|Accton Announces its Q1/2007 Financial Report|
HsinChu News –Accton Technology Corporation announced its financial report for its fiscal 2007 first quarter today. The financial figures have been audited by an official accountant. The company posted for the quarter a net operating revenue of NT$3.163 billion and a gross margin of NT$468 million. Deducting an operating expense of NT$494 million and adding a non-operating revenue of NT$45 million, the net profit of the company before tax is NT$19 million.
Because SVAccton has officially been transferred to Arcadyan, this, in some extent, has affected the operating performance of the company. Nonetheless, the revenue from other products have filled the financial loss and minimized expenses so that net operating revenue presents only a slight drop compared to the year-ago quarter. The overall operation revenue was affected due to the operation expanse for the relocation of Accton production line to South-China factory in Q1. It is believed the relocation of production line and the scale expansion of South-China factory shall bring in the positive control on the operating expense by the end of the Q2, 2007.
As for non-operating income, brand-business SMC has continued to enhance its operating strategies and strengthen product quality and marketing plans. The efforts have made improvement on the overall financial figures, reducing loss tremendous. Other investment has also shown profitable figures, Accton was able to make a NT$4.5 million gain of additional revenue. The company also made profits from its other equity investments; Accton gained a total of NT$45 million non-operating revenue for its first quarter.
Accton states that it will continue to strengthen its cost control plans, not only to enhance operating revenues and supply chain performances, but also strengthen relations with EMS and ODM partners. With the growing market demand for enterprise network equipments and the company’s launch of new products such as enterprise network switch, Ethernet, and Wi-Fi mobiles phones, forward-looking performances are expected.
Accton's 2007 Q1 revenue is contributed by the following: Switch contributed 68% to the total revenue, hub and NIC card 1%, wireless LAN 23%, broadband gateway series 6%, and others 2%.