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Technology Stocks : Creative Labs (CREAF) -- Ignore unavailable to you. Want to Upgrade?

To: Derrick Lim Kok Fang who wrote (13117)	12/16/1998 3:57:00 PM
From: Gopher Broke	Respond to of 13925

Derrick, The profit margins on any computer peripheral get squeezed when the low end product can satisfy the requirements of the majority. I don't see it as a surprise that revenues from sound products are leveling out. Creaf can still do some milking of the high end sound, but it is also vital that they diversify. Revenues from speakers and graphics are important. The Creaf retail market is all about upgrades. The kid's PCs don't need better sound, but I suspect I may have to buy them DVD drives sometime next year. I will be most interested to see how DVD drive sales went this quarter.

To: Derrick Lim Kok Fang who wrote (13117)	12/16/1998 5:20:00 PM
From: Gopher Broke	Respond to of 13925

You had me worried until I realized you were talking fiscal 98 annual report . As I recall, that annual report (filed back on 6th August) did not include any revenues from SB Live and also in their fourth quarter Creaf gave a profit warning (on 11 June)that revenues would fall short. Little surprise that revenues look flat in that report. I am still hoping for strong sales of all product lines in this last quarter.