Double-digit growth & better profitability

Increasing fast charger penetration is expected to increase charger ASPs and consequently smartphone charger market (in USD) still enjoys double-digit growth in 2016. Salcomp has built a strong reputation in fast charging solutions and won several projects. The fast chargers account for the majority of the budgeted growth in 2016 and the company expects this business line will support its overall double-digit growth target. Nokia (Microsoft) used to be the most important customer for Salcomp. The management however has prepared plans for scenarios in which Microsoft’s volume further declines. Microsoft’s declining volumes are expected to be the most drastic for Salcomp India. Fortunately, India is one of the fastest growing smartphone markets globally and Salcomp sees market conditions for local trade as favourable. The current economic climate is challenging but Salcomp believes the Brazil economy - where the company has a facility in Manaus - has bottomed out and is returning to growth latest in 2017.