- Grand Venture Technology (SGX:JLB)'s 9M23 revenue of S$82.4m (-17.6% y-o-y) broadly in line with expectations. 9M23 contributions account for 74% of our full-year estimates.
- Excess inventories in the face of a semiconductor downcycle continued to weigh on Grand Venture’s top line, resulting in a 32.5% decline in the semiconductor segment.
- - Read this at SGinvestors.io -
- Higher aerospace contributions were offset by weakness in the electronics and others subsegments.
Our thoughts
Industry emerging out of a chip glut but pronounced uptick for Grand Venture likely delayed till 2H24.
- - Read this at SGinvestors.io -
- Across the industry, it appears that capital investments by semiconductor players could lag sales growth, given the uncertain macroeconomic climate. Grand Venture also sees continued headwinds for the rest of 2023, a gradual improvement into 2024, followed by a more pronounced uptick in 2H24.
Healthy demand for life sciences; aerospace up and coming.
- Read more at SGinvestors.io.
