As demand for LED lighting products is heating up amid the improving global economy, Epistar is expected to see its gross margin rebound this quarter after posting a record loss last year.
Because of a decreased utilization rate and continual price decreases, Epistar last quarter posted a net loss of NT$1.11 billion (US$37.18 million) after booking an impairment loss of nearly NT$500 million by shutting down one facility previously owned by its subsidiary Huga Optotech Inc.
In 2011, the company reported a net loss of NT$286.23 million, or NT$0.56 per share, company data showed.
Increasing global demand for LED lighting products might ease the company’s price pressure this year, Lee said, the company’s estimated prices of LED lighting products would fall by between percent 15 and 20 percent this year.