①Nanyaxin Materials introduced that its RMB 900 million non-public placement software has been accepted and will probably be used for the development of high-end, high-frequency, and high-speed copper-clad laminate capability based mostly on AI computing energy, amongst different functions; ②Industry analysts imagine that if the progress charge of terminal demand for AI cloud providers and giant mannequin coaching slows down, a major quantity of deliberate high-end PCB capability will come on-line between 2026 and 2027. At that point, the supply-demand dynamics of the {industry} might reverse, triggering intense worth competitors.
The Star Market Daily, May 3 (reported by Wu Xuguang) – The surge in infrastructure demand pushed by the AI wave has pushed the printed circuit board (PCB) {industry} to an unprecedented peak.
The Q1 2026 monetary experiences present widespread income progress for PCB firms listed on the STAR Market of the A-share market: in keeping with information from Cailian Press’ Xingkuang database, the complete income of 17 PCB firms on the STAR Market exceeded RMB 12.888 billion, with internet income surpassing RMB 1.646 billion. Among them, 12 firms achieved each income and internet revenue progress, accounting for roughly 71% of the complete quantity of firms disclosing monetary statements.
Notably, six firms—Xunjiewei, Shengyi Electronics, Jiayuan Technology, Nanyaxin Materials, Aike Optoelectronics, and Huafeng Technology—recorded income progress exceeding 50%. Meanwhile, three firms—Xinrui Shares, Ouke Industry, and Xidian Microelectronics—achieved greater than double their income in the first quarter, main the sector.
Despite the sustained enthusiasm surrounding the AI {industry}, the PCB sector has already launched into a large-scale enlargement of high-end manufacturing capability, with many main firms investing billions of yuan into initiatives geared toward increasing superior manufacturing capabilities. This has sparked widespread issues: as soon as the newly added capability comes on-line after 2026, if the progress charge of AI-related terminal demand falls quick of expectations and fails to keep up excessive progress, will the PCB {industry} bid farewell to a part of simultaneous quantity and worth will increase and as an alternative enter a fiercely aggressive low-price setting?
▍High-end merchandise are the key determinant of revenue progress.
Overall, the PCB {industry} has continued to see rising prosperity just lately.
Companies in the PCB provide chain have delivered spectacular working outcomes throughout this AI-driven growth. Four corporations—Nanyaxin Materials, Jiayuan Technology, Xinrui Shares, and Shengyi Electronics—reported revenues exceeding RMB 1 billion in the first quarter of this yr.
Specifically, in Q1 2026, Nanyaxin Materials reported income of RMB 2.411 billion, a year-on-year improve of 52.62%, and internet revenue attributable to shareholders of RMB 445 million, up 122.16% year-on-year. In the similar interval, Jiayuan Technology achieved income of RMB 3.445 billion, a year-on-year improve of 73.94%; internet revenue attributable to shareholders was RMB 121 million, up 392.77% year-on-year; and non-recurring internet revenue reached RMB 109 million, marking a staggering 1,208.18% year-on-year improve. The firm’s quarterly revenue was greater than twice its complete revenue for the earlier yr.
Even extra exceptional are some “growth dark horses.” In Q1 2026, Ouke Industry’s income surged 113.49% year-on-year, with internet revenue skyrocketing by 2,560.71%. Similarly, Xinrui Shares and Xidian Microelectronics achieved income progress charges of 111.57% and 112.48%, respectively, whereas their internet revenue progress charges have been 576.15% and 108.98%, putting them at the forefront of the sector.
PCB merchandise might be additional categorized into inflexible boards, versatile boards, metal-based substrates, HDI boards, and packaging substrates, amongst others.
Among these, HDI boards and packaging substrates are thought-about high-end PCB merchandise, extensively used in premium shopper electronics, servers, and chip sectors. The core driver of this spherical of {industry}’s excessive progress is attributed to the explosive demand for AI servers.
Compared with conventional servers, AI servers (particularly GPU servers) impose extraordinarily excessive necessities on PCBs. The superior HDI required differs considerably in technological generations from the HDI used in shopper electronics and normal automotive electronics.
