Wireless networking solution provider AboCom System has seen clear order visibility for the next five months, encouraging it to negotiate higher prices with customers, according to the company.
The company expects its third-quarter revenues to benefit from the price increases, but shortages of raw materials and chips will still negatively influence its revenue performances, as some of its orders for the quarter may not be fulfilled in time.
AboCom has seen the total amount of its orders reaching between NT$130-140 million a month in the second quarter, a traditional slow season, up 30% on year.
The company has also been expanding existing businesses such as memory devices, VCSEL chips and wafer reclaim and thinning services, with VCSEL chip development being the company's main focus.
AboCom has reported consolidated revenues of NT$104 million (US$3.39 million) for April, up 40.98% on year, thanks to demand from the stay-at-home economy and for 5G infrastructure. The company's consolidated revenues for the first four months in 2021 went up 17.16% on year to come to NT$548 million.
