Grand Process Technology May revenue below expectations on weak agency business; a new factory lease a positive development; OW

研报英文原文证据摘录

Grand Process Technology May revenue below expectations on weak agency business; a new factory lease a positive development; OW

J P M O R G A N Asia Pacific Equity Research

11 June 2026

Grand Process Technology

May revenue below expectations on weak agency Overweight

business; a new factory lease a positive development; 3131.TW, 3131 TT

OW Price (11 Jun 26):NT$3,035.00

Price Target (Dec-26):NT$4,400.00

GPTC’s Apr-May revenue tracked below 2Q26 forecasts, given weakness in the Technology

ACagency business, while equipment revenue will still grow QoQ in 2Q26. GPTC Jimmy Huang

successfully leased a factory in Hsinchu in early June, which could add equipment (886-2) 2725-9865

manufacturing capacity by 80-100 units per year and begin production in early jimmy.huang@jpmorgan.com

2027. We view this new factory lease as a positive development and catalyst, as it J.P. Morgan Securities (Taiwan) Limited

will enable GPTC to capture strong demand in 2027 and reduce its out-sourcing Gokul Hariharan

ratio (out-sourcing is margin dilutive). The company continues to look for an (852) 2800-8564

gokul.hariharan@jpmorgan.com

additional factory lease or acquisition to support capacity addition in 2028 - the J.P. Morgan Securities (Asia Pacific) Limited/ J.P.

progress on this is another key watch point over the next six months. Morgan Broking (Hong Kong) Limited

• Apr-May revenue tracking below 2Q26 forecasts. May revenue of NT

$559mn was up 4% MoM and 7% YoY. Apr-May revenue totalled NT

$1,095mn, reaching 58% and 55% of JPMe and consensus 2Q26 revenue

estimates, respectively. Management attributed the shortfall to weakness in the

agency business. Equipment revenue mix increased to ~70% in Apr-May, from

~60% in 1Q26, indicating growing revenue of equipment. We think the higher