Printer Friendly

ACER GROUP POSTS STRONG FIRST-HALF GROWTH; MODULAR ASSEMBLY, NOTEBOOK SALES AND DRAM PROFITS BRING SOLID RESULTS

 SAN JOSE, Calif., July 28 /PRNewswire/ -- The Acer Group enjoyed strong increases in both profits and revenue during the first six months of 1993. Financial results for The Acer Group indicate net revenues of more than US $742 million for the first half of the year, an increase of 38 percent over the same period last year. After-tax earnings were estimated to be approximately US $16 million in the first half of 1993; a significant improvement compared to the US $2 million reported for the same period last year. Acer America Corp., a subsidiary of the Acer Group, posted first-half results of US $184 million, an increase of 47 percent compared to the US $125 million posted during the comparable period a year ago.
 Ronald Chwang, Acer America's chief operating officer, commented, "Acer America's branded PC business has grown substantially through distribution and through retail sales through CompUSA, Best Buy, Wal-Mart and other outlets. Despite pricing pressures throughout the industry, Acer's distributed manufacturing system put into place earlier this year has enabled us to deliver the products consumers want through the channel they want to buy from. In particular, we see a great demand for our newly introduced notebook product."
 In the last quarter, Acer America announced a portable RS/6000 workstation manufacturing agreement with the IBM Corp. Austin, Texas Advanced Workstation and Systems Div., a series of EPA compliant "Green PCs," and a new line of Acer notebook and desktop computers. Acer demonstrated its AcerFormula, based on the MIPS R4000 process, high-performance Windows NT personal computer at Spring Comdex during Microsoft Corp.'s announcement of its powerful new operating system.
 The Acer Group chairman and chief executive officer, Stan Shih, said, "The Acer Group focused on time-to-market modular assembly strategies, increasing notebook computer volumes, and enjoyed profitability in the production of DRAMs at our TI-Acer semiconductor plant in the first half of this year. We hope that these factors, together with several large OEM (Original Equipment Manufacturer) orders we have in backlog, along with growth in our motherboard and chipset businesses, will create outstanding results for 1993 and beyond. Acer's financial results further demonstrate our on-going commitment to be a competitive player in the worldwide personal computer industry. In particular, we believe Acer America will serve as a growth engine for us in markets ranging from retail personal computers to enterprise-wide computing."
 In addition to existing manufacturing facilities in Malaysia, Taiwan, the United States and The Netherlands, Shih noted Acer has established 10 additional manufacturing sites around the world.
 Acer's notebook computer shipments increased 150 percent in the first half over the same period in 1992, effectively putting Acer's annual run rate capacity at 200,000 units. In addition, output at the TI-Acer semiconductor plant, Acer's joint venture with Texas Instruments, continues to rise, with current monthly production capacities of DRAMs exceeding two million chips.
 Acer is a worldwide organization with 52 offices in 16 countries, and a network of more than 100 distributors and 10,000 dealers operating in nearly 100 countries. Its product lines range from high-end, multi-user platforms to leading-edge PCs, notebooks, peripherals, ASICs and BIOS. In 1992, Acer introduced the Personal Activity Center, the first PC ever to integrate communications, consumer electronics and multimedia technologies in a user-friendly environment.
 In 1993, Acer's development of a 64-bit Performance-Enhanced I/O and CPU Architecture chipset (PICA) enabled the design of advanced PCs that operate at more than twice the speed of current Intel 486 models but are priced at 486 levels. Acer's ChipUp(TM) technology, the world's first single CPU 386-to-486-and-above processor upgrade solution, was developed in 1991, and licensed to Intel Corporation of the US in July of 1993. In 1992, Acer reported approximately US $1.2 billion consolidated sales and US $2 million in after-tax earnings.
 NOTE: Acer is a registered trademark and ChipUp is a trademark of The Acer Group. All other products, brand names or companies are trademarks or registered trademarks of their respective companies.
 -0- 7/28/93
 /CONTACT: Lee Cannon or Michelle Fitts of Acer America, 408-433-3627; or Lerry Wilson or Caroline Hughes of Wilson McHenry, 415-592-7600, for Acer America/


CO: The Acer Group; Acer America Corp. ST: California IN: CPR SU: ERN

GT -- SJ004 -- 6571 07/28/93 08:03 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jul 28, 1993
Words:711
Previous Article:ACUSON REPORTS 2ND QUARTER 1993 RESULTS
Next Article:IRT PROPERTY COMPANY REPORTS INCREASED EARNINGS AND FUNDS FROM OPERATIONS
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters