Yageo Reported 2020 September

Yageo Corporation announced today its 2020 September consolidated sales of NT$ 7,662 million, up 5.0% m-o-m and up 117.8% y-o-y, respectively. The third quarter consolidated sales totaled NT$ 21,967 million, up 63.1% q-o-q and up 113.0% y-o-y, respectively. The YTD consolidated sales reached NT$ 45,454 million, up 45.3% y-o-y.

Monthly revenue in September was higher than previous month, mainly benefited from stably increased demands from end customers and gradual improvement in production and capacity utilization at the Chinese factories. Looking ahead to the fourth quarter, as the global COVID-19 pandemic has not eased and the uncertainty of international trade dispute remains high, while the company has gradually increased MLCC’s capacity utilization rate to 80% and R-chip’s UTR to 70% to meet the steadily increasing market demand, but consequently has difficulty to significantly increase the finished goods inventory level. The inventory turnover days is expected to stay below 60 days.

Furthermore, Yageo will continue to enhance its strategic alliance partnership with major clients in various industries for key electronic components, not only to expand its market share and business scale but also to fulfill the multiple demand increase for customized high-end specialty products from future technologies. This will eventually maximize the company's value in high-end automotive, industrial, medical, aerospace, and 5G/IoT segments, and to deliver stable revenue and profitability growth in the future.