MCU firm Holtek posts record profits for 2017

MCU specialist Holtek Semiconductor saw its net profits climb to a record high of NT$926 million (US$31.7 million) in 2017. EPS for the year came to NT$4.10.

Holtek posted consolidated revenues of NT$4.61 billion in 2017, up 11% on year, while net profits soared 18.1% from a year earlier to the record high.

Holtek generated revenues of NT$1.25 billion in the fourth quarter, up 11.1% sequentially, while gross margin grew 0.6pp to 48.4%. Holtek credited the revenue and gross margin growth to rising sales from China, appreciation of the Chinese currency and improvement in product mix.

Holtek reported net profits of NT$276 million for the fourth quarter, up 16.6% on quarter and hitting a record high. EPS for the fourth quarter reached NT$1.22.

Holtek enjoyed growing shipments of its 32-bit MCUs, MCUs for motor control and wireless charging applications in 2017, according to the company. Meanwhile, China as a proportion of company revenues climbed to 73% during the year, said Li.

Holtek's shipments of 32-bit MCUs exceeded 10 million units for the first time in 2017. The company shipped a total of 11.53 million 32-bit MCUs in 2017, up a robust 307% on year.

Holtek's MCU shipments for motor control applications also registered significant growth in 2017 reaching nearly nine million units.

Meanwhile, Holtek shipped a total of 124 million touch-panel MCUs in 2017, up 38% on year, while shipments for mobile power supply applications increased around 15%.

Holtek expects its performance during the first half of 2018 to be similar to that a year ago. Holtek's MCU shipments have been strong in January, when the company is looking to generate revenues of over NT$400 million.

Holtek forecast shipments of its 32-bit MCUs for 2018 will likely top 20 million units, while shipments for other applications will continue to grow.