UPDATED. 2019-11-22 11:07 (금)
MLCC demand solid: Murata Manufacturing
MLCC demand solid: Murata Manufacturing
  • Gijong Lee
  • 승인 2019.11.06 07:21
  • 댓글 0
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Yageo’s sales down 60%, but making recovery

The demand for Multi Layer Ceramic Capacitors (MLCC) for automobile components remains solid amid a sluggish market, according to industry figures on Nov. 5.

Japan’s Murata Manufacturing said that while its revenues of such MLCC for Q2 of the fiscal year of 2019 fell on-quarter, demand has been rising overall in the first half of this year, even when markets took a nosedive in the second quarter.

Murata’s sales for 1H stood at 275.5 billion yen (2.95 trillion won), which was up around 0.7% from the same period in the previous year, mostly on account of more demand from automobile-related devices and that for more base stations on the rise of 5G network technology. The demand for MLCC used in other areas remained weak.

For the second quarter, revenues fell 6.4% on-year to 137.7 billion yen. New orders or this quarter stood at 117.4 billion yen, which reflected a 23.6% decline from the same period in the fiscal year 2018. From the previous quarter, however, it was up 6.3% and represents a third-consecutive quarterly increase.

“The situation was pretty much the same for the third quarter,” said one industry watcher. "Most of the demand centered on MLCC for auto components, such as radars and camera modules.” He expected the demand to stay robust in the coming fourth quarter as well.

Demand for MLCC for IT products are recovering, but the pace is quite slow, mainly as inventory count remains high. “Demand fell as less people purchased smartphones or home appliances amid the trade war between the US and China that were coupled with economic uncertainties,” said one market watcher.

At Samsung Electro-Mechanics, the component division – which produces MLCC – saw its third quarter sales fall 20% this year, on-year. Operating profit also tumbled 59.9%. MLCC shipment, on the other hand, rose 15% on-quarter.

Taiwan’s Yageo, which mainly products MLCC for low-end IT products, saw its third quarter sales tumble 67% on-year to 380 billion won. But compared to the previous month, sales in July rose 10.2%, 1% in August and 3% in September.

 

The Elec is South Korea’s No.1 tech news platform.


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