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AAC Acoustic Announces 2007 Third Quarterly Results

* * *
Growth Momentum Resumes

 

Financial Highlights

 

For the 3 months ended
30th September, 2007
RMB¡¯ million

Change versus period for the 3 months ended 30th June, 2007

Turnover

485.4

+36.4%

Gross Profit

228.7

+36.9%

Gross Profit Margin (%)

47.1

+0.1 pts

Net Profit

152.1

+99.9%

Net Profit Margin (%)

31.3

+9.9 pts

Earnings per Share (cents)

12.29

+100.8%

(7th November, 2007 ¨C Hong Kong) ¨C AAC Acoustic Technologies Holdings Inc. (¡°AAC Acoustic¡± or ¡°the Company¡±; HKEx: 2018), a world leading manufacturer of miniature acoustic components, announced today its results for the nine months ended 30th September, 2007.

For the nine months period, the Company recorded a turnover of RMB1,287.2 million, representing an increase of 0.5% from RMB1,280.9 million for the same period in 2006 . For the three months ended 30th September, 2007, the Company made a turnover of RMB485.4 million, an increase of 4.3% from RMB465.2 million for the same period in 2006 and 36.4% more than the RMB355.8 million for the previous quarter. Gross profit for the third quarter in 2007 was RMB228.7 million, representing an increase of 36.9% from RMB167.1 million for the previous quarter. Gross margin for the third quarter was stable at 47.1%, slightly higher than the 47.0% for the second quarter. Net profit and EPS for the three months ended 30th September, 2007 were RMB152.1 million and RMB12.29 cents, respectively, representing growth of 99.9% and 100.8% against the previous quarter. Net margin was 31.3% for the third quarter, significantly higher than 21.4% for the second quarter of 2007, attributable partly to lower legal fees and smaller foreign exchange loss.

During the third quarter of 2007, AAC Acoustic¡¯s operations experienced strong growth momentum, riding on the improving operating environment and the ramping up of new customers and new products. The Company¡¯s superior research and product development capabilities as well as strong engineering expertise and manufacturing know-how have enabled it to gain market share and capture new business opportunities.

AAC Acoustic is very optimistic about its business outlook despite intensifying competition in the market. By stepping up efforts to secure new customers and develop new products, growth momentum for its business is expected to continue to build up going forward. While confident in its ability to remain a key supplier of miniature acoustic components to mobile handset manufacturers around the world, the Company is also aggressively pursuing business opportunities with non-handset customers including manufacturers of game consoles, notebook computers, and MP3 and MP4 players. The Company will also strengthen the research and development capabilities of vibrators and antennas in order to diversify into non-acoustic products. The Company is entering a new phase of growth supported by its evolving and growing customer base and product mix. The management team will continue to strive for operational growth as well as higher shareholders¡¯ returns going forward.

-end-

About AAC Acoustic Technologies Holdings Inc.
AAC Acoustic Technologies Holdings Inc. (HKEx: 2018) is a world leading manufacturer of miniature acoustic components. The company designs, manufactures and distributes a comprehensive suite of receivers, speakers, speaker modules, multi-function devices, microphones, transducers and headsets for use in mobile handsets, game consoles, notebook computers and other consumer electronics devices such as MP3 players and MP4 players. Recently, the company also launched the production of a variety of miniature vibrators to diversify into the production of non-acoustic components. For more information about AAC Acoustic, please visit http://www.aacacoustic.com.

Contact:
AAC Acoustic Technologies Holdings Inc.
Stephanie Lau
Vice President, Investor Relations
Tel: 852 3470 0078
Fax: 852 3470 0103
Email: aac2018@aacelectr.com

For press enquiries:
Strategic Financial Relations Limited
Vicky Lee : Tel: 852 2864 4834 Email: vicky.lee@sprg.com.hk
Emily Au : Tel: 852 2864 4864 Email: emily.au@sprg.com.hk
Germain Lam : Tel: 852 2864 4861 Email: germain.lam@sprg.com.hk
Fax: 852 2804 2789 / 852 2527 1196

©  AAC Acoustic Technologies Holdings Inc      All rights reserved.