PC hinge maker SZS reports profit growth in 3Q11

   Date:2011/10/27

Taiwan-based PC hinge maker Shin Zu Shing (SZS), benefited from Intel's ultrabook products which helped raise demand for customized hinge, and saw its profit in the third quarter rise 120% sequentially.

SZS achieved net profits of NT$165 million (US$5.47 million) for the third quarter, up significantly from NT$75 million in the second, while EPS also rose from NT$0.48 in the second quarter to NT$1.04 in the third quarter with gross margin maintained at above 18%.

SZS pointed out that ultrabooks will drive ultra-thin design trends in the notebook industry and once consumers are used to the design, they are unlikely to accept old bulky designs. Although the current shipments of its ultrabook-use hinges are limited, the company expects shipments will increase in 2012 as demand for ultrabooks rises.

Normal hinges are priced at around US$1.5-2, but the hollow hinges used in ultrabooks are priced between US$3-5.

Source:digitimes

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