Market News

TAIPEI, TAIWAN – Spring is showing signs of life for PCB makers. Utilization rates have climbed, and order visibility has been extended to 3 to 4 weeks, on increased notebook and TFT LCD orders, reports DigiTimes.
 
HannStar Board reported revenues jumped 32.17% in March to NT$1.65 billion (US$48.7 million). April revenues are expected to remain level or increase slightly, says DigiTimes.
 
Tripod Technology reported its utilization rate soared 70% and has increased its order lead time. Dynamic Electronics forecasts first-quarter revenue at NT$1.7 to $1.8 billion (US$50.7 million to $53.7 million) and expects double-digit growth for April, reports DigiTimes.   
TORONTO – Firan Technology Group Corp. (FTG) reported first-quarter sales climbed 8% year-over-year to $14.7 million, on the strength of the US dollar. The gross margin, as a percentage of sales, rose 31%.
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PETACH-TIKVA, ISRAEL -- Eltek Ltd. closed the 2008 fiscal year with revenues up 15% to $43.1 million. The increase in revenues was attributed to additional orders from new and existing customers.
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TAIPEI -- Global flip-chip (FC) substrate suppliers Phoenix Precision Technology (PPT) and Nan Ya Printed Circuit Board (NPC) may see double digit growth for March according to Digitimes. PPT recorded a 32% revenue increase in March while NPC should see a 20% growth for the month.

PPT's March revenues totaled NT$810 million (US$24.46 million), up from previous forecasts, reflecting strong FC substrate orders for graphics cards. March utilization rate increased to 40% to 50%, up from a 30% rate in January and February.

At NPC, utilization rates for FC and wire-bonding return to 50% to 60% in March while its PCB utilization rate remained below 50%. FC substrates account for 50% of NPC's total revenues, with PCB and wire-bonding substrates at 30% and 20%, respectively.

NEW YORK -- Signs of life are emerging among electronics producers, a leading research firm said, but end-user demand is lagging.

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SAN JOSE -- The 90-day moving average sales of semiconductors worldwide fell 30.4% year-over-year in February, the Semiconductor Industry Association reported today. Sales declined 7.6% sequentially, the trade group said.

The three-month moving average of sales totaled $14.2 billion in February, SIA said.
“The global semiconductor industry is going through one of the steepest corrections in its history,” said SIA President George Scalise. “While it would be premature to conclude that the sales decline has hit bottom, there are some indications that the rate of decline has moderated from the final quarter of 2008."
Scalise credited the industry for its fast response to trim inventories as the market turned down. "The industry responded quickly to the changing market environment by curtailing production and reducing inventory as demand slowed in late 2008. The world’s two largest foundry manufacturers have recently reported slight improvements in factory utilization rates, albeit at levels well below those of a year ago,” Scalise said.
“Demand for semiconductors is likely to continue well below 2008 levels for the next few quarters, with a gradual recovery to follow as the global economy recover," he said.

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