Flexible copper clad laminate (FCCL) maker Taiflex Scientific had strong sales of NT$213 million in January and the company projects its quarterly revenues to stay strong through the second quarter. Strong consumer electronics goods shipments and the potential increase in component costs should jointly help boost the company’s revenues.
Taiflex observed that demand picked up prior to expectations in late January, which benefited the company with on-year revenue growth of 50.5% last month. The company foresees that demand will grow steadily through the second quarter.
The company also indicated that its newly expanded 2L FCCL capacity was made available recently, and monthly shipments currently total approximately 10,000 square feet. In addition, the company expects this amount to rise dramatically to 80,000-100,000 square feet through the second half of this year.
For its business outlook for this year, Taiflex expects to benefit from strong 3G handset and LCD TV demand. The potential cost increase of key components should also help boost its average selling prices (ASPs).
Industry observers expect substrate demand for 3G handsets will jump by over 30% on year and LCD TV demand should also maintain demand momentum this year.
The price rise of copper, together with an anticipated polyimide (PI) shortage in the second half of this year, should help boost ASPs in the meantime.
Article translated by Esther Lam and edited by Michael McManus
