Asustek Suffers 16% Revenue Decline MoM in July

Taipei, Aug. 13, 2012 (CENS)--Mainly fretted by market inertia caused by consumers awaiting the upcoming Windows 8, the Taiwan-based Asustek Computer Inc., a top-five PC brand vendor in the world by market shares now, scored revenue of NT$30.207 billion in July, down 16.1% from a month ago or 5.18% from a year earlier, according to the company's financial report.

The Nexus 7, a tablet PC jointly developed by Asustek and Google and having been sought-after by consumers worldwide since launched at the end of June, was originally regarded by market observers likely to further drive up Asustek's revenue in July. However, the reality is that hot sales of the device even failed to sustain the Taiwanese company's revenue mainly due to a significant decline in laptop shipment amid sluggish consumer demands. In addition to laptops, the company's motherboards sales were also moderate.

Asustek admitted that market demand for laptops and related components have turned slack, forcing it to slow product distribution in the month. The company furthered that the current market inertia is likely to linger into August and reverse in September, when a few new laptops featuring installation of Windows 8 will be launched.

Hopefully, the company will regain growth momentum starting in the fourth quarter of this year, when Windows 8 will be retailed.

Coincidentally, Asustek's major supplier of laptops, Pegatron Corp., also saw its combined revenue from contract manufacturing businesses dive 3.2% in July from June. But, benefiting from Asustek having achieved a bigger global market share so far this year than last year, Pegatron finished the first seven months with combined revenue of NT$394.7 billion, for a brisk growth of 66% over a year ago.