Siu Han, Taipei; Joseph Tsai, DIGITIMES [Tuesday 22 July 2008]
Although LED demand did not surge during the industry's traditional peak season in the second quarter, LED makers are expected to see improved gross margins in the second quarter as compared to the slow season in the first quarter.
Affected by weak demand for LEDs used in backlight units (BLU) for small- to medium-size LCD panels, Unity Opto Technology saw its revenues in the second quarter drop 11% sequentially, but its gross margins are expected to increase to around 16-17%, up from 10% in the first quarter.
Bright LED Electronics' gross margins are expected to rebound to 20% in the second quarter, up from 14% in the first quarter. Market watchers also expect Epistar's gross margins to increase to 23-24% in the second quarter, up from 20% in the first quarter, while its earnings per share (EPS) will be around NT$0.5 (US$0.016)