Taiwan’s Sigurd Microelectronics Corp. is ramping up capital expenditure by 75% to NT$3.5 billion (US$111 million) this year to meet growing demand from customers seeking to navigate new US tariff policies.
The semiconductor testing firm reported first-quarter net income of NT$757 million (US$24 million), down 4% from the previous quarter but up 2% year-on-year, with earnings per share of NT$1.57, according to a statement following its May 5 board meeting.
Quarterly revenue reached NT$4.69 billion, representing a 5% decrease from the previous quarter while showing nearly 13% growth compared to the same period last year. The company’s April revenue of NT$1.56 billion was down 2% month-on-month but increased more than 4% year-on-year.
The US has been preparing to announce semiconductor tariffs, with the public comment window for the Section 232 semiconductor probe closing on May 7. President Trump has previously proposed tariffs as high as 100% on Taiwanese chips, creating uncertainty in the industry.
Sigurd’s chairman indicated the tariff situation has created new market dynamics within various countries, prompting certain customers to expand orders. The increased capital spending will primarily finance additional testing equipment purchases.
The company maintains a cautiously optimistic outlook for the semiconductor market, with steady demand across multiple product lines including mobile chips, networking components, AI processors, and high-performance computing solutions.
