PCB companies have successfully entered the AMD supply chain, providing them with IC boards and expanding production

The AT&S substrate is an indispensable component of AMD's powerful data center processors, which enable future digital experiences from artificial intelligence to virtual reality.

Andreas Gerstenmayer, CEO of AT&S, said, "Our client AMD has very high quality requirements, so we are proud to be able to meet these quality indicators so quickly. Currently, we are working to expand the production capacity of our new factory in Julin, Malaysia; in the coming years, the demand for CPUs and GPUs in data centers will continue to grow, thereby promoting the strengthening of AMD and AT&S partnership Driven by new technologies such as artificial intelligence, VR, and AR, the global demand for data storage, transmission, and analysis continues to grow, "added Andreas Gerstenmayer.

In order to meet the rapidly growing demand for powerful and sustainable computing applications, AMD is driving innovation in chip design and packaging to provide faster and more energy-efficient chips. AT&S has extensive expertise in this field. We are already developing new substrate technologies that enable our customers to integrate a large number of chips into very fast and efficient packaging systems, enabling fast and reliable analysis and transmission of data in the cloud, "said Ingolf Schr ö der, Executive Vice President of AT&S Microelectronics Business Unit.

Keivan Keshvari, Senior Vice President of Global Operations at AMD, said, "The development of the past few years has shown that semiconductors play a crucial role in today's world and clearly demonstrates how important it is to have a strong and geographically diverse supply chain At AMD, we work closely with all suppliers to optimize business continuity plans. We are pleased to collaborate with AT&S to find another innovative and reliable high-quality substrate partner and leverage new factories to provide powerful and adaptable computing products, further driving market growth in the data center and artificial intelligence fields

It is reported that AT&S invested RM8.5 billion (approximately RMB 13 billion) in the Curing factory in Malaysia, making it the company's first production base in Southeast Asia and the largest investment in its history. The factory started construction and laid the foundation on October 30, 2021, with plans to start production in 2024.

The AT&S official website also released the second quarter performance report for the 2023/24 fiscal year. The company's revenue for the second quarter was 452 million euros (approximately 3.514 billion RMB), a 25% increase compared to the previous quarter (362 million euros (approximately 2.815 billion RMB) in the first quarter of the 2023/24 fiscal year), but still decreased by 20% compared to the same period last year (567 million euros (approximately 4.408 billion RMB) in the second quarter of the 2022/23 fiscal year).

In the first half of 2023/24, compared to the strong performance of AT&S in the same period last year, comprehensive income decreased by 24% to 814 million euros (6.329 billion yuan; the same period last year: 1.07 billion euros (approximately 8.32 billion yuan). After adjusting for the impact of exchange rates, comprehensive income decreased by 21%. The EBITDA for the first half of the year decreased by 31%, from 315 million euros (approximately 2.449 billion RMB) to 217 million euros (approximately 16.87 RMB).

2023/24 Outlook, etc

1. Continue to promote the investment project of Julin and the expansion project of Leoben production base, and upgrade the technology of other production bases. (Adjust according to actual situation)

2. In the semiconductor packaging carrier board market, it is expected that the demand for laptops will be lower in 2023 than in 2022; Affected by the economic situation, server demand is expected to recover to the same demand level as the previous year as early as the second half of 2024; In the mobile device sector where the overall market is weak, the modular printed circuit board business will continue to drive AT&S's business growth; The automotive industry will show a growth trend, but the printed circuit board market will still face price pressure; In the field of industrial electronics, it is expected that market demand will decrease this year.

3. Based on the market environment and project progress, the company's management plans to make a total investment of 1.1 billion euros (approximately 8.554 billion RMB) in the 2023/24 fiscal year.

4. It is expected that the annual revenue for the fiscal year 2023/24 will be between 1.7 billion to 1.9 billion euros (approximately 13.219 to 14.774 billion RMB). Excluding the total impact of approximately 100 million euros (approximately 778 million RMB) brought about by the production of new production capacity in Curin and Leoben, the adjusted EBITDA profit margin is expected to be between 25% and 29%.

Despite the severe global economic situation, AT&S has made positive progress in expanding its production capacity in Curin and expanding its factory in Leoben. Therefore, Otes expects to generate revenue of approximately 3.5 billion euros (approximately 27.215 billion RMB) in the 2026/27 fiscal year, with an EBITDA margin of between 27% and 32%.

（Extract from IT Home）