ASE Technology Holding (NYSE:ASX), the world’s largest provider of semiconductor assembly and testing services, reported unaudited consolidated net revenues for March and the first quarter of 2026 on April 10, 2026.
The results highlight a powerful year-over-year recovery driven by the global surge in artificial intelligence (AI) infrastructure and high-performance computing (HPC).
For March 2026, the company achieved net revenues of NT$61,577 million (US$1,949 million), representing a strong 18.2% sequential increase from February and a 14.6% increase compared to March 2025.
The sequential jump reflects the typical end-of-quarter volume ramp and the easing of earlier supply chain constraints.
On a quarterly basis, Q1 2026 consolidated net revenues reached NT$173,662 million (US$5,508 million).
While this figure represents a slight 2.4% sequential decline—consistent with the broader semiconductor industry's seasonal first-quarter cooling—it marks a robust 17.2% increase year-over-year.
The standout performer remains the Assembly, Testing, and Material (ATM) segment, which is the primary beneficiary of the transition toward complex chiplet architectures and 2.5D/3D packaging.
March ATM revenues soared to NT$39,823 million (US$1,261 million), a 27.6% increase year-over-year.
For the full quarter, ATM revenues totaled NT$112,434 million, up 29.7% compared to Q1 2025, significantly outperforming the company's broader growth rate.
Management recently indicated that ASE's advanced packaging business is on track to double in scale by the end of 2026, targeting approximately $3.2 billion in revenue for the year.
This growth is supported by a massive capital expenditure program, including an additional $1.5 billion investment in machinery and a newly announced $3.4 billion AI chip testing hub in Kaohsiung, which broke ground earlier this week.
Meanwhile, the surge in ATM utilization, currently estimated at approximately 80%, is expected to drive margin expansion in the second half of 2026 as operating leverage improves.