Nam Tai Electronics, Inc., the British Virgin Islands-incorporated company working in the spheres of electronics manufacturing and design services, reported its unaudited results for the second quarter of the year ended June 30, 2013. In this period, company’s net sales were US$167.9 million, excluding the contribution from the discontinued LCMs for tablets business in the amount of US$30.7 million. This revenue was attributed to the production of high-resolution LCMs for smartphones at the Company’s Shenzhen facility.

This is 64.1 per cent increase if compared to US$102.3 million reported by the company in the second quarter of 2012, excluding the discontinued business of US$113.7 million.

Gross profit of the BVI corporation in Q2 2013 was US$15.7 million – an increase of 2.7 per cent as compared to US$15.3 million in Q2 2012. In the reported period of 2013, gross profit margin was 9.4 per cent, – less by 5.6 per cent compared to 15 per cent in the second quarter of 2012.

Operating income in the second quarter of 2013 was US$8.4 million, – 14.3% decrease as compared to US$9.8 million in the second quarter of the last year. The company reported net loss in the amount of US$31.9 million, or $0.71 per diluted share, compared to net income of US$9.4 million, or USS$0.21 per diluted share in the second quarter of last year. Among the main factors that influenced the net loss in the second quarter of 2013 was company’s discontinuation of its entire production operations of LCMs for tablets in its Wuxi facility. Other factors are that Nam Tai Electronics increased net deferred tax expenses of US$5.3 million in Wuxi, and made a bad debts provision of US$2.2 million. Also, Nam Tai made a layoff compensation of US$1.2 million as a result of streamlining the organization structure in the second quarter of 2013. Taking all these factors into account, the company had improved its overheads and had generally been successful in the overall cost control.