AAC Technologies, a heading retailer of electronic micro-component systems to Apple and other vital smartphone brands, foresee clever quarterly enlargement and serve business enlargement after stating higher-than-expected gain in a initial half of this year.
Shares of AAC rose 1.74 per cent to tighten to a record high HK$82 on Friday, following a halt financial formula announcement.
In a filing to a Hong Kong batch exchange, AAC reported a 9 per cent boost in halt net distinction to 1.35 billion yuan (HK$1.57 billion), adult from 1.24 billion yuan in a same duration final year, on a behind of softened sales of a acoustic micro-components and a top second-quarter sales in a company’s history.
In a media briefing, AAC handling executive Richard Mok pronounced a company’s sequence book was plain and a tube of new business stays strong.
“The association is in a heading position to gain on a mobile device market’s accelerating direct for audio opening upgrades and augmenting adoption of integrated radio magnitude (RF) automatic solutions,” Mok said. “The association sees good event for serve patron diversification and will continue to build a clever record substructure for a non-acoustic [product] segments.”
Shenzhen-based AAC reserve tiny acoustic and non-acoustic components to Apple, Samsung Electronics, LG Electronics and vital Chinese smartphone brands, including Huawei Technologies, Xiaomi, Lenovo Group, ZTE, Oppo, Coolpad and Meizu.
The association reported a 26 per cent annual arise in turnover in a second entertain to 3.02 billion yuan.
Total halt income grew 18 per cent to 5.56 billion yuan from 4.71 billion yuan a year earlier.
AAC’s operation of audio micro-component systems includes receivers, speakers and microphones, that are used on a iPhone, iPad and Apple Watch. Sales of these components done adult 61 per cent of sum sales in a initial 6 months of this year.
It also has non-acoustic parts, such as RF automatic products that mix antennas with steel support solutions, as good as exclusive haptics vibrators.
Haptics refers to a record used on mobile phones and smartwatches that capacitate a user to feel a pleasing prodigy when interacting with an application. Video diversion controllers have used this record for years, though a adoption for supposed intelligent wearable inclination could make haptics partial of many bland applications.
Jefferies equity researcher Ken Hui foresee annual income enlargement of 24 per cent for AAC in a second half of this year.
“We continue to see upside … with higher-than-expected share in iPhone 7 haptics,” Hui said.
Apple is widely rumoured to be scheming for a launch of a new iPhone 7 models in a subsequent few weeks.
Kylie Huang, an researcher during Daiwa Capital Markets, pronounced in a news that AAC is approaching to suffer “a 50 to 60 per cent normal offered cost (ASP) boost for a entrance new iPhones over a stream models, if not more, that is aloft than a progressing guess of 30 to 50 per cent increase.
“For haptics, we pattern a ASP boost from spec upgrades to equivalent [initial] iPhone volume
Mok forked out that a growth of “internet of things, practical existence and protracted existence have also non-stop adult new opportunities for a company.”
He pronounced those technologies will “surround a smartphone with innovative, engaging applications to promote interactions with a universe during large.”
He added: “As a inclination get thinner and lighter, performance, product pattern and automatic formation turn essential considerations.”