Niche-market MLCC specialist Holy Stone Enterprise has seen clear order visibility for the next 15-16 weeks and continues to run its production lines at full capacity utilization, according to the company.
To meet robust market demand, the company said it has moved to enforce a 10% capacity expansion for medium- and high-voltage MLCCs for industrial control, networking, power supply, and automotive applications, at its plant in Longtan, northern Taiwan.
The company was set to commercialize the new capacity in the third quarter, but the commercialization will be deferred as foreign mechanical engineers remain unable to enter Taiwan for equipment installation under strict COVID-induced border restrictions, according to industry sources.
Market demand for MLCCs and other passive components stays strong, but actual shipments to downstream clients are affected by shortages of chips and other components, the sources said, adding that clients remain eager to place more orders so as to sustain a sufficient inventory of passive components.
Holy Stone has reported its second-quarter 2021 revenues rose 21% on year to NT$4.406 billion (US$157.36 million), and net earnings for the quarter jumped 64% on year to NT$581 million. Its January-July sales gained 27.78% on year reaching NT$10.307 billion.
