Ta Liang Technology Co (大量), an advanced chip packaging equipment and printed circuit board (PCB) drilling machine supplier, yesterday reported a spike in net profit for the first half of the year, as strong demand for artificial intelligence (AI) applications and data centers persisted.
Net profit surged to NT$265 million (US$8.86 million) in the first half, compared with NT$9.51 million in the same period last year. Earnings per share jumped to NT$3.01 from NT$0.12.
Ta Liang expects the growth momentum to be stronger in the second half of this year, as the company has received new orders of 397 units of high-end machines, nearly tripling the 139 units it has shipped so far.
Photo: AFP
That would reflect in sequential growth of revenue in the second half, compared with NT$2.11 billion in the first half, the company said.
“We are positive about the second half outlook based on the orders received, which are higher than the first half. We are aggressively looking for new capacity as our factories are almost fully utilized, Ta Liang president Jackie Chien (簡禎祈) told an online investors’ conference yesterday.
The delivery schedule for some machines is being pushed back to the first quarter of next year due to capacity constraints, Chien said.
Ta Liang expects its new factory in Nanjing, China, to start operations later this year, he said.
The outlook for next year is also positive, attributable to the AI boom, which has stimulated increasing demand for PCBs and therefore advanced back drilling machines, Chien said.
The company plans to launch a new high-end PCB inner layer thickness metrology machine to cope with customers’ technology road maps, he said.
Ta Liang said the high-end machine’s revenue contribution climbed to 50 percent in the first half of this year, compared with 20 to 30 percent in the past. That has helped propel its gross margin to 37.03 percent in the first half from 23.24 percent a year earlier.
By business segment, PCB machines made up 90 percent of the company’s revenue in the first half. Semiconductor equipment accounted for 10 percent by supplying metrology and inspection equipment used for advanced chip-on-wafer-on-substrate, system-on-integrated chips and panel-level packaging technologies.
Ta Liang counts Taiwan Semiconductor Manufacturing Co (台積電) and ASE Technology Holding Co (日月光投控), the world’s largest chip packaging and testing service provider, as its major customers.
The company expects little impact from the US tariffs as Taiwan, China and Thailand are its major shipment destinations, Chien said.
Customers would pay the tariff costs on its edge coating machine that is to be shipped to the US customers, the company said.
Edge coating machines only contributed 5 percent to the company’s revenue.
A proposed 100 percent tariff on chip imports announced by US President Donald Trump could shift more of Taiwan’s semiconductor production overseas, a Taiwan Institute of Economic Research (TIER) researcher said yesterday. Trump’s tariff policy will accelerate the global semiconductor industry’s pace to establish roots in the US, leading to higher supply chain costs and ultimately raising prices of consumer electronics and creating uncertainty for future market demand, Arisa Liu (劉佩真) at the institute’s Taiwan Industry Economics Database said in a telephone interview. Trump’s move signals his intention to "restore the glory of the US semiconductor industry," Liu noted, saying that
On Ireland’s blustery western seaboard, researchers are gleefully flying giant kites — not for fun, but in the hope of generating renewable electricity and sparking a “revolution” in wind energy. “We use a kite to capture the wind and a generator at the bottom of it that captures the power,” said Padraic Doherty of Kitepower, the Dutch firm behind the venture. At its test site in operation since September 2023 near the small town of Bangor Erris, the team transports the vast 60-square-meter kite from a hangar across the lunar-like bogland to a generator. The kite is then attached by a
Foxconn Technology Co (鴻準精密), a metal casing supplier owned by Hon Hai Precision Industry Co (鴻海精密), yesterday announced plans to invest US$1 billion in the US over the next decade as part of its business transformation strategy. The Apple Inc supplier said in a statement that its board approved the investment on Thursday, as part of a transformation strategy focused on precision mold development, smart manufacturing, robotics and advanced automation. The strategy would have a strong emphasis on artificial intelligence (AI), the company added. The company said it aims to build a flexible, intelligent production ecosystem to boost competitiveness and sustainability. Foxconn
STILL UNCLEAR: Several aspects of the policy still need to be clarified, such as whether the exemptions would expand to related products, PwC Taiwan warned The TAIEX surged yesterday, led by gains in Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), after US President Donald Trump announced a sweeping 100 percent tariff on imported semiconductors — while exempting companies operating or building plants in the US, which includes TSMC. The benchmark index jumped 556.41 points, or 2.37 percent, to close at 24,003.77, breaching the 24,000-point level and hitting its highest close this year, Taiwan Stock Exchange (TWSE) data showed. TSMC rose NT$55, or 4.89 percent, to close at a record NT$1,180, as the company is already investing heavily in a multibillion-dollar plant in Arizona that led investors to assume
RSS