Yorkey Optical International, which supplies Nikon, Canon and Olympus with phone and camera parts, said its gross margin would stay above 30 per cent this year as it tries to boost sales and net profit.
Yorkey's gross margin was 40 per cent for the six months to June compared with 38 per cent for the same period a year earlier.
'We will not only focus on gross margin but will increase our production scale and diversify our product mix to improve the bottom line,' said executive director Iris Wu Shu-ping. She said Yorkey probably would keep its gross margin at more than 30 per cent as in the past few years.
Taiwan-based Yorkey is looking to benefit from increased demand for digital cameras as new products such as Apple's iPhone boost consumer interest.
The firm does not yet supply Apple which targets 1 per cent of the mobile phone market next year after its iPhones go on sale this year.
Global demand for digital cameras surged to about 90 million units last year from 70 million in 2004, said International Data Corp.
Yorkey's first-half turnover dropped 10 per cent to US$34.53 million last year as more digital camera makers than usual delayed making contracts until the second half, a period of highest demand.
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