Yageo Corp, Taiwan’s largest passive component maker, reported record April revenue of NT$11.5 billion ($383 million) as artificial intelligence applications fueled stronger-than-expected demand across its product lines.
Chairman Chen Tai-ming expressed optimism about the second half during the company’s shareholders meeting Tuesday, citing book-to-bill ratios exceeding expectations. Some AI-related product segments are showing ratios between 1.2 and 1.3, well above the balanced 1.0 level that indicates demand matching supply.
Chief Executive Wang Dan-ru said capacity utilization has improved to 70% for general products and over 80% for specialty components, up from 65% and 75% respectively. Certain AI-related parts are experiencing supply shortages, according to Wang.
The Taoyuan-based manufacturer posted NT$42.6 billion ($1.42 billion) in revenue for the first four months, representing 8.6% annual growth. The performance reflects broader industry momentum as AI servers require five to ten times more multilayer ceramic capacitors than traditional servers.
Yageo’s heavy reliance on US dollar-denominated revenue provides some insulation from recent New Taiwan dollar strength, Wang noted. The company maintains natural currency hedging through dollar-based costs and expenses.
Direct shipments to the US market represent approximately 10% of total revenue, limiting exposure to potential tariff impacts, Wang added.
