Wafer probing service provider Chunghwa Precision Test Technology Co (CHPT, 中華精測) expects revenue to grow quarterly for the remainder of the year, as it is well-positioned to benefit from the robust demand for processors used in 5G smartphones and high-performance computing devices such as data centers.
The growth momentum was disrupted last quarter as CHPT’s engineers were prohibited from visiting customers’ factories for product qualification after the government raised the COVID-19 alert in May to level 3 to curb infections, the company said yesterday.
As the government eased some restrictions this week, the company expects to regain momentum from next month, as 5G-related infrastructure deployment, electric vehicles and remote work continue to stimulate demand.
“The COVID-19 outbreak has upended the normal seasonal patterns this year,” CHPT president Scott Huang (黃水可) told an online investors’ conference in Taipei. “The second and third quarters used to be the best quarters for the company. This year, each quarter would be higher than the previous one, probably making the fourth quarter the best quarter of the year.”
For the full year, revenue is expected to surpass last year’s NT$4.23 billion (US$151 million), thanks to growing demand for its wafer probe card business, Huang said.
The outlook for next year is positive, he added.
The company’s top client is expected to contribute more than 30 percent to its total revenue this year, filling the void left by two of its major customers last year, he said.
The wafer probe card business accounted for 35 percent of the company’s overall revenue last quarter, down from 41 percent the previous quarter due to COVID-19 restrictions, the Pingjhen District (平鎮), Taoyuan-based company said.
Net profit contracted 7.3 percent to NT$216 million last quarter from NT$233 million a year earlier, but rose 28.57 percent from NT$168 million in the previous quarter, it said.
Earnings per share dropped to NT$6.16, compared with NT$7.11 a year earlier and NT$5.11 in the first quarter.
Net profit in the first half of the year was NT$384 million, it said.
Gross margin fell to 53.8 percent last quarter from 54.1 percent in the first quarter and 54.1 percent in the second quarter last year.
US crude futures on Friday topped US$80 a barrel for the first time since November 2014 as a global energy crisis boosts demand at a time when OPEC+ producers are keeping supplies tight. West Texas Intermediate (WTI) for November delivery popped above the key psychological level before pulling back and closing up 1.34 percent at US$79.35 a barrel, gaining 4.57 percent from a week earlier. Brent crude for December delivery increased 0.54 percent a barrel to US$82.39, up 3.92 percent from a week earlier. This week brought many indications that supplies would remain constrained: Saudi Aramco said a global natural gas shortage was
Units of Intel Corp and Samsung Electronics Co are targeting to resume full operations of their Ho Chi Minh City plants by the end of next month, a move that could provide relief to global supply chains. Saigon Hi-Tech Park is helping its tenants, many of which are running at about 70 percent capacity, to operate fully next month, park deputy manager Le Bich Loan said in a phone interview. She did not elaborate on the steps the park is taking, particularly efforts at bringing back workers who fled to home provinces. The Ho Chi Minh City unit of Nidec Sankyo Corp,
CHIP CRUNCH: Apple’s woes show that even the king of the technology world is not immune from global shortages made worse by the COVID-19 pandemic Apple Inc is likely to slash its projected iPhone 13 production targets for this year by as many as 10 million units as prolonged chip shortages hit its flagship product, people with knowledge of the matter said. The company had expected to produce 90 million new iPhone models in the final three months of this year, but it is now telling manufacturing partners that the total would be lower because Broadcom Inc and Texas Instruments Inc are struggling to deliver enough components, the people said. Apple gets display parts from Texas Instruments, while Broadcom is its longtime supplier of wireless components. One Texas
Down a dusty farm track in Chilean wine country, behind a wooden gate wrapped in chains, forestry experts are nursing a plantation of saplings whose bark holds the promise of potent vaccines. Quillay trees, technically known as Quillaja saponaria, are rare evergreens native to Chile that have long been used by the indigenous Mapuche people to make soap and medicine. In the past few years, they have also been used to make a highly successful vaccine against shingles and the world’s first malaria vaccine, as well as foaming agents for products in the food, beverage and mining industries. Now two saponin molecules,