Lighting Boom Drives Up Lextar's LED Sales

Taipei, Oct. 4, 2011 (CENS)--LED maker Lextar Electronics Corp. estimates sales from lighting will account for 50% of its revenue next year, up from this year's 40%, according to the company's chairman, David Su.

Su pointed out that the LED lighting market has picked up as a whole especially after a devastating earthquake hit Japan on March 11. Japan is currently the world's biggest single market for LED lighting.

Strong demand in Japan and the company's cooperation with an increasing number of multinational lighting markers have driven up Lextar's sales, Su noted.

Lextar, a subsidiary of LCD maker AU Optronics Corp. (AUO), has depended on LED backlight market for around 70% of revenue as AUO has been its primary customer.

Nevertheless, recent slump in backlight demands has compelled Lextar to switch sales emphasis to lighting. Su felt that penetration of LED-lit TVs will reach only 40-50% this year as a result of weak demand. However, he estimated the penetration rate will rise to 60-70% next year thanks to improved technology and lumen.

Weak demand has led to departures of many LED makers in mainland China from the market, which is conducive to stopping oversupply from deteriorating, Su noted.

The company has set up competitive advantage with its integrated manufacturing capability, enabling it to make almost every LED device from expitaxy wafer and chips to packages and lighting fixtures.

Lextar's Operation in LastThree Fiscal Years
Fiscal Year	2009	2010	1st H, 2011
Revenue	NT$2B.	NT$8B.	NT$4.1B.
After-Tax Net Income	NT$70M.	NT$1.2B.	NT$38M.
EPS	NT$0.04	NT$3.65	NT$0.1

Sources: Taiwan Stock Exchange Corp.