<Electronics stocks News>

Synnex profit soared in Q1’18. The performance for Q1’18 after the review by CPA: Consolidated revenue was NT$89.3bn, grew with +17%(YoY), hit the historical record high. Net income grew by double increase, compared to the same period in prior year. PAT reached to NT$2.25bn and EPS was NT$1.35 with strong growth of +97%(YoY).

In Q1’18, as a result of comprehensive channel coverage and market share increased, the major growth is coming from strong core products growth. For those new business and new products, it also starts seeing robust growth and successful results.

For the core products: device products, such as NB/desktop and mobile phones, grew +22% and +39% lead by the enterprise replacement cycle and new product launch. Due to government and enterprise endures digital transformation and enhancement of information security, data center related products, such as server/storage and networks security, grew +16% and +62% respectively. As for PC components such as graphic card and storage/SSD, the growth came to +291% and +82% respectively, thanks to increasing demand from Bitcoin mining and eSports.

For the new products: since Synnex Cloud Service Platform launched in 2016, the revenue had continued strong growth and was reaching to +80% growth in Q1’18 again. AIoT related products grew +132% due to continuous expansion in new products, new application, and new customers. Smart devices such as smart speaker and drone etc. due to successful integration with global notable brands including Google/Amazon/DJI, revenue also grew +195%.   

Looking forward to Q2’18, from the recently announced of April’18 revenue with aggressive growth +19%(YoY), Synnex expects the business performance in Q2’18 will continue the growth momentum as Q1’18. Synnex believe the new development of new products, new markets, and new channels have leaded the company into new growing cycle.

In addition, BOD have resolved and declared cash dividend of NT$2.2 per share for 2017.