Acer Climbs as ‘Netbook’ Model Helps Keep Margin Firm

By Chinmei Sung

Jan. 10 (Bloomberg) -- Acer Inc., the world’s third-biggest maker of personal computers, climbed from a four-year low in Taipei trading after saying its operating margin may have risen in the final three months of 2008.

Acer gained 2.5 percent to NT$40.70 on the Taiwan Stock Exchange, rising from its lowest since September 2004 as the island’s benchmark Taiex index dropped 0.8 percent.

The company may have benefited from its July introduction of the Aspire One computer, an ultra-compact model that retails for about $400. Global shipments of so-called “netbooks” will probably increase by 11.3 percent this year to about 138 million units from 124 million in 2008, Taipei-based researcher Market Intelligence Center predicted.

“This highlights Acer’s success in capturing consumer needs by offering low-cost laptop computers in the second half when the global economy took a drastic turn in direction,” said Eric Yao, who owns Acer shares in the $152 million funds he helps manage at Truswell Securities Investment Trust Co. in Taipei.

Fourth-quarter operating margin may have bettered or equaled its 2.9 percent third-quarter result, Taipei-based Acer said in a statement after the market closed yesterday.

To contact the reporter on this story: Chinmei Sung in Taipei at csung4@bloomberg.net.