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Monday, March 23, 2015

Assembler Pegatron's record 2014 profit puts Apple reliance in spotlight, (NMS: AAPL)

Strong iPhone 6 sales lifted annual net profit at Pegatron Corp, the Taiwanese assembler of Apple Inc, to a record high, as its chief executive questioned the company's reliance on smartphones to generate revenue. Pegatron on Monday said 2014 net profit rose 53.4 percent from the previous year to T$14.66 billion ($466.8 million).Fourth-quarter net profit also surged 68 percent to a record T$5.68 billion, as revenue from its communication devices business grew to account for just under two-thirds of its overall revenue, up from 30 percent in the same year-ago period.Asked about Pegatron's reliance on smartphones, Chief Executive Jason Cheng told an earnings briefing Pegatron was taking advantage of a good business opportunity.But he added: "It's definitely not a good thing to be too concentrated on just a few clients. But you can't avoid the fact that mobile phones have been fast sellers. When good business comes your way, how can you not take it?"

Apple Inc. (Apple) designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. Shares of AAPL fell by 1.25% or $-1.6/share to $125.90. In the past year, the shares have traded as low as $73.05 and as high as $133.60. On average, 57362500 shares of AAPL exchange hands on a given day and today's volume is recorded at 68741531.