Daxin Materials is expanding its semiconductor materials portfolio while maintaining optimization efforts in display materials. The company expects 2026 display material revenue to remain broadly flat year on year, with growth driven by liquid crystal alignment films. Cholesteric liquid crystal alignment films are expected to enter mass production in 2026.
Daxin Materials has 25 semiconductor-related products, including 12 in mass production and 13 under validation. Three products entered volume production in 2025, and the company plans to add three to five more in 2026. With a growing customer base and rising shipments, semiconductor materials are set to be the primary growth driver.
Display materials face pricing pressure
Display material shipments span LCD, OLED, Micro LED, and e-paper. Strong consumer electronics demand has intensified competition, prompting the company to continuously optimize product specifications.
Display material revenue recorded slight growth in 2025. In 2026, Daxin Materials will introduce process-enhancing materials — including high-sensitivity PS, high-coating-speed PS, and mura-free PSA PI — to help customers increase capacity and yield without adding equipment, particularly in Generation 10.5 panel lines.
The company is also strengthening cost competitiveness by optimizing production processes and increasing in-house raw material output, while maintaining advantages in PS and copper etchants to support market share.
Alignment films drive 2026 growth
Liquid crystal alignment films are expected to be the key driver of 2026 display material growth. Daxin Materials is expanding PSA PI into new mass production facilities, a move expected to support growth and improve gross margins, partially offsetting pricing pressure from panel customers.
The company is also developing new materials and applications, including low-temperature process materials, copper strippers, and FFS liquid crystal alignment PI. Cholesteric liquid crystal alignment films are expected to begin mass production in 2026.
For 2026, display material revenue is expected to remain in line with 2025, with continued product mix optimization to sustain margins and competitiveness.
Capital expenditure for 2026 is estimated at NT$350–400 million.
The fourth quarter of 2025 saw revenue reach the second-highest level on record, with gross margin hitting a record 41.27%. Net profit attributable to the parent company totalled NT$209 million, with earnings per share of NT$2.04.
Full-year 2025 consolidated revenue reached NT$4.63 billion, up 12.4% year on year, with gross margin at 40.6%, exceeding 40% for the first time. Net profit attributable to the parent company totalled NT$757 million, with earnings per share of NT$7.37.
The company said 2025 marked record performance across revenue, gross profit, operating income, and net income, and expects solid growth in 2026.
February revenue reached NT$366 million, down 11.11% month on month due to fewer working days, but up 1.17% year on year. Revenue for the first two months of 2026 totalled NT$778 million, up 10.37% year on year.
Article edited by Jerry Chen
