Taiwan-based GreenFiltec (GFT), which specializes in AMC solutions for cleanroom facilities, has enjoyed a strong pull-in of orders from foundries and expressed optimism about its sales performance in 2022 and 2023.
Some market observers pointed out that first-tier semiconductor companies such as TSMC, Macronix International (MXIC), Micron, and Nanya Technology are all clients of GFT.
With the clients pushing the development of advanced manufacturing processes and expanding capacity, GFT now supplies nearly 50% of the clients' demand for filters for their sub-10nm nodes.
At the moment, over 90% of GFT's revenues were contributed by the top-5 clients with those from AMC filters and components accounting for around 88% of the overall amount. Within the revenues from AMC filters and components, 10% are from installation services, 60% from replacing old filters, and 30% from new facility demand.
GFT is able to produce a total of 50,000 filters a month currently and the capacity is expected to double with a new factory, which started construction in third-quarter 2021 in southern Taiwan, beginning operation in first-quarter 2023.
The new factory will also be capable of manufacturing some filter components to reduce GFT's reliance on outside procurement. With the company set to raise its in-house component manufacturing rate to above 50%, GFT's profitability will also enjoy a major improvement as around 75% of filter's costs are from components.
The company also developed technologies to refurbish used filters and has already sent samples for clients to test.
GFT is currently facing fierce competition from first-tier companies such as Camfil and Entegris. Although GFT is smaller in terms of business scales, the company is still leading these players in the product lifecycle, stability, prices as well as services, solutions, and R&D.
GFT generated a total of NT$828 million in consolidated revenues in 2021, up 28% on year. The company's first-quarter 2022 consolidated revenues were NT$248 million, down 7.57% sequentially, but up 61.72% on year. The company's net profits went down sharply on quarter in the first quarter of 2022 but were up 91.56% on year.
Seeing clients have been keen on further reducing the waste from filters, GFT is already working with each client to design solutions and is pushing the combination of make-up air unit (MAU), cleanroom fan filter units, and recyclable filters for end terminals to achieve their targets. Such solutions are expected to raise GFT's revenues in 2022 by more than 30% on year.
