Fueled by the rising demand for generative AI, global semiconductor testing equipment giant Advantest has revised upward its fiscal projections for the year spanning from April 2023 to March 2024. Advantest witnessed a significant surge in sales in the last quarter (October-December 2023), particularly in the Taiwan market.
In a press release issued on January 31, Advantest attributed the revision to the increasing demand for testing equipment driven by the surge in generative AI requirements. Consequently, the company raised its consolidated revenue target for the fiscal year from the initial forecast of JPY 470 billion to JPY 480 billion (a year-on-year decrease of 14.3%).
Similarly, the consolidated operating income target was adjusted upward from JPY 80 billion to JPY 85 billion (a year-on-year decrease of 49.3%), and the consolidated net income target was raised from JPY 60 billion to JPY 64.5 billion (a year-on-year decrease of 50.5%).
Advantest also released its financial results for the last quarter (October-December 2023) net sales decreased by 3.4% year-on-year to JPY 133.2 billion, consolidated operating income decreased significantly by 34.9% to JPY 26.8 billion, and consolidated net income decreased by 26.0% to JPY 21.2 billion.
Advantest noted that the demand for testing equipment for high-performance DRAM, such as HBM used in the generative AI sector, is on the rise. Therefore, the company has raised its sales forecast for memory testing equipment for the current fiscal year by JPY 5 billion to JPY 81 billion.
“In order to fulfill all the demand increase in the market we need to make further efforts,” stated by Advantest CEO Yoshiaki Yoshida stated during the financial results briefing held on January 31st.
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(Photo credit: Advantest’s Facebook)