NAN YA PLASTICS CORPORATION Overview
Nan Ya Plastics is Taiwan's most diversified materials conglomerate and the downstream/specialty arm of the Formosa Plastics Group. Historically valued as a cyclical petrochemical and plastics-processing house, it is in mid-transformation into a vertically integrated supplier of printed-circuit-board (PCB) materials — electronic-grade glass yarn, glass fabric (including low-Dk and low-CTE "T-glass"), copper foil, epoxy resin and copper-clad laminate (CCL). Press reporting ranks it world #2 in electronic glass yarn, #3 in CCL and glass fabric, #4 in ethylene glycol and #5 in epoxy resin and BPA. Electronic materials rose to 46.4% of FY2025 revenue and 59.8% of August 2026 revenue, driving a swing from a 2025 Q2 loss to record quarterly EPS of NT$3.37 in Q2 2026. Equity stakes in Nanya Technology (DRAM) and Nan Ya PCB (ABF/BT substrates) add a second, highly cyclical earnings engine. The stock rose roughly 7-8x in twelve months, re-rating it from a sub-book commodity name to an AI-infrastructure materials play.
What the company does. Nan Ya manufactures and sells products across four principal reported product categories plus a smaller electrical/mechanical engineering activity:
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Electronic materials — glass fiber yarn, glass fiber fabric, copper foil, electronic-grade epoxy resin, copper-clad laminates (CCL) and prepreg, plus legacy display/LCD-related and PCB ink products.
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Chemical products (plastic raw materials / petrochemicals) — ethylene glycol (EG/MEG), plasticizers, bisphenol A (BPA), and other intermediates, produced in Taiwan (Mailiao), China and the United States (Texas EG).
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Polyester products — virgin and recycled-grade polyester chips for fiber and for packaging/bottles, polyester filament and staple fiber, and textiles.
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Plastics processing products — PVC and PP films, sheets, synthetic leather, TPU films, PU resins, pipes and fittings, cling and stretch films, BOPP/CPP films, A-PET sheet, PP synthetic paper, decorative and window films, doors and windows, pallets and compounds.
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Electrical/mechanical engineering — switchboards (registered business scope) and, more recently, power transformers developed with foreign partners for Taiwan grid-resilience tenders.
Company's own characterization. In its 2026 communications the company describes itself as transforming from a supplier of plastics and petrochemical materials into an innovation-driven company, with electronic materials (for AI servers, high-performance computing and high-speed networking), medical materials and semiconductor process materials as growth vectors (Taiwan News/CNA, Feb 2026). Its registered business scope lists plastic-processed products, plastic raw materials, electronic materials, polyester fiber manufacture and sale, dyeing/finishing and switchboards.
Independent characterization. Nan Ya is best understood as three businesses in one listed shell:
(a) An AI-levered electronic-materials franchise: with rare upstream-to-downstream integration (glass yarn → glass fabric → copper foil → epoxy → CCL), which is currently in a pricing-power phase because AI server and 800G/1.6T switch boards consume high-layer-count, low-loss laminates and all upstream inputs are tight.
(b) A commodity chemicals/polyester/plastics book: exposed to Chinese capacity additions, crude oil and spreads, which was loss-making or marginal through 2023–2025.
(c) A holding company: owning significant equity stakes in Nanya Technology (DRAM; ~30% per press reports) and Nan Ya PCB (IC substrates; ~60–67% per conflicting press reports), whose equity-method income now dominates reported net profit in up-cycles.
Business and revenue model. Revenue is almost entirely product sales (manufactured goods sold on contract or spot pricing). There is no material subscription, licensing or service revenue. Pricing is cost-plus/market-based: CCL and copper-foil prices incorporate copper prices plus processing fees, which the company has raised repeatedly in 2026. Chemicals and polyester are priced off Asian benchmark spreads.
Value-chain position. Midstream-to-downstream. Upstream feedstocks (ethylene, para-xylene, naphtha derivatives) come largely from FPG affiliates (Formosa Petrochemical, Formosa Plastics). In electronics, Nan Ya sits one step upstream of PCB makers and IC-substrate makers, including its own affiliate Nan Ya PCB.
Customer types and end-markets. PCB and IC-substrate manufacturers (end markets: AI servers, cloud data centers, networking switches, smartphones, PCs, automotive); textile mills and bottle/packaging converters (polyester); construction, automotive interior, packaging, stationery and consumer goods (plastics processing); polyester and resin producers (EG, BPA). Press reports state CCL customers include NVIDIA's supply chain, with M4–M8 grades shipping and the company on a three-supplier sampling list for NVIDIA's M10-grade laminate.
Strategy
Stated strategic themes (paraphrased from company communications, 2025–2026):
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Transform from a plastics/petrochemical supplier into an innovation-driven, high-value materials company.
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Move up the electronic-materials curve — high-end CCL (M8 → M9 → M10), HVLP copper foil, low-Dk/low-CTE glass — in step with AI-server and high-speed-networking specification upgrades.
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Use integration (yarn to laminate) to secure supply in a tight market and capture pricing.
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Build new growth legs in medical materials and semiconductor process materials (combined NT$40 bn annual output target).
