Everlight Chemical (TWSE: 1711) reported a return to revenue growth in the first quarter of 2026, driven by its electronic chemicals division. The company is renegotiating pricing models for international OEM contracts to improve margins and continues to promote its own brand. Its photosensitive polyimide (PSPI) product for advanced semiconductor packaging remains in the sampling stage, with no mass production orders yet secured.
Electronic chemicals division gains traction
Everlight Chemical's electronic chemicals business accounted for 24% of total revenue in 2025, making it the company's second-largest segment. General Manager Chen Wei-wang stated that the division saw significant growth in the first quarter of 2026. However, the segment posted a wider loss compared to the same period last year, primarily due to fixed pricing in international OEM contracts that could not absorb cost fluctuations.
Pricing model overhaul for OEM contracts
To address margin pressure, Everlight has been actively negotiating with key OEM customers since last year to adopt a more flexible pricing model. The new structure is designed to better accommodate raw material and operational cost changes, which the company expects will stabilize profitability going forward. This shift is particularly relevant for overseas buyers sourcing electronic chemicals from Taiwan.
PSPI sampling continues amid Japan supply concerns
Everlight's PSPI, a critical material for advanced semiconductor packaging, is still in the customer sampling phase. The product, originally developed for automotive applications via technology transfer from ITRI five years ago, has not yet been formally adopted for semiconductor use. Customers are taking longer to qualify the material because it remains permanently on the device, and they currently prefer Japanese suppliers.
Photoresist capacity expansion for advanced packaging
Photoresist remains a core technology for Everlight. The company is seeing steady growth in OEM demand for photoresist products used in back-end semiconductor packaging. A new production line, built in response to international customer requests, is nearly complete and will focus on advanced packaging photoresists. Shipments are expected to begin gradually this year.
What buyers should watch
Overseas importers and distributors of electronic chemicals should monitor Everlight's progress in PSPI qualification, as any shift from Japanese to Taiwanese supply could open new sourcing options. The company's move to flexible pricing in OEM contracts may also affect cost structures for long-term buyers. Additionally, the new photoresist line signals growing capacity for advanced packaging materials, which could benefit formulators and manufacturers in the semiconductor supply chain.
Source: Read the original report | Published: April 28, 2026