Memory IC backend firms report sequential growth in October revenues

Powertech Technology PTI Walton Advanced Engineering and Formosa Advanced Technologies FATC all saw their revenues for October 2010 grow on month, with PTI setting record monthly highs, according to data released by the companies.

PTI's consolidated revenues for October rose 0.87% sequentially to NT$3.35 billion US$111 million a monthly record for the seventh consecutive month. The company accumulated NT$31.12 billion in consolidated sales from January to October, showing 29.3% growth from the same period of 2009.

PTI chairman DK Tsai recently pointed out that the company expects to generate sequential revenue growth through the first quarter of 2011, thanks to growing demand from memory clients which are migrating their production to more advanced processes, as well as rising orders for mobile DRAM products.

Walton reported October 2010 revenues of NT$713 million, up 6.9% from September and the highest since January 2007. Revenues from January through October increased 37.3% from a year ago to NT$6.16 billion.

FATC turned in NT$969 million in October revenues, up 12.6% on month. Revenues for the first 10 months of 2010 amounted to NT$9.57 billion, increasing 34.1% from a year earlier.

Both Walton and FATC will see their DRAM customers ramp up output using 50nm process technology during the fourth quarter, and their order volumes are expected to climb later in the quarter.

Market watchers expect PTI, Walton and FATC to enjoy single-digit revenue growth sequentially in the fourth quarter.