TAIPEI, Taiwan, February 23, 2013 - Aurora Corp. (Ticker: 2373 TT / 2373 TW) today announced fourth-quarter 2012 results ended December 31, 2012.
In the Spotlight
- Fourth-quarter EPS of NT$0.92, up 28%
- 2012 full-year EPS of NT$3.6, up 4.4% and hitting all-time high
- Fourth-quarter net profit of NT$124 million from company's China business, up 108% and contributing 44% of total profit in the quarter
- 2012 full-year net profit of NT$382 million from company's China business, up 48.8% and contributing 35% of total profit
"Throughout the fourth quarter 2012, we focused on fostering brand loyalty and increasing brand penetration in China to align with the trend among government agencies and state-owned enterprises to support local brands in their office equipment purchase activities. Therefore, brisk demand from the public sector contributed to our record revenue and profit from the China business," stated the company. "We also continued to experience efficiency gains from improved logistics systems and processes in China, which reduced our cost base and maximized profitability."
Revenue
In the fourth quarter, consolidated revenue decreased 15% to NT$2.94 billion from the year-ago quarter, reflecting the deconsolidation of Aurora Telecom. The company sold a majority stake of Aurora Telecom to Tsann Kuen, one of Taiwan's largest IT and consumer electronics retail chain, in October 2012. On a pro-forma basis, excluding the revenue from Aurora Telecom for comparable periods, fourth-quarter revenue would have grown 2.8% year-over-year.
For full-year 2012, the company reported consolidated revenue of NT$12.66 billion, down 2% from the prior year. On a pro-forma basis, excluding the revenue from Aurora Telecom for comparable periods, 2012 revenue would have grown 2%.
China continued to be a major source of revenue and profit thanks to the company's increased brand penetration there. For the fourth quarter, revenue from the China business increased 1% to NT$1.71 billion, representing 58% of total revenue. For full-year 2012, China revenue grew 1% to NT$6.33 billion to contribute to 50% of total revenue, versus 48% in 2011.
In the fourth quarter, the representation of revenue by business segment was as follows: Taiwan office automation (OA) 26%, Taiwan office furniture 4%, mobile technology 12%, China OA 18%, China office furniture 32% and China office equipment 8%. For full-year 2002, Taiwan office automation (OA) segment made up for 23% of total revenue, Taiwan office furniture 4%, mobile technology 23%, China OA 15%, China office furniture 26% and China office equipment 9%
Net Profit
Fourth-quarter net profit soared 26% to NT$282 million, or nearly NT$1 per share. Full-year 2012 net profit was up 2% to NT$ 1.09 billion, or NT$3.6 per share.
In 2012, profit from the China business was NT$124 million, setting a record high. The result reflected improved production efficiencies and increased manufacturing throughput following the completion of the company's six logistics support centers.
Other Highlights
The install base of color products continued to grow. During the fourth quarter, the color penetration rate, or color % of new copiers sold, was 14% for China and 43% for Taiwan, separately.
Of all business segments, the China office furniture segment posted the strongest growth with fourth-quarter sales setting an all-time record of 203 million RMB. For full-year 2012, the China office furniture segment generated sales of RMB 706 million, up 10% from the prior year.
Recent Events & Developments
- In recent months, Aurora was recognized as the most competitive Chinese brand in the category of multi-functional printers as well as the most reliable energy-efficient office appliance supplier for government procurement in a highly-regarded national ranking. Separately, the company was awarded the "Little Giant of the Year Prize" from the Government of Jiading District of Northwest Shanghai.
- Aurora System Corp., a listed subsidiary of Aurora (2433: TWSE), launched photocopier leasing in China in October. The new leasing service is expected to accelerate the penetration of the Aurora brand in mainland and boost Aurora's China OA business in the first year of its operation.
- Aurora's China office furniture business, with its rich history of award-winning designs and innovative concepts, was named the "Enterprise of the Year" at the annual party of China Furniture Association. Its new series garnered the "Most Successful Design Award", with a furniture piece "Cleaf" winning the industry's top honor of "China Design Red Star" for 2012.
- Now with the economic outlook showing signs of brightening, Aurora is confident of gearing up for an even better year. The company expects steady and consistent profitability of Taiwan's OA and office furniture businesses, while the strategy of driving large machine sales and develop public sector and large enterprise opportunities further entrenches the company's leadership. China will remain the engine of profit growth as the company's brand-building efforts continue to gain traction there.
Investor Relations Contacts
Ernest Ma, Spokesperson
+886-2-2345-8088
Ir@aurora.com.tw
About Aurora
Founded in 1965, Aurora Corp. reaches and serves customers with a broad portfolio of printers, multi-function devices, print services, office equipment and furniture that cater to businesses of all sizes in any industry.
Forward-Looking Statements
Except for statements in respect of historical matters, the statements in this press release are "forward-looking statements. "Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual performance, financial condition or results of operations of Aurora Corp. to be materially different from any future results implied by the forward-looking statements. Investors are cautioned that actual events and results could differ materially from these statements as a result of a variety of factors, including conditions in the overall market and economy, acceptance and demand for products, and technological and development risks.
The financial forecasts and forward-looking statements in this document reflect the current belief of Aurora Corp. as of the date of this document and Aurora Corp. undertakes no obligation to update these forecasts and forward-looking statements for events or circumstances that occur subsequent to such date.