cens logo

Everlight's June Revenue Bucks Downtrend Among Taiwanese LED Peers

Jul 16, 2015 | By Ken Liu

Everlight posts stellar revenue result in June. Everlight posts stellar revenue result in June.
Bucking the sales revenue downturns among almost all of Taiwan's light emitting diode (LED) makers in June this year from the previous month, Everlight Electronics Co., Ltd.'s consolidated June revenue increased 10.38 percent month on month to NT$2.42 billion (US$78.32 million) to be the island's sole profitable maker of LEDs for lighting.

Executives of the world's No.1 LED packager by volume ascribe such growth mostly to the company's success in diversifying product portfolio and the rising demand incidental to falling prices of lighting LEDs since the market as a whole did not grow in June, during which the company shipped 20 percent more LEDs than in May.

They feel that despite the intensifying price competition across the industry, Everlight could be the only profitable maker in Taiwan's lighting-LED industry at the current price point thanks to its enormous economy of scale. They also project the company's shipment of lighting LEDs to surge 20 percent in the third quarter from the second quarter.

The June result helped push up the company's revenue for the first six months of this year 2.74 percent year on year, to NT$14.29 billion (US$461.25 million), although the company's consolidated revenue of NT$7.05 billion (US$227.51 million) for the second quarter represented a 2.5 percent drop from the first quarter.

Industry executives blame the recent underselling competition among LED-lighting makers worldwide on Philips' dumping of excess inventory.

Underselling competition in the LED lighting sector plus weak market for LED backlights hurt sales of most of Taiwan's LED makers in June, with chipmakers posting deeper declines than packagers.

Of the worse performers among the chipmakers was the plummeting rate of blue chip's average selling price (ASP) that saw double-digit drops. Blue chip is essential in most household LED light bulbs.

Industry executives point out the price of the chip began falling after Philips began dumping its LED light bulbs in the second quarter in North America far below US$2.7 apiece. They calculate that US$2.7 as the reasonable price point for the Philips LED bulbs based on the estimate that the average factory price of such  bulbs at US$2 and the reasonable retail profit margin of 35 percent.

Epistar Corp., the world's No.1 LED chipmaker by volume, had revenue of NT$1.91 billion (US$61.87 million) in June, down 15.52 percent from May to mark a second month of sales decline. The June revenue represented a 32.01 percent decline from the same month of last year.

In the Jan.-June period, the company's consolidated revenue totaled NT$13.41 billion (US$432.74 million), down 6.62 percent from the comparable period of last year.

But the company's executives point out that the company's revenue of NT$6.77 billion (US$218.38 million) for the second quarter showed an improvement from the first quarter.

Epistar Chairman B.J. Lee estimates the company's production lines for lighting chips to reach full capacity sometime in the second half of this year and lighting chip sales for the third quarter to exceed that in the previous two quarters combined, basing such bright business outlook on the projection that LED lighting prices would climb steadily soon after the unbridled competition in the second quarter.

Lextar Electronics Crop., an integrated manufacturer supplying almost every LED product including chips, packages, modules and lighting fixtures, saw its consolidated revenue for June drop slightly from May due chiefly to lukewarm market for LED backlights for information-technology systems such as PCs.

However, the company's consolidated revenue of NT$3.60 billion (US$116.12 million) for the second quarter represented a 2.8 percent increase from the first quarter and its revenue of NT$7.10 billion (US$229.09 million) for the first half represented a 1.37 percent gain from the same half of last year.

Ledtech Electronic Corp., a packager known for LED lamps used in refrigerators, had consolidated revenue of NT$140 million (US$4.51 million) in June, shedding 17.16 percent from a month earlier due to weak market for refrigerator lighting. Nevertheless, the company's consolidated revenue of NT$854 million (US$27.54 million) for the Jan.-June period represented a 1.37 percent increase from the same period of last year.

