Taiwan-based notebook battery module makers Simplo Technology, Dynapack International Technology and Celxpert Energy continue to enjoy better-than-expected orders from their notebook clients, according to industry sources.
The makers still have clear order visibility for the third quarter and have so far not seen any sign of deceleration for the fourth quarter, implying a possible continuation of stable order pull-ins by clients during the period, the sources said. However, the makers are still cautious about their operations in the fourth quarter.
The second quarter, traditionally a low season for the notebook market, turned out to be a strong one in 2020 in the wake of the coronavirus pandemic, the sources said.
Simplo currently has around 90% of its revenues generated by notebook batteries with the remaining 10% coming from batteries used in non-notebook applications including electric bicycles and datacenters. Simplo has reported consolidated revenues of NT$6.69 billion (US$225.19 million) for June, up 2.21% on month and 14.16% on year to hit the highest-ever amount for the month of June, driven by the rising stay-at-home economy.
Simplo's consolidated revenues in the second quarter of 2020 also grew 35.2% sequentially and 17% on year to come to NT$19.58 billion, a record for the second quarter.
Simplo expects its third-quarter sales to grow sequentially thanks to the order momentum for notebook and tablet batteries. With Europe and North America to begin unlocking cities, demand for electric bicycles is expected to see a strong recovery in the second half.
Simplo's orders for datacenter backup battery units (BBUs) are currently still growing stably.
Dynapack registered consolidated revenues of NT$1.82 billion for June, down 1.1% on month, but up 31.14% on year with those for the second quarter reaching NT$5.54 billion, rising 86.7% sequentially and 34.6% on year and hitting a quarterly record.
Dynapack originally expected its sales to nosedive in the fourth quarter, but has so far seen no sign of a major drop in orders from clients for the quarter. The company expects the stay-at-home economy to keep demand for battery strong in the second half.
Celxpert has announced consolidated revenues of NT$1.07 billion for June, up 3% on month, 17.7% on year to reach the company's second highest monthly record, with second-quarter consolidated revenues growing more than 70% sequentially and 38.8% on year to arrive at NT$5.11 billion, also a quarterly record.
In addition to notebooks, Celxpert has also entered the machine tool maket segment recently. The company is currently seeing stable demand for notebook batteries, but its machine tool product sales are undermined by worldwide lockdowns.
Notebook battery modules still see high demand
Photo: Digitimes file photo
Article translated by Joseph Tsai
