I am waiting for the next quarter and AGM to update my thesis regarding ASM.
ASM Technologies (and by extension Forms and Gears) has a very strong footing in Tamil Nadu and Karnataka, and the Chennai to Bengaluru belt is turning into a robust electronics manufacturing hub, and they are primed to take advantage of the opportunities in these two states.
With a presence in Western India, with the new Pune office, I am expecting to hear about big client wins. If they do not have a good client roster in Western India by the time of the AGM, I will question the decision to set up an office there.
There are long lead times and long sales cycles for specialized equipment in the semiconductor industry. However, it has been about a year since the JV with Hind High Vacuum was launched, and I expect to see some traction by the time of the AGM as well.
To summarize, ASM is sitting on a goldmine of three opportunities: workholdings/fixtures for the electronics industry, a new catchment area in Western India, and a semiconductor industry that’s in the limelight. All that matters now is how they execute.
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