Asus and Acer believe that the sluggish PC sales will rebound in the second half of this year
Last month, a statistical agency released the latest quarterly PC tracking data, indicating that PC shipments in the first quarter of 2023 continued to decline, dropping by 29% year-on-year to 56.9 million units, falling short of the previous quarter’s 67.2 million units. All manufacturers experienced declines exceeding 20%. Factors such as a global economic slowdown, excessive inventory levels among channel partners, and diminished post-pandemic demand have all impacted PC shipments.
According to UDN, both ASUS and Acer, two major PC manufacturers, believe that the sluggish PC sales will rebound in the second half of this year.
Acer recently announced its financial results for the first quarter of 2023, reporting revenues of NTD 524.6 billion, a 12% quarter-on-quarter decrease, and a 33% year-on-year decline. Gross profit amounted to NTD 53.6 billion; operating net profit stood at NTD 2.39 billion, plummeting by 92% year-on-year. After-tax net profit reached NTD 5.15 billion, a 77% year-on-year decline. Gross margin was 10.2%; earnings per share equaled NTD 0.17; and inventory was further reduced to NTD 394.6 billion.
Acer believes that its performance reached its nadir in the first quarter and that sales of PCs and monitors will drive revenue growth recovery. ASUS is set to announce its financial results for the first quarter of 2023 this Friday, anticipating that sales will continue to decline in the first half of the year. ASUS expects PC hardware sales to bolster performance, as more potential customers upgrade their systems, and recent inventory has seen slight improvements.
Naturally, the timing of the market recovery depends on several other factors, such as PC hardware pricing. If prices remain high and the macroeconomic environment does not exhibit significant improvement, the anticipated market resurgence will undoubtedly be delayed.