In the first eight months of 2010, Ledtech's average gross margin for product
assembly business from was about 36% .The company expected the average gross
margin in 2010 to remain at 30% despite lower LED lighting business margins.
Also, the company planed to the percentage of product assembly business
accounting for its combined revenues in 4Q could jump to around 60% from 54%
now, with the annual average to be around 50-60%, up from 53% in 2009. The
remaining revenues contribution was from the company's component business.
The company already raised its SMD LED capacity from 40 million units in early 2010 to 60 million units currently and was planning to expand its LED light bar capacity to 100,000 units by year-end.
Recently, Ledtech expected to have a chance of landing more orders by the end of 2010. It had sent low temperature light bar samples to Taiwan's retail stores and received LED orders from Taiwan's Railways Administration for supplying 400 LED lamps to Taoyuan train station. At the same time, the company had started shipping a small volume of orders to Japan. But in Europe market only had limited opportunity.
The company already raised its SMD LED capacity from 40 million units in early 2010 to 60 million units currently and was planning to expand its LED light bar capacity to 100,000 units by year-end.
Recently, Ledtech expected to have a chance of landing more orders by the end of 2010. It had sent low temperature light bar samples to Taiwan's retail stores and received LED orders from Taiwan's Railways Administration for supplying 400 LED lamps to Taoyuan train station. At the same time, the company had started shipping a small volume of orders to Japan. But in Europe market only had limited opportunity.
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