Genesis Photonics Expects to Fully Utilize Its Capacity in Late March or Early April 2012

Taiwan-based LED epitaxial wafer and chip maker Genesis Photonics, due to increasing orders from Sharp for backlighting applications for LCD TVs over 50 inches, expects to fully utilize its capacity in late March or early April 2012, according to company president Hsu Shih-hung. LCD TV backlights and lighting will each account for 40% of revenues in 2012, while outdoor LED displays will share 20%, Hsu said. While Genesis' revenues in 2011 grew by 50% from 2010, the company focuses 2012 operation on maintaining gross margin instead of pursuing revenue growth, Hsu indicated. Genesis will control capital expenditure in 2012 to below NT$2 billion (US$67.8 million) and therefore will slow down investment in LED epitaxial wafer production in China to wait for LED lighting demand to take off in 2013, Hsu said. Genesis will focus on a new LED lighting module in the second half of 2012 in a new marketing model that will promise that 90% of its epitaxial wafers can be sold, Hsu indicated. Source: www.digitimes.com