Due to important variations in the income share of high-end merchandise and product construction amongst firms, there’s a notable divergence in revenue progress charges inside the PCB sector. Performance gaps primarily stem from listed firms’ product combine, manufacturing capability scale, and the tempo of their high-end product deployment. Enterprises that exactly place themselves to fulfill the demand for high-end PCB markets exhibit extra outstanding progress charges.
In the first quarter of 2026, as many as 9 PCB-related shares reported internet revenue progress exceeding 100% year-on-year. Among them, Ouke Yi stood out with a staggering progress charge of 2560.71%, whereas Nanya Xincailiao, Xinrui Shares, and Jiayuan Technology achieved progress charges of 610.8%, 576.15%, and 392.8%, respectively.
In phrases of R&D funding ranges, throughout the first quarter of 2026, Huafeng Technology, Nanya Xincailiao, Xinrui Shares, and Xidawei Equipment reported year-on-year R&D funding progress charges of 78.8%, 66.1%, 58.5%, and 56.44%, respectively, putting them in the high tier. During the similar interval, Dongwei Technology and Fangbang Shares achieved corresponding progress charges exceeding 40%, all surpassing the {industry} common of 8.7%.
For instance, in the first quarter of 2026, Huafeng Technology generated income of 633 million yuan, representing a year-on-year improve of 56.15%; internet revenue attributable to shareholders amounted to 105 million yuan, up by 230.43% year-on-year; non-recurring internet revenue attributable to shareholders reached 97.499 million yuan, growing by 322.95% year-on-year; fundamental earnings per share have been 0.23 yuan/share, rising by 228.57% year-on-year. Multiple core indicators achieved fast progress. In phrases of R&D innovation, Huafeng Technology invested a complete of 47.4553 million yuan in R&D throughout the quarter, specializing in advancing two core areas: high-speed transmission and system integration.
Shengyi Electronics, a number one PCB firm, invested 126 million yuan in R&D in the first quarter, representing a year-on-year improve of 38.4%. According to Shengyi Electronics’ 2025 annual report launched earlier, the firm achieved income of 9.494 billion yuan in 2025, up by 102.57% year-on-year, and internet revenue attributable to shareholders of 1.473 billion yuan, surging by 343.76% year-on-year. In 2025, the firm accelerated the deployment of high-end product capacities resembling AI servers, OAM, and UBB, reaching large-scale mass manufacturing, with income from AI computing-related merchandise growing by 242% year-on-year.
Huajin Securities said that the restoration of downstream demand has pushed up the costs of upstream uncooked supplies, expressing optimism about the growth of the AIPCB {industry} chain. General synthetic intelligence will turn out to be a key technological driver over the subsequent decade, driving important progress in computing energy and thereby propelling an upward cycle throughout the total semiconductor {industry} chain.
Aijian Securities famous that the elevated demand for optical modules in AI information facilities has spurred the enlargement of InP epitaxy, boosting demand for MOCVD tools. The constructive sentiment in the {industry} chain has prolonged upstream, benefiting PCB tools, semiconductor tools, and associated manufacturing segments.
▍AI Computing Power Drives Expansion of High-End PCB Production Capacity
In response to the surge in market orders, main producers are accelerating the enlargement of high-end manufacturing capability, whereas new entrants are coming into the high-end market. The total {industry} is allocating assets to develop AI-dedicated PCB merchandise. This wave of enlargement has additionally raised issues in the market about intensifying competitors and a decline in total profitability.
According to a evaluate of firm bulletins and public info by reporters from The STAR Market Daily, main PCB producers have already initiated plans to broaden their superior product manufacturing capacities. On November 17, 2025, Shengyi Electronics introduced a personal placement proposal, aiming to boost 2.5 billion yuan to develop core AI computing energy manufacturing capability, reinforcing its aggressive obstacles in the mid-to-high-end market.
