King Yuan Electronics (KYEC) turned in NT$3.794 billion (US$124 million) in third-quarter 2010 revenues, almost flat from the NT$3.791 billion posted in the second quarter, according to data released by the IC testing house. The results were in line with the company's estimate of flat revenue growth sequentially.
Fellow IC testing company Ardentec has reported consolidated revenues of NT$1.32 billion for the third quarter, up almost 1% on quarter.
KYEC was recently cited by the Chinese-language Economic Daily News (EDN) as saying orders for the fourth quarter, especially for memory products, have decreased substantially. Its overall capacity utilization has slid below 70%, the company was quoted by the paper as indicating.
IC designers MediaTek, Novatek Microelectronics and Himax Technologies, and niche memory suppliers Winbond Electronics, Macronix International and Elite Semiconductor Memory Technology (ESMT), and graphics chip vendor Nvidia reportedly are among KYEC's customers. Orders placed by MediaTek still account for as much as 20% of KYEC's total revenues.
Ardentec, whose major clients include Texas Instruments (TI) and Taiwan Semiconductor Manufacturing Company (TSMC), has estimated sales for October would stay at a high level. Its consolidated revenues for the third quarter actually hit a quarterly high, though the figure showed only 1% growth sequentially. Ardentec expects fourth-quarter sales to decrease by a low-to-mid single-digit percentage rate on quarter.
A Chinese-language Commercial Times report Friday (October 15) cited unnamed sources as indicating both KYEC and Ardentec are likely to see their utilization rates drop substantially after October, due to slowing orders for niche DRAM and flash memory.