Apex Expects Rising PCB Orders From 8K TVs

PCB maker Apex International expects its 10-layer PCB shipments for 8K Ultra HD TVs to pick up each quarter in the second half and to become a key growth driver for the company during the period.

Because of strong orders for both car-use and 8K TV-use 10-layer PCBs, Apex’s revenues increased nearly 10% on year in the first half, while profits have also been picking up steadily.

Despite the fact that demand from 8K TVs will continue growing in the second half, that from the car-use sector is unlikely to see any major growth.

Apex is currently a key PCB supplier to its Korea-based client for 8K TV products, while its new Japan-based client may also begin to pull in orders in the third quarter for its new 8K TV devices.

With vendors keen on expanding their market shares and TV replacement demand to be triggered by the 2020 Summer Olympics in Tokyo, Apex expects its shipment momentum to continue into 2020.

Some market watchers pointed out that Apex’s Korea-based client is probably Samsung Electronics, which has been aggressively expanding its presence in the 8K TV market. In addition to Europe and North America, the Korea-based vendor reportedly will push related products into India and Latin America in a bid to achieve an over 50% of share of the global 8K TV market in 2019, the market watchers noted.

With Japan’s national public broadcasting organization NHK set to broadcast the 2020 Summer Olympics in 8K, the market watchers expect the move to prompt Japanese consumers to purchase 8K TVs.

Since Apex’s plants are located in Thailand, the company also expects to benefit from orders shifted from large ODMs moving their production lines from China to Southeast Asia. So far, Apex has already obtained such orders for network communication devices from a Taiwan-based ODM, the sources said.

Apex announced consolidated revenues of NT$845 million in June, down 4.8% on year with the amount for the second quarter rising 1.53% on year to reach NT$2.46 billion. The company’s revenues for the first half went up 9.64% on year to arrive at NT$5.3 billion.―Digitimes

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