Aspocomp Group Plc
ASPOCOMP INVESTS EUR 10 MILLION IN ITS OULU PLANT AND STRENGTHENS ITS POSITION AS A TECHNOLOGY AND R&D PARTNER
Espoo,Finland, 2017-12-18 08:00 CET (GLOBE NEWSWIRE) --
Aspocomp Group Plc, Company Announcement, December 18, 2017 at 9:00 a.m.
PCB technology company Aspocomp will invest about EUR 10 million in new technology at its Oulu plant. With these investments, Aspocomp is preparing for growth in demand generated by the progress of digitalization worldwide, such as the rise of 5G technology and AI applications. The investments will bolster the company’s position as a partner to the world’s leading technology and semiconductor companies.
Aspocomp’s investments have two main objectives: 1) to grow the company’s new customer segment, the testing of semiconductor components, by producing high-tech PCBs to meet the testing and R&D needs of customers and 2) to increase production capacity, especially to cater to rapidly rising demand in the 5G and automotive industries.
The first strategic objective of the investments, i.e., the growth of the testing of semiconductor components segment, is supported by the fact that after the investments the company will be even better poised to provide highly technologically advanced PCBs, which enable the testing of very demanding semiconductor components. Due to the digitalization trend, semiconductors require new features and even higher performance, which constantly steps up the need for testing. Furthermore, rapid market launch is vital for customers, which means that on-time PCB deliveries are critically important.
“It is clear to us that the development and testing phases in which PCBs are required will be increasingly challenging in the future. They involve a very high level of technology. In this business, speed is service and it creates demand. Moreover, PCBs suitable for testing are produced in volumes that are a good fit for our Oulu plant, but not for Asian high-volume suppliers, which means that our market position will be excellent after the investments,” says Mikko Montonen, CEO of Aspocomp.
The second strategic objective of the investment, increasing capacity, will bolster Aspocomp’s position as a strategic partner to key players in the automotive and telecommunications industries.
“For instance, when autonomous cars become widespread, this will create additional demand for our products, as will the common use of 5G technology. In the case of autonomous cars, for example, there is no margin for delays in data transmission, not even a millisecond, and this sets tough requirements for components used for this purpose,” says Montonen.
Aspocomp’s customers are the world’s leading semiconductor and telecommunications technology companies.
Aspocomp’s Oulu plant has operated in its current facility since 1992. It has around one hundred employees. The investments will create more than 30 new jobs at the company, most of them at the Oulu plant. The plant’s production lines produce the most challenging designs with the shortest lead-times in the industry.
The investments amount to EUR 10 million and will be made primarily in 2018 and 2019. They will improve the technological capabilities of the Oulu plant and increase its capacity. The floor area of the plant will not be expanded, as the additional capacity will be built inside the current facility.
The investment is partly funded by cash flow from business operations and partly by loan financing.
When Q3 drew to a close at the end of September, Aspocomp's equity ratio amounted to 71 percent and gearing was 5 percent.
Aspocomp keeps its guidelines for 2017 unchanged. At the Capital Markets Day last spring (www.aspocomp.com/cmd), CEO Mikko Montonen presented Aspocomp’s growth targets up to the year 2022: average annual net sales growth of ten percent and an operating profit of at least seven percent.
For further information, please contact Mikko Montonen, CEO,
tel. +358 40 5011 262, mikko.montonen(at)aspocomp.com.
ASPOCOMP GROUP PLC
Aspocomp – a service company specializing in PCB technologies
A printed circuit board (PCB) is used for electrical interconnection and as a component assembly platform in electronic devices. Aspocomp provides PCB technology design, testing and logistics services over the entire lifecycle of a product. The company’s own production and extensive international partner network guarantee cost-effectiveness and reliable deliveries.
Aspocomp’s customers are companies that design and manufacture telecommunication systems and equipment, automotive and industrial electronics, and systems for testing semiconductor components for security technology. The company has customers around the world and most of its net sales are generated by exports.
Aspocomp is headquartered in Espoo and its plant is in Oulu, one of Finland’s major technology hubs.