Diodes CEO Expects Demand From Asia to Pick Up Later This Year

Diodes (DIOD) continues to experience weakness in its key Asian market but expects demand will pick up in the second half of the year.
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Diodes (DIOD) continues to experience weakness in its key Asian market but expects demand will pick up in the second half of the year. Dr. Keh-Shew Lu says in the current quarter, demand from Asia is still 'quite weak' but he projects improvement in the third and fourth quarters. Diodes, a maker and supplier of products in the logic and analog semiconductor markets, gets 81 percent of its revenue from the Asia Pacific region. In the first quarter, the company reported a 1.8 percent decline in overall revenue, and the stock moved lower following that report. The stock continues to underperform the Nasdaq. Dr. Lu says in terms of its European business, Diodes experienced 14 percent growth in the first quarter, but the weak Euro has weighed on its results. With the Euro stabilizing in the the current quarter, Diodes should be 'okay.' Dr. Lu spoke with TheStreet's Rhonda Schaffler.