KUALA LUMPUR: KESM Industries Bhd, a semiconductor devices testing and burn-in services company, plans to capitalise on green technology amidst a weakening global semiconductor industry.
“We will be assured of gaining more clients as more clients turn ‘green’,” said Sam Lim, CEO of KESM Industries, after the group’s AGM yesterday.
Lim said the group’s recent ISO 14000:2008 certification in quality management standard for the automotive industry was going to be among factors that will sustain the company’s growth in the coming year. The certification was timely as more automobile manufacturers turn towards more environmentally-friendly cars and use more sophisticated electronics systems onboard, which means the group is now well-positioned to garner a larger clientele list.
Lim explained that with no new invention or gadget that would excite the market to spur the semiconductor industry, the group has had to focus on markets which can yield the best results such as lifestyle changing products with high growth, such as smartphones and tablets as well as the automobile industry.
“We are aligning (our) strategies now for the high growth market... that’s all we can do (in this economic climate),” he continued. “I cannot be optimistic with what I’m seeing right now.”
The semiconductor industry is largely dependent on the global economic climate, which in turn dictate consumer spending. In the past, Lim explained that most electronics with chip components were mainly used for military applications, now it is widely used in consumer electronics. The need for “burn-in” is fast becoming a necessity, he added.
Burn-in is the process of stressing semiconductor devices by applying electronic voltages and signals at an elevated temperature by pursuing burn-in boards, burn-in system, loader/unloader and testing equipment.
The technique involves subjecting a device to heat and voltage stress for several hours or days to test the limits of its electrical performance. This method ensures a high reliability of semiconductors.
KESM Industries saw net pro-fit and revenue for its first quarter ended Oct 31 fall 60% and 20.8% to RM1.8 million and RM50.4 million, respectively, from RM4.5 million and RM63.6 million a year ago.
“We will be assured of gaining more clients as more clients turn ‘green’,” said Sam Lim, CEO of KESM Industries, after the group’s AGM yesterday.
Lim said the group’s recent ISO 14000:2008 certification in quality management standard for the automotive industry was going to be among factors that will sustain the company’s growth in the coming year. The certification was timely as more automobile manufacturers turn towards more environmentally-friendly cars and use more sophisticated electronics systems onboard, which means the group is now well-positioned to garner a larger clientele list.
Lim explained that with no new invention or gadget that would excite the market to spur the semiconductor industry, the group has had to focus on markets which can yield the best results such as lifestyle changing products with high growth, such as smartphones and tablets as well as the automobile industry.
“We are aligning (our) strategies now for the high growth market... that’s all we can do (in this economic climate),” he continued. “I cannot be optimistic with what I’m seeing right now.”
The semiconductor industry is largely dependent on the global economic climate, which in turn dictate consumer spending. In the past, Lim explained that most electronics with chip components were mainly used for military applications, now it is widely used in consumer electronics. The need for “burn-in” is fast becoming a necessity, he added.
Burn-in is the process of stressing semiconductor devices by applying electronic voltages and signals at an elevated temperature by pursuing burn-in boards, burn-in system, loader/unloader and testing equipment.
The technique involves subjecting a device to heat and voltage stress for several hours or days to test the limits of its electrical performance. This method ensures a high reliability of semiconductors.
KESM Industries saw net pro-fit and revenue for its first quarter ended Oct 31 fall 60% and 20.8% to RM1.8 million and RM50.4 million, respectively, from RM4.5 million and RM63.6 million a year ago.
