06.18.2001
Delta able to weather tech downturn well

• Development: Delta forecasts 2001 revenue of NT$56b and net earnings of NT$5.2b, resulting in 10% and flattish growth for the year, respectively.

• Analysis: Given Year-to-May revenue being only 33% to target, the revenue goal seems difficult to achieve. The company sees a large shipment of wireless products starting from 3Q, backing the 50.2% revenue growth target for its networking division.

• Primasia View: Delta is well positioned to get through the current technology downturn with strong management and a client base comprised of mostly top tier PC makers.

Vincent@Primasia.com +886-[0]2-2547-8868