According to Jason Chen, CEO of Zenitron, the demand for memory cards for use in white-box handsets stays strong in China and that a stronger penetration rate of DSLR cameras is also boosting the sales of the high-capacity memory cards.

In the third quarter of 2009, Zenitron’s consolidated revenues went up by 20 per cent sequentially, and by 14 per cent on year, to NT$6.06 billion (US$187.61 million) – the second biggest increase on record.

The company’s net profits in the third quarter amounted to NT$153 million – up by 33 per cent on quarter, and up by 8 per cent on year. The consolidated revenues for the first three quarters of 2009 were NT$15.5 billion, with net profits to the tune of NT$370 million, or an EPS of NT$1.80.

According to Jason Chen, Zenitron expects revenues contributed by SanDisk will keep on growing in the fourth quarter of 2009, and that the demand for NAND flash will stay strong till the Lunar New Year holiday season of 2010.

The fourth-quarter revenues of Zenitron are expected to remain flat, or could even beat the third-quarter levels, Jason Chen says. At present, revenues from China account for 32 per cent of the total sales of Zenitron – which is up from 26 per cent in 2008.