Backlight unit (BLU) maker Coretronic is expanding its production capacity in Vietnam and China to meet increasing market demand, according to Sarah Lin, president of its energy-saving device unit.
The company's overall production capacity will increase by 3.5- to 4-fold when the expansion projects are completed, Lin said.
The first-phase expansion project in Vietnam is to gear up its LCM capacity in the country, while the capacity ramp-up plans in China, which are set to complete in May, are dedicated to increasing its output for TV applications.
Besides, the company also plans to build a second plant in Vietnam, with the location for the new plant to be decided before the end of the second quarter, Lin revealed, noting that the second plant is likely to come online in 2023.
The firm has seen its orders visibility for its energy-saving devices, mainly BLUs, extend to third-quarter 2021, Lin said. Shipments of energy-saving products are likely to grow 10% sequentially in the second quarter, led by TV and PID (public information display) applications.
Its shipments of visual and image products, including laser TVs, LED lamps and projectors, are likely to grow 20% sequentially in the second quarter thanks to demand supporting work-from-home activities and a rebound in tournament events, said SY Chen, president of the company's visual solution business group.
Meanwhile, it has reported net profits of NT$386 million (US$13.89 million) for first-quarter 2021, down 7.6% sequentially but up 75-fold from a year earlier. EPS for the quarter stood at NT$0.93.
