Thursday, April 5, 2012
Apacer Technology, which has moved to diversify away from its standard memory module business, saw sales of its solid state drives (SSD) and high-end industrial memory modules that come with higher ASPs increase more than 30% in 2011, according to the company.
Growth in the product segment helped it mitigate the impact of unfavorable conditions in the conventional memory module market during 2011.
Demand for DRAM modules shrank due to falling PC sales in 2011. Meanwhile, the market for conventional flash drives, memory sticks and cards became mature with little room for growth while also having gone through hard times during the year. Apacer, however, was able to generate a double-digit gross margin in 2011 buoyed by brisk sales of higher-margin products such as SSDs for industrial-control and embedded solutions.
Apacer expects to continue enjoying growth in what the company calls the "value-added" business, which consists of industrial SSDs and other high-ASP products, in 2012.
Apacer reported consolidated revenues of NT$9.39 billion (US$318 million) for 2011 with net profits arriving at NT$260 million. The earnings for the year translated into a net EPS of NT$2.02, down slightly from the NT$2.83 posted in 2010.
Another memory module maker, Transcend Information, posted a net EPS of NT$6.72 for 2011. Transcend has also moved its business focus to high-margin memory modules for industrial and other niche-market use.
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