Chilisin Consolidation Revenue- December.2018

2019-01-04

Chilisin Group announces December 2018 consolidated revenue of US$39.96 million, a 14.66% YoY growth and 40.01% YTD despite decreased MoM revenue of 13.74%.

 

Chilisin group announces its consolidated monthly revenue for December 2018 as US$39.96 million, this is an increase of 14.66% YoY and a decrease of 13.74% MoM revenue. If the newly merged company’s prior revenue is included in the calculation before the merger, then this month revenue decreased by 18.91% MoM and 15.46% YoY. The group’s YTD 2018 cumulative consolidated revenue reached US$581.93 million, increased by 40.01% YoY.
Chilisin’s individual revenue of December 2018 was US$13.45 million, decreased by 9.79% MoM and 22.39% YoY. YTD revenue of 2018 was US$215.07 million, an increase of 8.15% YoY.
MagLayers’ individual revenue of December 2018 was US$7.03 million, decreased by 22.72% MoM and 3.75% YoY. YTD revenue of 2018 was US$102.20 million, an increase of 4.98% YoY.
Magic’s individual revenue of December 2018 was US$3.78 million, an increase of 0.15% MoM but decreased by 26.10% YoY. YTD revenue was US$55.20 million, an increase of 4.77% YoY.
The December 2018 YoY revenue of the above three inductor companies has decreased mainly due to the China-US trade disputes that have not been thoroughly resolved in 2018, resulting in a strong wait-and-see, consumers tend to be conservative in the global electronic market. However, the group has been working deeply in mainland China branding market, and it is expected to have further business expansion in 2019. Furthermore, the Southeast Asia region is less affected by the trade war and has great potential for growth. The first and second plant of the Chilisin Vietnam have been running smoothly and will be able to respond to the impact of customers production base relocation. The Group's sales channels in Southeast Asia are evenly distributed and it is expected that revenues in 2019 will continue to grow steadily.
The group’s resistor business, Ralec individual revenue was US$11.92 million in December 2018, decreased by 19% MoM and 4.59% YoY. YTD revenue reached US$228.41 million, recording a substantial growth of 54.77% YoY. Ralec's December 2018 decreased revenue was mainly due to the distributors in Greater China continued to clear their inventory level in the fourth quarter of 2018, and the recent weakening of the global market demand as the revenue entered the low period. It is expected that the digestion of the channel inventory in the first quarter of 2019 will be behind, and Ralec's revenue will return to the growth track.
Ferroxcube, the group’s magnetic material business posted individual revenue of US$3.77 million in December 2018, decreased by 44.31% MoM and 24.81% YoY. YTD revenue was US$71.44 million, growing by 3.23% YoY. The main reason for the decrease in the revenue of Ferroxcube in December 2018 was due to the early closing of the customer's year-end inventory and the slowdown in demand due to the European and American holidays. In the fourth quarter of 2018, Ferroxcube has completed the debottleneck to expand production capacity. With the increase in the proportion of electric vehicles, it is expected to set a new record for shipments in 2019.
Looking forward to 2019, although the global economy may still be affected by the trade disputes between China and the United States, it is expected that the first half of 2019 will be likely ease, and the global automotive electronics market will continue to grow, as well as A.I. Artificial Intelligence and 5G application demand which are expected to be gradually risen in 2019. The Group has strengthened the depth and scope of RF and vehicle-related production lines and products, especially in the case of modular products, as new products will be launched in response to the global mainstream trends. The companies within the group have demonstrated their certain integration results in 2018, it is expected through the technology and marketing integration, a good growth momentum will still persist in 2019.

 

Company Spokesman
Wayne Tyan
Vice President
Phone : 886-3-5992646 Ext #387
Email: ir@chilisin.com

 

Company Deputy Spokesman
Meg Cheng
Special Assistant
Phone: 886-3-5992646 Ext#520
Email: ir@chilisin.com