LED driver IC designer Macroblock has estimated that ASPs of LED driver ICs are likely to fall 12-15% on average in 2011 causing the company's revenues for the year to grow by only 10-15%. The company registered revenues of NT$1.85 billion (US$62 million) in 2010, up 44% from a year earlier.

However, Macroblock will manage to keep its gross margin above 40% in 2011 by ramping up the capacity for LED driver ICs and strengthening its presence in the lighting and TV backlight segments, according to the company.

Gross margin stood at 40.9% in 2010, while net profits totaled NT$307 million, translating into an EPS of NT$9.3.

LED solutions for TV backlight and lighting applications, including those for the construction industry, accounted for 8-10% of the company's total revenues in 2010, the company revealed.

Shipments of LED driver ICs in 2011 are expected to grow 20-25%, buoyed by strong demand for LED display products from tier two and three cities as well as the high speed rail sector in China, the company noted.