Besi reports 96% surge in orders driven by AI demand

BE Semiconductor Industries (Besi) reported third-quarter orders of €342.6 million, a 96% increase compared to the same period last year and a 17% rise from the previous quarter. This figure exceeded analyst expectations of €298 million, driven largely by sustained demand for artificial intelligence data center infrastructure.

Despite the strong order intake, the company faces market uncertainty regarding the adoption rate of its hybrid bonding technology. While Besi provides essential equipment for advanced chip packaging and stacking, analysts have expressed concerns over the pace of technology integration and potential competition from ASML.

Recent financial volatility has impacted Besi's stock, following downgrades from major institutions like Bank of America and Barclays. These analysts cited risks including delayed hybrid bonding adoption in High Bandwidth Memory (HBM), potential margin pressure from increased competition, and cyclicality in the flip chip market.