PETALING JAYA: KESM Industries Bhd’s new test platforms for its automotive customers are currently undergoing certification, with the completion of RM154mil in major capital expenditure for new burn-in and test equipment, says Kenanga Research.
Based on a recent meeting with KESM, the research house said the group expects its utilisation rate for the automotive business to begin moving upwards to 70% in 2024 from its current levels of 50% to 55% in the second quarter of the financial year 2023 (2Q23).
In addition, the new test platforms will handle updated chips related to the advanced driver-assistance system as well as the tyre pressure monitoring system for electric vehicles, Kenanga Research said in its report yesterday.
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