industries, which management believes to be more stable and less likely to move offshore. Five customers accounted for approximately 77% of sales in the quarter, compared to 93% in 2006.
SHENZHEN – SMTA China announced it will sponsor the upcoming SMTA China South Conference 2007. Reed Exhibitions will support the conference in conjunction with the Nepcon China 2007 exhibition at the Shenzhen Convention & Exhibition Center.
It is scheduled to take place Aug. 27-30 in Shenzhen, China.
It is scheduled to take place Aug. 27-30 in Shenzhen, China.
This event will feature technical papers, workshops and training sessions, as well as the Emerging Technologies Summit and three symposia across seven tracks: manufacturing and assembly, advanced packaging, substrates, soldering, test/inspection/quality, process Control, and contract manufacturing/business issues.
Conference topics include 01005 assembly, 3-D system in package (SiP), package on package (PoP), Pb-free reliability, component supply integrity, legal responsibility of non-RoHS part/product entering Europe, materials and process characterization, and flex circuit assembly.
For more information and to register, contact Peggy Chen at +86-21-5609-3010 or peggy@smta.org.
EL SEGUNDO, CA – iSuppli Corp. has announced a free Webinar on the PMP/MP3 market. Time to Grow Up and Face the Music will take place Aug. 15 at 11:30 am EST.
Chris Crotty, senior analyst for consumer platforms at iSuppli will discuss market share figures for PMP/MP3 makers and their semiconductor suppliers; shipment and revenue forecasts, including media and product mix outlooks; market drivers; whether a viable challenger to Apple will ever arise, and the latest retailer and consumer demographic data.
The Webinar will answer such questions as, Will NAND flash be capable of meeting the storage needs of video-capable productions? Will PMP/MP3 makers be able to source sufficient supplies of NAND-type flash memory for their data storage needs? Can PMP/MP3 controller vendors continue to endure severe price erosion for their products? Which new technologies will help maintain the momentum of PMP/MP3 player sales?
The increasing pervasiveness of broadband connectivity, the rising availability of content, and the continued reductions in component costs have contributed to the portable media player and MP3 player markets becoming the fastest growing segments of the consumer electronics market today, says iSuppli.
Although Apple Inc. gets the lion’s share of attention in the PMP/MP3 player market, the market is highly fragmented, with about 100 product manufacturers supplying both OEMs and their own brands, says the research firm.
During the next few years, the number of companies in the business is likely to dwindle, as the less competitive players are acquired or are squeezed out of the market entirely, believes iSuppli.
SANTA CLARA, CA – EMS provider NBS Design Inc. has opened two PCB layout facilities in recent weeks.
The first, in Dallas, has been in operation since mid-July and is run by Russ Wirth. In mid-August, NBS will open its third layout operation, to be located in Nashua, NH; another PCB industry veteran, Kathy Descoteaux, will run that operation.
The eight-year-old company also has a design center and manufacturing facility in Santa Clara.
In a statement, NBS president Craig Arcuri says the “addition of two such prominent and experienced industry players” will help the company broaden its “national footprint.”
Arcuri was the founder of Design Solutions Inc., the network of PCB service bureaus that peaked at more than 100 designers before he sold it to Flextronics.
SAN FRANCISCO – The PC market is springing back to life, with benign pricing, favorable component costs, and improving unit growth, a leading analyst said.
In a research note issued today, Deutsche Bank’s Equity Research Group said PC unit growth will continue to accelerate through year-end, and consensus expectations for PC unit growth should trend toward the firm’s earlier prediction of 15%.
YAVNE, ISRAEL – Valor Computerized Systems announced second-quarter revenues rose 14.8% over the same quarter last year to $10.6 million. The software company’s net profit fell 32% to $681,000 for the quarter. Earnings before taxes, depreciation and other charges (EBITDA) fell 13% to $1 million.
Product revenue was up 16.5%, while maintenance revenue climbed 12%.
First-half revenues grew 18.7% year-over-year to $20.9 million. The company reported EBITA rose 19.9%, but earnings dropped 3.7% year-over-year.
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