The world is practically locked up at home and work activity is minimal due to the coronavirus pandemic. ASUS has released financial data for the first quarter of 2020 and they are extremely negative. Financial data is heavily impacted by the coronavirus, as was already predictable. The Taiwanese company has had revenues of 2150 billion euros, which is a drop of approximately 17.5%.
The drop in income compared to 2019 is very important. Although ASUS registers a fall of 17.5%, but even so this data is really spectacular. It should be noted that previous reports pointed to an approximate 30% drop, so the company's financial data has been very good.
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ASUS drops in revenue, but less than expected
Sy Hsu, ASUS co-CEO has reported that the coronavirus has negatively impacted the company, at least in the short term. Despite these negative data, Hsu is confident of achieving the medium and long-term goals. Something that should be relatively simple due to the wide range of products and the quality of these products.
They maintain their strength and have managed to mitigate the drop in income thanks to the laptops. The potential audience for these products are Chinese workers and students who have been highly confined. Due to confinement the demand for laptops has grown dramatically.
The data for the second quarter of 2020 may not be positive either, due to the confinement in Europe. But these effects are not a surprise, since with people confined, the amount of technology that is sold has been reduced. This is why Intel might be lagging the Comet Lake-S processors.
It is foreseeable that as the world returns to normal, large technology companies will return to their estimated revenues. Until then, the situation will remain quite difficult.
Source: DigiTimes
