02.26.2001
Etron expects 40% growth in 2001

• Etron Technology (5351 'Yu Chuang') reported 2000 EPS of NT$2.20, on net margin of 10%. Dividend for last year is not yet decided, but the company expects to issue stock dividend of NT$2, as in 1999.

• Etron expects 40% growth in 2001 revenue, to reach NT$4.7b, and is confident it can maintain net margin at 10%.

• The company also announced the launch of a new product, an LCD controller single chip. Etron claims the product offers 50% savings in cost structure when compared to existing products.The LCD segment is expected to achieve 10% of total revenue in 2001.

• We see product diversification as positive in terms of Etron's 2001 revenue forecast. The company's core business, memory products, is currently suffering under price cuts, which is hurting profitability.

AngelLo@Primasia.com +886-[0]2-2547-8865