Wafer Oem's Capacity Can't Keep Up, Duntai's Revenue Declined Again In November.

Duntai Electronics announced a combined revenue of NT$696 million in November 2018, which was affected by the traditional off-season, combined with the impact of the Sino-US trade war on customers'willingness to pull goods, resulting in a 16.47% monthly decrease in revenue.

At the same time, the capacity of IDC product line of Duntai integrated touch panel driver IC (TDDI) is still limited under the industrial trend of changing from external touch panel to embedded solution. Under the constraint of product shipment, it also reduces by 29.38% compared with the same period last year.

It can be said that the performance of Duntai's shipments in November showed a comprehensive decline compared with October. The number of IDC shipments was affected by the depletion of stocks and the limited supply of new wafer OEMs, as well as the time required to verify the new version of products.

Prior to this, Duntai was affected by the capacity constraints of wafer OEM, so that Duntai's third-quarter IDC shipments failed to play a peak season effect, only comparable to the second quarter. In terms of traditional TP chips and DDIC chips, although the market demand for traditional external panels declined, the shipment was stronger than expected, resulting in a total revenue of 2.53 billion yuan in the third quarter. NT$decreased by 7.4% in the quarter, NT$76.215 million in net profit per quarter, 4.6% in the quarter and 43.3% in the year.

In addition, the traditional off-season and customer demand for TP and LCD-driven IC products have turned conservative, and both have declined. Duntai's cumulative revenue in the first November of this year was NT$9.406 billion, a slight decrease of 5.71% over the same period last year.