Liquid crystal display panel maker AU Optronics Corp. (AUO) reported Thursday a surge in third-quarter profit, benefited from better market demand and higher panel prices. The company also said IT panels are likely to see seasonal slowdown during the fourth quarter, while demand for TV panels remains quite robust. The Hsinchu, Taiwan-based company's net profit attributable to equity holders of the parent was NT$ 7.3 billion, or US$ 228 million, significantly up from NT$ 806 million reported in the previous year. Earnings per share were NT$ 0.84, and US$ 0.26 per ADR unit. During the prior year, basic earnings per share equaled NT$ 0.09, or US$ 0.03 per ADR. Analysts polled by Thomson Reuters expected the company to report earnings of US$ 0.25 per share for the quarter. Analysts' estimates typically exclude special items. For the third quarter, the company generated consolidated revenues of NT$111.2 billion, or US$ 3.5 billion, up from prior-year's revenue of NT$ 104.1 billion, or US$ 3.23 billion. Analysts anticipated revenues of US$ 3.21 billion for the quarter.
The company noted that third-quarter revenues increased 35% from the immediately preceding second quarter revenues of NT$ 82.5 billion, or US$ 2.5 billion.
AU Optronics said its gross margin for the quarter improved to 11.7% from 8% last year and posted operating margin of 6.8%, up from 2.6% in the previous year.
During the quarter, AUO's shipment of large-sized panels increased to 26.7 million units from 20.72 million units in the third quarter of 2008. Small and medium-sized panels shipment reached 64.8 million units, up from prior quarter's 61.12 million units. For the nine-month period, the company's net loss was NT$ 19.4 billion or US$ 606 million. Loss per share was NT$ 2.26 and US$ 0.71 per ADR. In the year-ago period, net income attributable to equity holders of the parent was NT$ 47.8 billion, or US$ 1.484 billion and basic earnings per share were NT$ 5.62 or US$1.74 per ADR. Andy Yang, chief financial officer said, "We are glad that AUO has added its G8.5 capacity on time, and as a result we could increase our shipment of the large-sized TV panels remarkably. It proves that AUO has made the right investments in the right timing, enabling us to seize the growing market opportunities. This helped us to grow our market shares in China and emerging markets." Looking ahead to the fourth quarter, the company noted that although the IT panels are likely to see the seasonal slowdown, the demand for TV panels remains quite robust. "Therefore, we expect our utilization rate could sustain in the fourth quarter. By September 2009, AUO's 8.5G production has ramped up to 30,000 substrates per month, and is expected to expand to 40,000 substrates per month by end of this year," the company said. AUO closed Wednesday's regular trading at $9.82 on the NYSE.
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June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.