Wednesday, April 16, 2025

UBS Forecasts Financial Strain for Everlight Amid Expansion Efforts in China

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Taiwanese LED packaging manufacturer Everlight is significantly expanding its market presence in China, with plans to enhance its provincial sales channels in the second half of 2013, as reported by UBS Securities. Despite robust growth in general lighting demand, Everlight faces challenges due to declining product prices that pressure revenue and profit margins. The company has also recently acquired German lighting firm WOFI for approximately EUR 6.55 million, which is expected to contribute an additional 10-15% to Everlight’s overall revenue and improve profit margins. However, UBS advises that the integration of WOFI should be balanced with continued investment in Everlight’s own lighting product strategy to address existing challenges and maximize gain from the acquisition.

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