Shine-D: Low-Earth Orbit Satellite Business Bears Fruit, Targeting Double-Digit Revenue Growth This Year

(Central News Agency, reporter Tseng Jen-kai, Taipei 11th) Shine-D, one of Apple's supply chain partners, is seeing results from its cultivation of new markets such as low-earth orbit (LEO) satellites, gaming equipment, and industrial PCs. Shine-D Chairman Tsai Chen-lung optimistically predicted today (11th) that the company's overall revenue this year is expected to achieve double-digit growth compared to last year. Due to the shipment of several new products starting in the second half of the year, the revenue ratio for the first and second halves is estimated to be approximately 4:6.

Shine-D reported a net loss attributable to the parent company of NT$180 million for the first quarter of this year, a swing from a profit of NT$188 million in the same period last year or a profit of NT$213 million in the fourth quarter of last year. The loss per share was NT$1, raising market concerns.

In a meeting with the media today, Chairman Tsai specifically explained that the first-quarter loss was mainly due to a client's product sales not meeting expectations. Shine-D recognized an inventory valuation adjustment of approximately NT$170 million in the first quarter for some prepared materials. The company is still in continuous negotiation with the client, and there is a possibility of partial reversal later. Secondly, affected by the fluctuation of the Renminbi exchange rate and the valuation of USD-denominated assets, Shine-D also recognized a foreign exchange loss of approximately NT$97 million in the first quarter.

Chairman Tsai stated that with the negative impact of inventory losses removed in the second quarter, operations are expected to return to a profitable state.

Looking ahead, Chairman Tsai said that Shine-D is actively cultivating the LEO satellite market. Last year, it entered the Starlink supply chain, providing wire harness connectors for ground receiving stations. This year, shipments are beginning to ramp up, and new items such as connectors and base mechanical components are being added.

Chairman Tsai indicated that the delivery value of Shine-D's LEO satellite-related products this year has more than doubled compared to last year. It is estimated that LEO satellites could account for 5% of total revenue this year. According to the client's public fundraising materials, it is expected to continue doubling next year, becoming a major driver of operational growth.

Secondly, Shine-D has also entered the new markets of gaming equipment and industrial PCs, initiating strategic cooperation with two US clients, including IGT (International Game Technology). They will provide gaming machines, ATM machines, etc., with shipments expected to begin in the second half of this year. Chairman Tsai stated that the clients have many product items, and once the door to cooperation is opened, there will be many opportunities in the future. (Editor: Lin Chia-hsien) 1150611