Cooling module maker Auras sees revenue share of non-notebook business rise - ResearchInChina

Date:2010-12-20liaoyan  Text Size:

Taiwan-based cooling module maker Auras Technology is already seeing its revenue share from non-notebook cooling modules increase to about 30% in the second half of 2010 and the share is expected to rise even higher in 2011.

Auras' non-notebook cooling module product lines only contributed about NT$50 million (US$1.67 million) per month in the first half of 2010, but as its US clients started placing extra workstation cooling module orders in the second half, the company's monthly revenues from non-notebook business already rose to NT$80 million, accounting for about 30% of total revenues.

Since non-notebook cooling module products, such as cooling modules for graphics cards, servers, enterprise desktops and workstations, all have a gross margin above 20%, higher than Aura's average of 12-15%, market watchers believe the company's rising revenue share from non-notebook product lines in 2011 will boost its profitability.

In addition to developing high gross margin products, Auras is also working on reducing costs and is set to increase its heat-pipe capacity from only 1.2 million units each month currently to 2.5 million units in 2011 and the volume should help satisfy 80% of the company's in-house demand, up from the current 40%.

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