Acer Post Worse-than-Expected Loss in 3Q

Industries Reuters

Taiwan's Acer Inc, the world's No.4 PC vendor, posted a worse-than-expected net loss of T$13.12 billion ($446 million) in the third quarter, with the company aiming to revamp itself with a new CEO and job cuts.

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The troubled company announced on Tuesday that President Jim Wong will succeed Wang as CEO, and that it will cut its global staff by 7 percent, a move aimed at saving operating expenses of $100 million annually from 2014.

"Q3's operating loss was mainly due to the gross margin impact of gearing up for the Windows 8.1 sell-in and the related management of inventory," the company said in a statement.

Acer said there was also an intangible asset impairment loss, which includes trademarks and goodwill, of T$$9.94 billion during the reporting period.

Sixteen analysts polled by Thomson Reuters SmartEstimates had forecast a median loss of T$109 million for the quarter. ($1 = 29.4180 Taiwan dollars)

(Reporting by Clare Jim and Michael Gold)