Transcend: April Fiscal Financial Results

Transcend Information, Inc.’s global sales revenue for the month of April totaled US$84.94 million, which is a growth of 14.9% compared to US$73.95 in March. As for the company’s monthly product shipment breakdown, flash memory products contributed to 59.2% of sales, while DRAM modules accounted for 21.4%. New product lines including digital music players, portable hard drives and digital photo frames amounted to 19.4% of the company’s total sales revenue. In addition, Transcend’s combined product shipment reached a total of 8.19 million pieces in April. The major contributors to this total were flash-based products, of which 2.02 million flash drives and 4.85 million flash cards were sold, amounting to YoY growth of 37.3% for flash cards. Shipments of DRAM-based products totaled 910,000 pieces, and new product lines reached 404,000 pieces, with a YoY growth of 84.1%.

Thanks to effective channel deployment and close cooperation with distributors, shipments of flash cards reached 4.85 million pieces in April, the second highest number ever recorded. Transcend continues to diversify its digital photo frame product line to meet different customers’ need. Consequently, there is an overwhelming response from the developed countries. In addition, Transcend is now the No.1 non-Japanese photo frame brand in Japan. As a result, the company’s sales of digital photo frames continued to grow, with a total of 34,900 pieces sold in April. Moreover, Transcend’s external hard drives, many of which are now equipped with industry-leading shockproof features, achieved a record-high shipment of 152,000 pieces in April. Sales of other strategic products including card readers, digital music players and solid-state drives also continued to grow steadily.

Transcend expects substantial shipment and sales revenue increases for both DRAM and NAND flash-based products in May, as the average unit price of products are predicted to remain stable due to steady NAND flash and DRAM chip prices. As for marketing its strategic products, Transcend will continue to strengthen its sales channels and collaborate with global distributors. In addition, Transcend is growing its sales infrastructure from existing IT, Photo Imaging and Telecom retailers to include other types of resellers. This expansion is designed to target different customers’ purchase behavior and further extend Transcend’s global sales scope.