Strong demand for passive components has pushed up revenues sharply at upstream materials vendors such as Ample Electronics Technology (AET), dedicated to production of conductive silver and aluminum pastes for MLCCs, inductors and chip resistors.
AET’s February revenues rose 70.32% on year and 0.44% sequentially to NT$140 million (US$50 million), hitting a new high for the sixth consecutive month, and its January-February sales soared 68.59% to NT$275 million, despite fewer work days in February during Lunar New Year.
The company said its order visibility is clear throughout the second quarter, and it will install new equipment in May for capacity expansion to meet increasing demand for silver and aluminum pastes.
AET has seen stronger pastes order momentum from major clients including Yageo, Ta-I Technology and Ralec for use in passive components for handsets and automotive electronics, industry sources said, adding that the company has also joined the supply chain of a major Korean MLCC maker.