Micronic: Display delays denting 1H06 results

June 16, 2006 – Postponed capacity increases from some display customers have caused Micronic Laser Systems AB, a provider of laser pattern generators, to reduce its outlook for 1H06 orders by a third, to SEK400 million (US $54.4 million). Sales are still seen exceeding SEK 700 million ($95.1 million) for 1H06, while the outlook for full-year sales has been slightly reduced to about SEK1.5 billion ($203.9 billion), instead of exceeding that number as per earlier projections.

Several display suppliers have postponed capacity increases anticipated for early in 2006, noted Sven Lofquist, president and CEO of Micronic Laser Systems AB. “Our customers are now holding back their production and investment rate so that the market can catch up with the capacity expansions carried out in recent years. As a result, we expect a weak market for display pattern generators throughout the remainder of the year,” he stated.

Lofquist noted that the company’s assessment of demand in the semiconductor market for its laser pattern generators is unchanged, with expectations that the company will “significantly increase its market shares during the year.”


Easily post a comment below using your Linkedin, Twitter, Google or Facebook account. Comments won't automatically be posted to your social media accounts unless you select to share.