TXC Outlook: Plans Full-Year Capital Expenditure of NT$1.078 Billion, Focusing on AI Demand with Pingzhen as Core

Leading frequency component manufacturer TXC (3042-TW) held its annual investor briefing today (19th). As full-year revenue is projected to surpass NT$15.7 billion, setting a new historical high, the company also announced an aggressive capital expenditure plan. TXC plans to invest NT$1.078 billion in capital expenditures in 2026, with approximately NT$690 million allocated to its Taoyuan Pingzhen plant. Eighty percent of the total expenditure will be directed toward AI applications.

Amid a global scramble for equipment to meet surging demand, TXC CEO Alice Kuo stated in an interview that the new equipment ordered for the Pingzhen plant is on track to arrive before the end of the fourth quarter of 2026.

TXC’s current production bases span Pingzhen in Taoyuan, Taiwan; Japan; Ningbo, Zhejiang; Chongqing; and Indonesia. Amid concerns that geopolitical factors could disrupt supply chains, Kuo emphasized that the company’s investment strategy will enable each production site to eventually possess full-series product manufacturing capabilities, thereby enhancing global production scheduling flexibility and supply resilience.

For 2026, TXC has budgeted NT$1.078 billion in capital expenditures. Of this, approximately NT$690 million will go to the Pingzhen plant, primarily to expand front-end processes in response to increased volume and higher specifications driven by AI demand. Meanwhile, the Ningbo plant will expand its front-end capacity to meet local production needs in China. The Chongqing plant will moderately increase production capacity for automotive and miniaturized products. The relatively smaller Indonesia plant will gradually establish production lines for related products in response to geopolitical and supply chain demands.