Mingxi Corporation's April revenue dropped by over 50% compared to the same month last year, primarily because of weak demand for customer orders.

Mingxi Corporation (Stock Code: 6804) announced on May 9, 2025, that its consolidated revenue for April was NTD 88.266 million, a decrease of 50.26% compared to NTD 177.466 million in the same period last year. The cumulative revenue for the first four months of this year was NTD 429.635 million, a decrease of 30.81% compared to the same period last year. The company stated that the decline in revenue was mainly due to a decrease in customer orders, highlighting the impact of weak market demand on the company's performance.

Weak Customer Demand Cuts Mingxi's Revenue in Half

In April 2025, Mingxi's consolidated revenue reached only 88.266 million yuan, a decrease of 89.2 million yuan compared to the same period last year, representing a year-on-year decline of 50.26%. This rare instance of monthly revenue halving indicates significant demand pressure in the industry.

According to the company's announcement and financial report, Mingxi attributed the revenue decline this month to "reduced customer order demand." This explanation highlights that the revenue downturn is not due to production or supply chain issues but rather weak end-market demand, leading to a decrease in customer willingness to place orders, thereby affecting the company's overall shipments and revenue performance.

Cumulative Revenue Also Shows Significant Decline

Not only was the monthly performance poor, but Mingxi's cumulative revenue for the first four months of this year also showed a significant decline. From January to April 2025, Mingxi's cumulative revenue was 429.635 million yuan, a decrease of 191.33 million yuan compared to 620.965 million yuan in the same period last year, marking a year-on-year decline of 30.81%.

This data indicates that the revenue decline is not a one-off occurrence but a trend continuing since the beginning of the year. From the start of the year until now, Mingxi has been under pressure from reduced orders, reflecting adjustments in market demand among its major customer base, possibly related to the economic cycle of the end-application market or changes in industry structure.

Revenue Structure and Industry Background

Mingxi is primarily engaged in the design and manufacturing of electronic components and related modules, with product applications covering communications, consumer electronics, and industrial control. Its revenue heavily relies on the order volume from specific customers, so when major customers adjust their inventory or delay shipments, it directly impacts the company's revenue.

The announcement did not further disclose specific changes in customers or product lines, but from the explanation of "reduced customer order demand," it can be inferred that the industry chain Mingxi serves is currently in a demand adjustment period, possibly related to global electronic industry fluctuations.

Operational Pressure Revealed by Financial Report

From the financial report data, Mingxi's revenue performance in April 2025 has fallen to a recent low, with monthly revenue below 90 million yuan, almost halving compared to the same period last year. This revenue level will significantly increase the pressure on fixed costs and working capital, especially with declining capacity utilization, which may simultaneously pressure gross and net profit performance.

Additionally, the cumulative revenue year-on-year decline of 30.81% also means that the company will face challenges in achieving its annual operational targets. If customer demand does not recover in the short term, Mingxi may need to further adjust its production planning and cost structure to cope with the financial pressure brought by the revenue decline.

Impact on the Industry Chain

The electronic component industry in which Mingxi operates is highly competitive and rapidly changing. When end-market demand fluctuates, the entire supply chain is affected. Mingxi's revenue decline suggests that its major customers may be undergoing inventory adjustments or facing sales pressure, thereby reducing procurement of upstream components.

Such situations are not uncommon in the electronics industry, especially against the backdrop of increased global economic uncertainty and slowing sales of consumer electronics, where all supply chain segments need to manage inventory and cash flow more cautiously.