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MediaTek, MStar reiterate sales guidance for 2011 Q2
Author:Sino-report    Source:DIGITIMES    Number of clicks :     Update time:2011-05-22 10:44
Sino-report News Center May 2011

MediaTek and MStar Semiconductor have reiterated their previous respective guidances for the second quarter of 2011 despite speculation that the China government's crackdown on gray-market mobile phones may cool demand and affect the sales performance of related IC companies.
The China authorities recently launched a crackdown on illegal handsets prior to an international sporting event, according to industry sources. Demand for handset-related chips is expected to drop in May, which would limit revenue growth for companies such as MediaTek, MStar, and driver IC suppliers ILI Technology (Ilitek) and Sitronix Technology, which usually see their sales depend a lot on the China market.
MediaTek said that its guidance for a sequential 5-12% growth in revenues for the second quarter remains unchanged. The company also claimed that shipments of its MT6252 solution will rise substantially in June.
MediaTek estimated consolidated revenues at NT$20.9-22.3 billion (US$727.82-776.57 million) in the second quarter. In April, it brought in NT$7.62 billion, down 2.4% on month.
Market watchers predict that MediaTek sales will continue to drop sequentially in May, but start rebounding in June.
MStar remarked that consolidated revenues would grow by up to 6% sequentially to between US$280 million and US$297 million in the second quarter. It generated NT$2.83 billion in April sales, down 11% on month.
 

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