SPEL Semiconductor Limited, India’s first & only Semiconductor IC Assembly & Test Company is surging ahead on its growth path. Announcing its unaudited results, SPEL reported sales of Rs.140.30 million (26% growth compared to same quarter last year) with net operating profit of Rs.10.02 million (38% growth compared to same quarter last year). This has helped the homegrown chip Company further sustain its performance over the last 5 years. Compared to the previous quarter (ending Jun 30, 2006) SPEL has improved its sales by over 13% and profit by 45%. Due to this sustained performance, SPEL has now successfully wiped off all its accumulated losses and is on an accumulated profit mode.

SPEL is expected to excel in performance as the industry trend is expected to continue in second half of FY 2006-07 also, due to the strong demand experienced by its existing Customers.

SPEL has completed establishing the state–of-the-art LMP package and has successfully qualified to the stringent quality norms of its Customers. This package has considerably increased SPEL’s attractiveness globally. With its current capacity completely sold-out, SPEL is considering further expansion in this package. SPEL also proposes to introduce 2 new package lines that are currently seeing an increased momentum.

With the now increasing Government support for semiconductor manufacturing in India, SPEL is currently on a $286 million growth plan spread over the next 5 years. Having already invested in $5 Million for the LMP package, SPEL is scheduled to further invest $30 Million by the end of this financial year. The growth plan includes a SEZ unit, increasing current capacity and introducing further sunrise packages. On the anvil is also an expansion plan thru a proposed overseas acquisition. SPEL’s current capacity is over 250 Million per annum.

Being the only the semiconductor IC Assembly & Test Company in India, SPEL has been successful in presenting a proven track record. With over 27 Customers to its credit, SPEL is surging ahead managed by an experienced Management, nearly 600 dedicated Employees, excellent vendor relations and an excellent profitability track record (in comparison to its overseas competitors). SPEL ICs are used globally in consumer electronic applications (such as Cell Phones, PDAs & Digital Cameras), Desktop PCs, Notebook Computers & Automobiles.