Continued strong growth for AT&S
The Austrian PCB manufacturer is reporting positive revenue development for the first three quarters of 2021/22. Nine-month revenue increased by 30% to EUR 1.14 billion, compared with EUR 884 million during the same period last year.
“Once again, we were able to significantly increase our revenue and earnings in a challenging market environment, with quarterly records for both figures,” says CEO Andreas Gerstenmayer in a press release. “Since the ramp-up of our new plant in Chongqing, China, is progressing faster than expected, we can increase our revenue guidance for the current financial year to 28 to 30%.”
Consolidated revenue increased by 30% to EUR 1.14 billion in the first three quarters of 2021/22, up från EUR 884 million during the same period the previous year. The company says that the growth was primarily driven by the additional capacity in Chongqing for ABF substrates. The broader application portfolio for mobile devices as well as module PCBs also contributed to revenue growth.
In the AIM business unit, all three segments supported the growth trend, with the Industrial segment recording the biggest increase. Despite the shortage of semiconductors, revenue in the Automotive segment also grew.
EBITDA rose by 30% from EUR 187 million to EUR 244 million. While the increase in revenue had a positive impact on earnings, the start-up costs in Chongqing and Kulim as well as higher material, transport and energy costs had a negative effect on earnings. Profit for the period rose from EUR 37 million to EUR 62 million.
AT&S says it will concentrate on the start-up of the new production capacities at plant III in Chongqing, as well as continuing to push ahead the investment project in Kulim, Malaysia, and the expansion of the site in Leoben, Austria. The company also states that it still plans to invest up to EUR 700 million in new capacities and technologies in the current financial year.
Due to the faster than expected ramp-up and efficiency enhancements at plant III in Chongqing as well generally strong demand in the fourth quarter, AT&S has raised its forecast now expects revenue growth of 28% to 30% for the fiscal year 2021/22 (previously: 21% to 23%).