Taiwan-based Tai-Saw Technology, dedicated to supplying SAW (surface acoustic wave) filters and quartz crystal components, is optimistic its shipments for automotive, Wi-Fi 6 and other networking applications will grow significantly in the third quarter of 2021.

The company's July revenues hit a record high of NT$274 million (US$9.78 million) and January-July 2021 revenues soared 30.73% on year to NT$1.614 billion, split 55:45 between SAW filters and crystal components. It managed to rake in net earnings of NT$57 million in the second quarter, ending a three-quarter streak of operating losses.

Tai-Saw also logged a notable improvement in second-quarter gross margins, reaching 24.69%, up from 12-17% seen in the preceding four quarters. Contributing factors included reduced China-bound shipments to segments with keen price competition, increased sales for networking applications offering high gross margins, and quote hikes enforced to reflect materials cost increases, according to company chairman YT Huang.

Huang said automotive applications soared to account for 25% of its second-quarter revenues and the ratio is expected to rise further in the third quarter as its shipments to automakers in Japan, Korea and the US will continue rising steadily.

Huang also noted business opportunities arising from the migration of Wi-Fi 5 to Wi-Fi 6 will proliferate in the next 3-5 years, promising stable growth momentum for Tai-Saw in the near future.