In the fourth quarter, Nam Tai posted revenue of $234.9 million, compared to $312.2 million in the same quarter in 2012. Revenue for the year rose 26% to $855.8 million from $678.1 million in 2012.
"This revenue was mainly attributed to the production of high-resolution LCMs for smartphones at the Company's Shenzhen facility," Nam Tai said in a press release.
The company derives most of revenue from the production of high-resolution LCMs for smartphones. Nam Tai will stop producing LCMs by the end of April. The company said the halt of production is "due to a customer's repeated and continuous changes in its formal purchasing orders without suitable commitment."
Nam Tai posted earnings of 20 cents a share in the fourth quarter, compared to 82 cents a share in the year-earlier quarter.
Nam Tai also announced it will pay a dividend of 2 cents a share for the second quarter on April 30. All shareholders of record as of March 31 will receive the dividend.
TheStreet Ratings team rates NAM TAI ELECTRONIC as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about its recommendation:
"We rate NAM TAI ELECTRONIC (NTE) a BUY. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, attractive valuation levels and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had sub par growth in net income."