Pricing Pressure Cited in Diodes’ 3rd-Quarter Loss

Revenues and earnings were down for Diodes Inc. in Westlake Village for its third quarter and nine months ended Sept. 30.

Revenues for the quarter were $14.39 million, versus $15.35 million in the same period last year. Net income was $755,000 versus $1.26 million a year ago, and primary earnings per share were down to 14 cents, compared to 24 cents in the third quarter of 1995.

Revenues for the nine months were $41.05 million versus $44.13 million in the same period a year ago, and primary earnings per share were 40 cents compared to 65 cents.

David Lin, president and CEO, said that although revenues and earnings were lower than a year ago, the company showed considerable improvement over the preceding quarter.

“Gross profit as a percentage of net sales remained lower than we would wish, due in large part to two factors--continuing pricing pressures throughout the industry, and further inventory reserves recorded by the company,” Lin said. “However, we are pleased that we have been successful in controlling total inventory, which has been reduced by 13.8% since the beginning of the year, as well as overhead expenses.”

Diodes supplies semiconductor products to the automotive, electronics, computer and telecommunications industries.