Wintek and Emerging Display Technologies (EDT) have both posted consolidated net losses of NT$674 million (US$21.106 million) and NT$44.194 million, respectively, for the first half of 2010.
Wintek's consolidated revenues totaled NT$20.684 billion in the first half of the year. Gross profit for the period came to NT$611 million, but operating losses amount to NT$681 million.
Wintek is expected to report profits for the whole of 2010 thanks to growing sales of high-margin capacitive touch panels, market sources noted. Touch panel revenues have exceeded 50% of Wintek's total revenues amid surging demand for such products as Apple's iPhone and iPad, the sources said.
Wintek has stopped producing color-STN panels and it will also phase out mono-STN production in 2011 after fulfilling all existing orders at the end of 2010, the company noted.
EDT's consolidated revenues reached NT$1.804 billion in the first half of 2010. Gross profit was NT$167.049 million with operating loss of NT$47.133 million for the period.
EDT expects projected capacitive touch panels to become a major revenue growth drive as shipments increase. Currently, revenues of STN products still account for a high proportion of EDT's revenues, sources said.
Eyeing higher revenue contribution from the touch panel segment, EDT plans to step into touch panel module production, the sources said. EDT currently supplies touch sensors only, the sources noted.
EDT's board of directors has approved a plan to issue new shares to raise NT$360 million for purchasing equipment and paying back loans.
Article translated by Yvonne Yu
