Acer Q2 loss exceeds forecasts, sees improvements

Reuters News
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Posted: Aug 24, 2011 12:52 PM

TAIPEI (Reuters) - Taiwan's Acer Inc reported a worse-than-expected quarterly loss, the first in its company history, hurt by one off charges.

The world's No.2 PC vendor posted a net loss of T$6.79 billion ($234.32 million) in April to June, above a consensus forecast of a T$3.3 billion loss from six analysts polled by Reuters.

The figure also compared with a net profit of T$1.19 billion in the first quarter and a net profit of T$$2.65 billion in the same quarter a year earlier.

Acer attributed the big loss to $150 million in charges to clear channel inventory in Europe, $30 million for a reorganization in Europe, inventory clear-up due to a sluggish economic situation and senior executive severance pay.

"In Q3 2011, Acer expects revenue growth and improved gross margin quarter-on-quarter. As for Q4 2011, Acer anticipates a stable business operation and better gross margin from Q3," the company said in a brief statement.

It did not elaborate further.

($1 = 28.977 Taiwan Dollars)

(Reporting by Clare Jim; Editing by Jonathan Standing)