LED chip packager Unity Opto Technology's July 2010 revenues fell 4.7% on month to NT$702 million US$22.09 million but rose 74% from a year earlier. Revenues from January through July increased 109% to NT$3.95 billion versus NT$4 billion for the entire 2009.
The Taiwan-based company cited component shortage and inventory digestion by downstream customers as the reasons for the revenue decline in July, but added that with new clients in backlight unit BLU applications and growth from the lighting device segments in the third quarter, revenues should remain strong.
LED epitaxial wafer maker Lextar Electronics, an AU Optronics AUO subsidiary, posted a 10% monthly revenue decline in July with NT$926 million, but up 239% on year.
Some market watchers are now worried that sales drops by the two LED players are indicative of a widespread slowdown in the LED market as downstream panel makers and TV, notebook and monitor vendors begin to adjust inventory.
However, fellow LED chip packager Harvatek registered a 12.1% monthly rise in July sales to NT$351 million, and first-tier packager Everlight Electronics is also expected to report sales growth for the month.
Upstream LED chip makers including Epistar, Formosa Epitaxy Tekcore and Genesis Photonics are projected to report growth in July with several companies continuing to see orders in excess of capacity.
