Printed circuit board (PCB) leader Zhen Ding Technology (4958.TW) plans to invest more than NT$30 billion (approx. USD 1 billion or CNY 7.2 billion) each year in 2025 and 2026, with roughly 50% of the capital expenditure earmarked for expanding advanced HDI and HLC capacity to capture growth in high-computing AI products, Chairman Charles Shen announced during the company's earnings call on August 12.

The expansion spans facilities in mainland China, Thailand, and Taiwan. In mainland China, Zhen Ding is adding capacity for AI-related HDI and HLC production and debottlenecking advanced flexible PCB lines. In Thailand, its first plant began trial production in May and has already secured certifications from major server and optical communication clients, with limited production set for the fourth quarter of 2025. A second Thailand plant is under construction, while the Kaohsiung AI campus is installing equipment for advanced ABF substrates and HLC+HDI capacity, scheduled for trial runs by year-end.

Zhen Ding reported second-quarter 2025 revenue of NT$38.203 billion, up 17.9% year-on-year and a record for the period, with net income of NT$605 million and EPS of NT$0.63. First-half revenue rose 20.6% to NT$78.285 billion, also a record, with net income of NT$1.237 billion and EPS of NT$1.30. The company's AI-related PCB revenue mix has grown from 8% in 2023 to 45% this year and is projected to reach 70%.

Shen said demand across the company's four core application areas—mobile communications, computing and consumer electronics, servers/automotive/optical communications, and IC substrates—remains strong, with IC substrates posting the highest growth. The company sees AI-driven performance demands and product innovation as the PCB industry's key growth drivers over the coming years, and Zhen Ding is among the few suppliers capable of delivering OAM/UBB integrated solutions for high-end AI servers.

The board also approved issuing up to US$400 million in unsecured convertible bonds to support growth initiatives. Shen emphasized that Zhen Ding's global production strategy and technology portfolio—spanning MSAP, HDI, HLC, and advanced substrate capabilities—position it to jointly develop next-generation high-performance products with customers.