Taiwanese CD-R disc manufacturers expect to see their revenues grow continuously in September, but their earnings still lag far behind targets set for the year. The article doesn't tell why this happens.
Even though most CD-R disc manufacturers see third-quarter earnings increasing substantially from the previous two quarters, unless revenues in the fourth quarter at least match those of the third quarter, they may have to rely on disposing of non-operating investment gains to reach their full-year goals. |
The companies have been actively developing high gross margin and higher-priced products such as 24x and 32x CD-R and DVD discs. However, contribution from these new products does not seem to be pronounced. Now they can only hope that CD-R disc prices in the fourth quarter can be maintained at third-quarter levels.
Source: Digitimes.com
