Largan lands handset lens module orders from South Korea

Erica Yen, Taipei; Adam Hwang, DIGITIMES [Friday 1 February 2013]

Taiwan-based Largan Precision has, for the first time, obtained orders for lens modules from a South Korea-based smartphone vendor, company CEO Lin En-ping said at a January 31 investors conference, adding that South-Korea based vendors used to adopt Largan's handset lens modules through South Korea-based CCM (compact camera module) makers.

Market analysts indicated that the South Korea-based smartphone vendor is Samsung Electronics and Largan will begin shipments in the second quarter of 2013.

Due to a large increase in shipments of 8-megapixel lens modules, mostly for use in iPhone 5, in the fourth quarter of 2012, consolidated revenues and net profit for the quarter were respective quarterly records, Lin indicated. Of lens modules shipped in the fourth quarter, 40-50% were 8-megapixel models, 20-30% 1-megapixel and 10-20% 5-megapixel ones.

Largan expects shipments and consolidated revenues for the first quarter of 2013 to decrease over 10% on quarter but the corresponding ASP will remain unchanged, Lin said.

Largan: Financial report, 4Q12 (NT$b)
item	4Q12 amount	Q/Q	2012 amount	Growth from 2011
Consolidated revenues	8.583	90.23%	20.072	25.57%
Gross margin	45.04%	up 4.34pp	41.58%	down 1.84pp
Net operating profit	3.269	121.67%	6.781	23.92%
Net profit	2.869	147.22%	5.577	7.28%
Net EPS (NT$)	21.39		41.58%

Source: Company, compiled by Digitimes, February 2013