Industry Reports

K, the leading global plastic and rubber trade fair (Photo courtesy of Messe Düsseldorf/ctillmann)

K, The World's Leading Trade Fair for Plastic and Rubber Industry

Jul 24, 2020

2019 K Show, the leading global trade fair for the plastics and rubber industry, had been held in Düsseldorf on 16-23 October, 2019. There were 3,330 exhibitors from 63 nations proved impressively: plastics continue to be an innovative, indispensable material. But they also unanimously underscored the necessity of having operational circular economies along the complete material chain and to this...

Photo courtesy of CENS

Digital Healthcare & Technology at the Heart of Las Vegas CES 2020

Jul 14, 2020

■ Hubert Chih The number of healthcare exhibitors at the 2020 CES in Las Vegas increased significantly by 23% from 2019. According to the analysis and report by the CES organizer, digital healthcare and technology were the focus in the healthcare exhibition. In addition to the continued expansion of healthcare coverage, the reduction of healthcare costs, the improvement of effectiveness and th...

The Taiwan Hardware Show sees global buyer attendance. (Photo provided by Kaigo Co.)

Taiwan's Hand Tools Seeking Opportunities Amid Global Crisis

Jul 10, 2020

Due to the COVID-19 pandemic sweeping the globe, most of the international hardware shows slated for this year has been moved to 2021. However, as Taiwan’s efforts combating the new virus has proven to be successful, the 2020 Taiwan Hardware Show (THS) will continue as scheduled, beginning on Oct. 13 and ending on the 15th at the Taichung International Exhibition Center, thus becoming the only sh...

Industry In-Focus

SINOSTEEL Corporation: Rising price in Steel</h2>

SINOSTEEL Corporation: Rising price in Steel

Jun 05, 2020

Brazil’s new crown pneumonia epidemic has rapidly increased. Brazil’s Vale, the world’s largest iron ore producer, is facing an out-of-control impact. The market is worried that iron ore production and sales will be affected. new highs. Experts from Sinosteel (2002) evaluated that steel prices will rise steadily under the effect of rising costs, with a promising outlook. According to a legal p...

Apple Invests Millions in LED Plant in Taiwan</h2>

Apple Invests Millions in LED Plant in Taiwan

Jun 01, 2020

Apple is considering to invest over US$330 million in a factory in northern Taiwan to manufacture both LED and micro-LED displays for its iPhones, iPads, MacBooks, and other new devices. Apple is teaming up on the new factory with Epistar, Taiwan's top LED producer, and Taiwanese LCD panel maker, AU Optronics. The plant will be located in the Longtan branch of the Hsinchu Science Park and Appl...

Taiwan Machinery Was Applauded in COVID-19</h2>

Taiwan Machinery Was Applauded in COVID-19

May 18, 2020

What the epidemic showed was the amazing flexibility of Taiwan's machine tool industry. Taiwan, which has allowed the semiconductor industry to specialize in the past, has finally realized that these machine tool industries with amazing strength are the "invisible champions" of Taiwan's economy. In early February, three companies -- Habor Precision, Tongtai Machine & Tool and Taiwan Takisawa -...

Supplier News

With professional technics and rigorous quality control, Kung Hsing gains high-reputation in the industry</h2>

With professional technics and rigorous quality control, Kung Hsing gains high-reputation in the industry

Jul 23, 2020

Kung Hsing Plastic Machinery Co., LTD., founded in 1972, is the brainchild of the company President Tsai Chin-lien’s over 48 years of experience in designing and producing extrusion machines. The firm stood by its belief to uphold integrity and offer the best quality and services, eventually becoming a leader in the extrusion machinery industry in Taiwan. Kung Hsing currently has two factories; t...




Jul 21, 2020

■ Tseng Lung-nan Intype Enterprise has built up 55 years of experience in producing extruders, though the firm is placing greater consideration on rapidly degrading of the global environment. In the past 20 years, Intype has become an active contributor to building up a global ecosystem, enabling them to reuse the products manufactured by their own extruders and avoid further waste. The firm t...


