Above: Assembly floor at PCB Technologies
The sales of the Electronic Manufacturing Services provider from the Galilee, PCB Technologies, were not affected by the COVID-19 Pandemic. “We have experienced growth in demand from our core customers in the defense and medical industries,” said PCB’s CEO Oved Shapira. “They were not affected by the Global pandemic. We even increased our investments in capacity building in order to meet their needs.”
During the second quarter of 2020, revenues grew by approximately 24% compared to the second quarter 2019, amounting to approximately $31.3 million. The growth was felt in the company’s two main areas of operations: the production of printed circuit boards and the assembly of electronic boards.
PCB Technologies reported a 45% increase in gross income (approximately $3.6 million) following the implementation of a plan to improve productivity on the production floor and to reduce fixed production costs. Net income was approximately $1.9 million, compared to $365,000 in the second quarter of 2019. In the first half of the year, sales totaled at approximately $57.4 million, compared to $54 million in the first half of 2019.
Expansion through R&D and Acquisitions
Shapira: “We recently acquired an account that may generate an additional annual revenue of about $5-8 million. This acquisition brings us new customers. We are constantly exploring options to increase production capacity in several destinations in the Western markets through attractive acquisitions.”
PCB Technologies is controlled by the FIMI Opportunity Funds private equity firm (approximately 48%) and is traded on the Tel Aviv Stock Exchange at a value of approximately NIS 366.7 million ($108 million). It provides complex printed circuit board production services and electronic manufacturing services (EMS).
It currently employs roughly 750 people. During the first quarter of 2020, the company established a large research and development department, in order to develop proprietary new technologies to innovate the production of PCB’s and bring new products to the market.