TAIPEI (Taiwan News) — ChipMOS Technologies plans to raise annual capital spending to more than 25% of revenue as it expands into AI and other high-growth semiconductor applications, Chair Cheng Shih-chieh (鄭世杰) said Tuesday.
Cheng said memory demand should help the company’s second-half operations outperform the first half, with capacity utilization at its testing and packaging facilities improving, per CNA. He said demand for DDR4 and DDR5 has grown, while flash memory demand has remained stable.
ChipMOS said its annual capital spending had been below 20% of revenue but could exceed 25% this year and remain above that level next year. The company said it plans to invest in memory testing and packaging, automated AI equipment, and mixed-signal applications.
The company also plans to expand its mixed-signal testing and packaging business to smartphone and AI Application Specific Integrated Circuit products. Cheng said smartphone-related projects are underway, with high-end testing equipment expected to arrive by the end of this year.
ChipMOS plans to use its wafer bumping and testing and packaging capacity to enter optical communications and silicon photonics supply chains, per Liberty Times. Investments in mixed-signal products are expected to account for about 7% to 10% of total capital spending this year, the company said.
ChipMOS reported a Q2 revenue of NT$7.38 billion (US$229.04 million), up 6.5% from the previous quarter and 28.7% from a year earlier, setting a quarterly record since its 2014 listing, CNA reported. Profit attributable to owners of the parent company rose 76.6% to NT$891 million, while first-half profit reached NT$1.4 billion, with earnings per share of NT$2.