YFCM Carbon Fiber Driveshaft Lauded in the field of Modified Cars for its Flexibility </h2>

YFCM Carbon Fiber Driveshaft Lauded in the field of Modified Cars for its Flexibility

Jul 14, 2020

■Hsiao Yung-le Yifeng Technology Co., Ltd. specializes in the research and development of carbon fiber transmission shafts and the manufacture of carbon fiber related products.The carbon fiber material has the characteristics of lightweight, impact resistance, fatigue resistance, and corrosion, and chemical stability is quite high. The product type is increasing in the extensive range with an ...


Insiders' Views

Caption: Pictured from front row, third right, Changhua County Government Economic Affairs Department Director Liu Yu-ping, County Magistrate Wang Huei-mei, Secretary Chen Bo-tsun pose in front of the exhibition booth. (Photo provided by CHCIA)

Changhua County Government Shores up Biz-Matching to Global Buyers

Nov 18, 2019

■Yang Feng-Chun In a bid to assist manufacturers in Changhua County to expand their market reach overseas against severe competition in the globalized market, Changhua County Government has been an active player in pushing for a makeover and innovation of its local small and medium-sized enterprises. This is done in hopes of establishing stronger connection with international markets. An ex...

Paul Master offers high-quality chassis and engines parts for passenger cars, trucks, and industrial trucks. (Photo courtesy of Paul Master)

Paul Master Builds Reputation with Auto Chassis and Engine Parts

Nov 18, 2019

Founded in 1980, Paul Master Auto Parts Co. is headquartered in Taiwan, a professional manufacturer of chassis and engines parts for passenger cars, trucks, and industrial trucks including forklifts. General Manager Terry Liang said the company has its own professional design department, which provides customized products and specifications for global buyers, including automobile steering and...


Nan Hoang Traffic Instrument Co., Ltd.</h2><p class='subtitle'>Taiwan First brakes Technology Co., Ltd. </p>

Nan Hoang Traffic Instrument Co., Ltd.

Taiwan First brakes Technology Co., Ltd.

Sep 04, 2019

Nan Hoang Traffic Instrument Co., Ltd is one of the major manufacturers of automobile friction materials in Taiwan and globally. Chairman Austin Cheng has implemented the double-arrow strategy this year - own brand of “YangPo” is adopted to focus on global channels while the “NHC brand focuses on improving market shares in global markets, such as Europe, America, Asia, Australia, and the Middle E...

Exhibition Highlights

Koelnmesse (Beijing) Co., Ltd.

Announcement on Postponement of China International Hardware Show 2020 (CIHS 2020)

Jul 10, 2020

In view of the continuous spreading of COVID-19 all over the world and the latest epidemic prevention requirements of China and the government of Shanghai, in order to guarantee the health and safety of exhibitors, purchasers and professional visitors, China National Hardware Association and Koelnmesse have prudently decided to postpone China International Hardware Show 2020 (CIHS 2020) from Augu...

Automechanika Shanghai 2020 creates channels for cross-sector collaboration</h2>

Automechanika Shanghai 2020 creates channels for cross-sector collaboration

Jun 16, 2020

This year, Automechanika Shanghai continues to serve the entire automotive value chain by offering opportunities for information exchange, marketing, trade and education. Both vertically and horizontally, from OE, vehicle production to the aftermarket, it incorporates all elements of manufacturing, supply networks, services, new business models and information technology. Companies across the...

Messe Frankfurt (Shanghai) Co Ltd

CAPAS defers to 2021

Apr 20, 2020

Following the Chinese Government’s initiatives to prevent and control the COVID-19 outbreak, the organisers of the Chengdu International Trade Fair for Automotive Parts and Aftermarket Services (CAPAS) have announced the defer of the show’s 2020 edition. The fair, originally scheduled from 21 to 23 May 2020, will now be held from 20 to 22 May 2021. In China, the State Council issued an announc...