exacerbated by a $120 million write-off related to the company's Gateway, eMachines and Packard Bell product brands. The company recently commented on its Q4 loss, stating that it reached NT$3,37 billion ($116 million). That is down from a net profit of NT$94 million in the same period the year before. Revenue also reached NT$101.5 billion, a decrease from NT$127.5 billion the year before.
Back in January Acer announced a write-off from the lost value in its Gateway, eMachines and Packard Bell trademarks,
which were all acquired by Acer back in 2007 as a $710 million deal. Since then, the company has discontinued the eMachines brand and is planning on refocusing its product portfolios under Gateway and Packard Bell.
If you exclude the write-off, Acer would have gained a net profit of NT$131 million which translates to a year-over-year increase of 39%. Acer reported the net loss as PC shipment growth remains down during an era where smartphones and tablets are in high demand. This market change has been especially hard for Acer as the company has reported back-to-back quarterly net losses in 2011.
Over 80% of Acer's revenue comes from desktops and notebooks, though the company expects that its tablets and convertible PCs will help drive growth. Acer CEO J.T. Wang said that the supply chain for tablets has matured while the company has noticed "sales momentum" behind touch-based Windows 8 products like the Surface tablet.
Acer is projecting that it will ship 5 million tablets this year, all of which will be running either Windows 8 or Android. However, the company also hopes to exceed that figure and reach 10 million units. According to Wang, "We will have a full line of tablets of Windows 8, and also we will have a full line of Android tablets. By the second half of this year, we will have a very competitive, full range. So you can expect we will be very aggressive in this category."
Source: Computer World - Acer reports net loss in Q4 from trademark write-off