Lee Si Xian, the General Manager of copper foil manufacturing Co-tech Development, is bullish on performance in the second half of the year and anticipates challenging new revenue heights throughout the year. He explained that as customers are increasingly demanding higher-quality copper foils, Co-tech Development has upheld the spirit of craftsmanship and focused on improving quality in recent years. By implementing equipment optimization and process changes last year, the monthly production capacity has increased from 1,100 metric tons to 1,650 metrics tons and is expected to further increase to 1,750 metric tons in the second half. Following the emergence of electric vehicles and 5G communications, the company expects to boost another wave of strong demand in the future.
 

      Co-tech Development made inroads into Korean Samsung’s supply chain last year and is now actively developing the copper foil market for FPC and server-related applications. It is also fighting to win CCL (copper clad laminates) customers in China. Expecting that the processing costs in Q2 will remain about the same as Q1 this year, the company’s profit increase in Q3 is thus inevitable when the PCB industry enters its peak season.

 

      Analyzing the product proportion of Co-tech Development in Q1, automobile electronics accounted for 35%-40%, HDI (high-density interconnect) mobile phone PCBs for about 30%, general 3C products for about 20%, and FPCs and servers for about 8%. Lee Si Xian pointed out that the proportion of automobile electronic products is stable. At present, the company is actively strengthening FPC and server products with higher gross profits and unit prices in the hopes that the proportion of related products can gradually increase not only quarterly but also annually. Co-tech Development is placing its development focus on adjusting its product mix to enhance competition.

 

      Lee Si Xian noted that with various countries trial implementing 5G, he expects that the company will start to fulfill small trial orders for customers next year, but order quantities will likely significantly increase by 2020. (Source: Liberty Time Net)