Asetek - Update to Full Year 2020 Guidance

Rhea-AI Summary

Asetek has revised its full-year 2020 revenue and pre-tax profit forecasts, citing strong demand for Gaming and Enthusiast products and improved supply chain capabilities. It now expects revenue growth of 15% to 25% compared to 2019 and a pre-tax profit of approximately $7-8 million. This update marks an increase from the previous guidance of a 5% to 15% revenue increase and $4-5 million in income before tax. The company also acknowledges ongoing uncertainty due to COVID-19.

Positive

• Revenue forecast increased to 15% to 25% growth compared to 2019.
• Expected pre-tax profit revised to approximately $7-8 million.

Negative

• Continued uncertainty related to COVID-19 may impact business.

OSLO, Norway, Aug. 18, 2020 /PRNewswire/ -- Asetek today updated its full-year 2020 revenue and pre-tax profit expectations due to continued strong demand for Gaming and Enthusiast products and corresponding recent improvements in supply chain capabilities that enable this demand to be serviced.

Asetek expects to report an increase in Group revenue of 15% to 25% in 2020 compared with 2019. Gross margin is expected to increase from 2019, and the Company expects an income before tax of about $7-8 million. 

This is the second update to full-year expectations published by the Company in 2020. The previous expectations, which were communicated on July 21 and reiterated in the second-quarter report, were for a revenue increase of 5% to 15% compared with 2019, an increase in gross margin from 2019 and an income before tax of about $4-5 million. 

The Company recognizes significant uncertainty related to potential impact from COVID-19 over time. Any such uncertainty is not included in the expectations for the remainder of 2020.

About Asetek

Asetek, the creator of the all-in-one liquid cooler, is the global leader for liquid cooling solutions for high performance gaming and enthusiast PCs, and environmentally aware data centers. Founded in 2000, Asetek is headquartered in Denmark and has operations in China, Taiwan and the United States. Asetek is listed on the Oslo Stock Exchange (ASETEK.OL).

For further information, please contact:

André S. Eriksen
CEO and Founder
+45-2125-7076
Email: ceo@asetek.com 

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https://news.cision.com/asetek/r/asetek---update-to-full-year-2020-guidance,c3170343

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SOURCE Asetek

FAQ

What is Asetek's updated revenue forecast for 2020?

Asetek now expects a revenue increase of 15% to 25% compared to 2019.

What are the expected pre-tax profits for Asetek in 2020?

The company anticipates pre-tax profits of approximately $7-8 million.

When was Asetek's revenue guidance last updated?

The latest update was published on August 18, 2020.

How has COVID-19 affected Asetek's business outlook?

Asetek recognizes significant uncertainty due to COVID-19, which is not reflected in their current expectations.