The proceeds from this fundraising will primarily be invested in two initiatives: the Dongguan Artificial Intelligence Computing HDI Production Base, with a complete funding of 2.032 billion yuan and a proposed fundraising allocation of 1 billion yuan, which is predicted to provide 167,200 sq. meters of high-level HDI boards yearly upon completion; and the Ji’an Smart Manufacturing High Multilayer Computing Circuit Board Project, with a complete funding of 1.937 billion yuan and a proposed fundraising allocation of 1.1 billion yuan, which is able to attain an annual manufacturing of 700,000 sq. meters of excessive multilayer boards upon reaching full operation. These two initiatives exactly meet the {hardware} calls for of AI servers and information facilities, addressing the firm’s shortfall in high-end manufacturing capability.
In March this yr, Xinrui Co., Ltd., the meant acquisition goal, said that to rapidly reply to the pressing market demand for high-end PCB drill bits, Huilian Electronics is expediting its manufacturing capability format. Currently, manufacturing unit development at the two bases in Xinxiang, Henan, and Xiamen is continuing orderly, with regular progress in the set up and commissioning of self-made tools resembling sintering furnaces, grinders, and coating units. Some manufacturing traces have already entered the trial manufacturing part.
It is reported that the firm plans to attain a month-to-month manufacturing capability of 20 million PCB drill bits by the finish of this yr, improve it to 50 million per thirty days by 2027, and attain a capability of 100 million per thirty days by 2028.
On the night of April 2 this yr, Nanya New Materials introduced that its non-public placement software for the 2025 fiscal yr had been accepted by the Shanghai Stock Exchange. This spherical goals to boost not more than 900 million yuan, primarily for the analysis and growth and manufacturing capability development of high-end, high-frequency, high-speed copper-clad laminates based mostly on AI computing energy. According to the announcement, the challenge will take 24 months to finish and is predicted to type an annual manufacturing capability of 7.2 million high-end, high-frequency, high-speed copper-clad laminates and 16 million meters of bonding sheets.
Huafeng Technology specializes in high-speed connectors, that are downstream complementary merchandise of PCBs. Regarding the present wave of {industry} capability enlargement, on April 15, Huafeng Technology famous throughout an institutional survey that with the progress in AI computing energy demand and market measurement enlargement, the quantity of {industry} members might proceed to extend. However, the technical obstacles for high-speed cable modules are comparatively excessive, and product efficiency straight determines the core operational effectivity of servers. Industry reliability requirements are stringent, and downstream prospects rigorously vet provider {qualifications}. Manufacturers should bear long-term product testing and qualification verification to enter the provide chain system.
This spherical of PCB manufacturing enlargement is pushed by the explosive progress in AI demand, and adjustments in demand are anticipated to turn out to be a key variable influencing the future aggressive panorama of the PCB {industry}.
A telecommunications {industry} analyst from a brokerage agency instructed reporters from The STAR Market Daily that if terminal demand for AI cloud providers and giant mannequin coaching slows down, the substantial high-end PCB manufacturing capability at the moment deliberate will come on-line between 2026 and 2027. At that point, the {industry}’s supply-demand dynamics might reverse, triggering worth wars and repeatedly squeezing company revenue margins. The PCB {industry} is capital-intensive, with excessive fastened prices. Capacity utilization is essential to company profitability, and any decline will straight influence income. The industry-wide large-scale enlargement stems from optimistic expectations of long-term strong progress in AI computing energy. Despite the present fast progress in AI computing energy demand, such high-growth momentum can’t be sustained indefinitely.
The aforementioned telecommunications {industry} analyst additional famous that the growth of AI infrastructure doesn’t comply with a linear, infinite progress trajectory and will probably be constrained by a number of elements resembling power provide and the velocity at which {industry} ecosystem purposes are applied. Additionally, over the subsequent two to 3 years, the high-end PCB {industry}’s progress logic will shift from volume-driven incremental competitors to expertise and high quality upgrade-driven inventory competitors. The core focus of future {industry} competitors will middle on technological iteration capabilities, buyer loyalty, and complete service ranges.