AI supports 10, and most of the conductive equipment factories have increased by 40% in total, and 5 quarters in total.

Advanced AI demand, most of the world's 10 conductive equipment factories rose 40% last quarter and increased by 5 quarters. However, from a different perspective, due to the sluggish demand in China, three manufacturers have experienced the largest number of pure profits in the past five quarters.

reported on the 18th that due to strong demand for AI, the total value of more than 10 semi-conductor equipment manufacturers in the world last quarter (April to June, some in May to July) reached US$9.4 billion, a surge of 40% compared with the same period last year, and continued to grow in the fifth quarter. However, from a company's perspective, due to the decrease in demand in China and whether it can afford to eat AI businesses, the industry has shown a clear difference in strength and weakness, five manufacturers including Tokyo Vili Technology (TEL) and Japan have fallen into decline or the growth rate has decreased.

TEL, Japan Screen, and the United States Teradyne, whose pure profit soared by 50% in the same period last year (April to June 2024), all fell into decline last quarter. The number of households that have fallen into decline has the most in the past five quarters (January to March 2024); the number of households with a smaller gain is 2. The Japanese crystal cutting machine manufacturer DISCO, a large-scale manufacturer of crystal cutting machines, shrunk from 87% in the same period last year to 0.2%, and the US Applied Materials also fell from 9% to 4% year-on-year.

One of the main reasons is that China's demand is sluggish. The nine equipment manufacturers that announced the Chinese market revenue figures were US$9.3 billion last quarter, a 5% decrease from the same period last year. From the second half of 2023 to the first half of 2024, China's revenue share continued to remain at around 40%, but it has now dropped to 30%. In addition, some companies have failed to fully gain the strong AI business. Teradyne's pure profit margin dropped by 60% last quarter, and the anti-visual competition between the same industry and Japanese testing equipment business, Advantest, increased its pure profit margin by nearly three times last quarter.

According to reports, the business outlook for more than 10 semi-conductor equipment is quite good. Judging from the forecast of the purchase of this quarter (July-September), the revenue of the 5 European and American manufacturers (ASML, Lam Research, KLA, ASMI and Teradyne) that do not include suitable materials will grow. According to market estimates, the revenue of the four manufacturers (TEL, Idewan, DISCO and Screen) in Japan is expected to grow.

TEL released financial report data on July 31, pointing out that last quarter, the Chinese market revenue dropped by 23% to 212.1 billion yen compared with the same period last year, with a revenue share of 38.6%, a sharp decline of 11 percentage points compared with the same period last year (49.9%). TEL said that because some advanced logical chip customers have promoted investment, and some Chinese New Media Semiconductor Factory investment is not as expected, and the demand for PC/smart phone replacement is not strong, the financial estimate for this year is downgraded, and profits will shrink.

Aidows released financial report data on July 29, pointing out that due to the continued strong demand for AI, the combined pure profit in the previous quarter was 277.7% to 90.2 billion yen compared with the same period last year, and pure profit created a record high in the last quarter. Aidwan pointed out that as the demand for AI-related semiconductors has increased, the demand for testing equipment has increased at a rate exceeding the original expectations. Therefore, this year's financial measurement estimates have been revised, and revenue, profit and purity will continue to create record highs in history.