Falling chip equipment index suggests 'bottom may be close'
MOUNTAIN VIEW, Calif.--Orders for chip production systems continued to plunge last month, driving down the book-to-bill index for North American suppliers of semiconductor equipment to its lowest point in 18 months, according to new market data.
The book-to-bill index fell to 0.79 for April, compared to a revised 0.82 figure for March, based on data released by the Semiconductor Equipment and Materials International (SEMI) trade group here. SEMI's index shows that for every $100 worth of products being shipped to chip makers, equipment suppliers were only getting $79 of new orders.
"This month's results suggest that the bottom may be close," said Dick Greene, principal analyst with SEMI. "The decelerating month over month decline in orders and the modest increase in shipments point to a leveling off of the current cycle."
SEMI's three-month average shipments increased in April to $1.353 billion compared to $1,343 billion in March. That represented a 1% increase over March's billings figure, and it was 23% higher than a year ago, according to SEMI.
Meanwhile, three-month average for bookings decreased 2.5% to $1.074 billion in April compared to $1.102 billion in March. April's shipment total was 13% lower than it was in the same month last year. |
