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PR Newswire
29-07-2021, 12:20 PM
Dear all,
Some questions here and I try to attempt to answer them as much as I can.
First, MM is not in the business of precision manufacturing equipment. They are in the business of providing high precision replacement parts and tools. Tools and parts do wear and tear after usage and they need to be replaced regularly.
Second, MM business is not dependent on a single or a few large customers. In fact, their customer base is pretty diversified. This is because replacement parts are needed for semi conductor manufacturing process. Those parts are mostly standard ones and not designed with a specific customer in mind. Which is why I said MM do not need a lot of high end R&D earlier. If you supply to only Apple, most likely those parts are only used by them and not quite standard ones. MM is not in those kind of business.
Third, though semiconductor industry do experience boom and bust, as long as you run a fab, you need to keep some machines running. When they run, they wear out their parts and needs to be replaced. Therefore, though MM business will be affected by downturn in the industry, overall they are less affected than others in the forefront of it like TSMC, which runs fabs and churn out chips.
Hope that the above helps to clarify some queries here.
Some questions here and I try to attempt to answer them as much as I can.
First, MM is not in the business of precision manufacturing equipment. They are in the business of providing high precision replacement parts and tools. Tools and parts do wear and tear after usage and they need to be replaced regularly.
Second, MM business is not dependent on a single or a few large customers. In fact, their customer base is pretty diversified. This is because replacement parts are needed for semi conductor manufacturing process. Those parts are mostly standard ones and not designed with a specific customer in mind. Which is why I said MM do not need a lot of high end R&D earlier. If you supply to only Apple, most likely those parts are only used by them and not quite standard ones. MM is not in those kind of business.
Third, though semiconductor industry do experience boom and bust, as long as you run a fab, you need to keep some machines running. When they run, they wear out their parts and needs to be replaced. Therefore, though MM business will be affected by downturn in the industry, overall they are less affected than others in the forefront of it like TSMC, which runs fabs and churn out chips.
Hope that the above helps to clarify some queries here.