Electronics Production | March 10, 2009
Videoton expects revenue to fall in 2009
Hungarian EMS-provider Videoton expects its consolidated revenue to drop by around 20% this year. The reason for this is an expected unit volume drop between 30 - 40%.
The EMS-provider tries to adapt to the changing conditions within the worlds economy, which however requires a stable exchange rate, calculable cost structure, stock of orders, as well as lower labour costs, bbj reports. The CEO, Péter Lakatos, believes that the financial and economic crisis is on the mend and Videoton aims to come out stronger than its competitors. About 50% of the company's revenue came from automotive industry orders, 20% from household appliances and slightly more than 10% from industrial electronics; the last 20% from computer, office, entertainment and telecommunications electronics. 2008 consolidated revenue fell 5%-10% in 2008, compared to the HUF 97 billion revenue in 2007, the report continues.