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Handset component makers braced for strong sales in 2Q18
Source: DIGITIMES   Editor: Helan   Update Time :2018/4/10 17:27:36

Upstream component makers in the handset supply chains are braced for brisk sales in the second quarter of 2018, buoyed by the launch of new models and the replenishment demand for components by vendors, according to industry sources.

New smartphone models launched recently include Samsung's Galaxy S9 devices, Sony Mobile's XZ2, Huawei's P20 series, Xiaomi's Mi MIX S2 and Oppo's R15.

Sales of the Galaxy S9 products have been better than the previous Galaxy S8 series and are expected to reach over 40 million units in 2018, estimated the sources.

Powered by the high-end Xperia XZ2, Sony Mobile is expected to ship over 16 million smartphones in fiscal 2018 (April 2018-March 2019) compared to 15.5 million units estimated for fiscal 2017, the sources indicated.

Component suppliers included in the supply chains of Huawei, Xiaomi and Oppo are expected to see their sales increase 15-20% sequentially in the second quarter as these smartphone vendors have begun to replenish their component inventories since the end of March, noted the sources.

Component makers will also see their profitability improve in the second quarter as Huawei, Oppo and Xiaomi have been using more high-priced components as a means to enhance their deployments in the primary smartphone segment, said the sources.

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