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Raise efficiency through AI: FPG reported Nan Ya leading the group with 928 AI projects. Group-wide first-phase AI projects are more than 70% complete, generating benefits above NT$7 bn per year, with a NT$20 bn group target.
Medium-term guidance. Nan Ya does not publish numeric multi-year financial targets. Qualitative guidance from the 8 Sep 2026 update:
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Electronic materials have entered a "take-off" growth phase.
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Q3 and Q4 2026 revenue are expected to exceed Q2, improving quarter by quarter.
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Added EG lines are capturing export spreads.
Products & Services
Product lists are compiled from the company's business description as reproduced by data vendors (Simply Wall St, Stoxray, MarketScreener, MarketInOut) and from 2025–2026 press coverage. Launch years and pricing are generally not disclosed (commodity/industrial price lists are not published).
Electronic Materials
| Product | Description / key specifications | Target customer | Status / flagship notes |
|---|---|---|---|
| Electronic-grade glass fiber yarn | E-glass yarn; low-Dk second-generation "NER" yarn (raw materials from Nittobo) | Glass-fabric weavers (including internal) | World #2 per press; NER supply secured via Nittobo (Nov 2025) |
| Glass fiber fabric (cloth) | Standard E-glass fabric; low-Dk fabric; T-glass (low-CTE) for advanced-packaging substrates to reduce warpage | CCL makers, IC-substrate makers | World #3 per press; T-glass reported to have passed third-party certification (CTEE, late 2025); foreign broker expects T-glass capacity ~3x by 2028 |
| Copper foil | Electrodeposited foil; high-end HVLP3 and HVLP4 shipping; HVLP5+ in development | CCL makers | Prices and processing fees rising in 2026; Huizhou expansion targeted 2027 |
| Electronic-grade epoxy resin | Base resin for laminates; increasing share of electronics and composite applications | CCL, composite makers | World #5 in epoxy per press; expansion due to start before Mar 2027 |
| Copper-clad laminate (CCL) and prepreg | Grades M4 through M8 shipping; M9 volume production expected 2H 2026; M10 sampling with NVIDIA's supply chain | PCB makers serving AI servers, switches, consumer electronics | World #3 per udn (SinoPac's profile says #2 — discrepancy noted); price increases effective 1 Sep 2026 |
| Base materials for CCL | Pre-laminate base materials | PCB/CCL makers | Price increases effective 1 Sep 2026 |
| Display/LCD-related and PCB inks | Legacy products cited in vendor descriptions | Display and PCB makers | Not material to current narrative |
Chemical Products (Plastic Raw Materials)
| Product | Description | Target customer | Notes |
|---|---|---|---|
| Ethylene glycol (EG/MEG) | Polyester feedstock; produced in Mailiao (Taiwan) and Texas (US) | Polyester producers | World #4 per press; Texas EG sales and export arbitrage cited as Q3 2026 driver |
| Bisphenol A (BPA) | Feedstock for epoxy and polycarbonate | Epoxy (including internal) and PC producers | World #5 per press |
| Plasticizers | PVC softening agents | PVC processors | Product range not itemized here |
| Other resins, solvents, intermediates | Per vendor descriptions | Industrial users | — |
Polyester Products
| Product | Description | Target customer | Notes |
|---|---|---|---|
| Polyester chips — fiber grade | Virgin and recycled grades | Spinning mills | Recycled-content lines support brand ESG demand |
| Polyester chips — bottle/packaging grade | Virgin and recycled grades | Bottle and packaging converters | — |
| Polyester filament and staple fiber, textiles | Filament, staple, finished fabrics; dyeing and finishing | Apparel and textile brands | Seasonal autumn/winter restocking cited as a demand driver |
Plastics Processing Products
| Product family | Items |
|---|---|
| Films | PVC cling film, PE stretch film, BOPP film, CPP film, PET film, decoration film, window film, optical film, TPU film |
| Sheets | PVC rigid sheet, PP sheet, A-PET sheet/rigid film, rigid sheets |
| Leather and resins | PVC synthetic leather (including automotive leather), PU resins |
| Building materials | Pipes and fittings, outdoor and interior decoration materials, doors, Neuma fire-rated doors, windows |
| Industrial | Plastic pallets, injection-molded products, engineering compounds, PVC compounds, unsaturated polyester |
| Specialty | PP synthetic paper, adhesives, PU discs |
New Businesses
| Product | Description | Status |
|---|---|---|
| Medical materials | Vacuum blood-collection tubes, blood bags, cell-culture bags, surgical anti-adhesion membranes; planned testing, dental, bone and cardiac products | Combined medical and semiconductor-material output targeted at NT$40 bn per year (Feb 2026) |
| Semiconductor process materials | Liquid CO2; fluoropolymer PFA tubing and fittings | Production lines due 1Q 2027 and early 2028 |
| Power transformers | Developed with foreign partners for grid-resilience projects | Bidding on government projects (Feb 2026) |
| Switchboards | Electrical distribution equipment | Registered business scope |
Financial Narrative
Income Statement
Sources: Revenue and net income from MarketScreener (valuation page, consolidated scope) and the FY2025 annual report as aggregated by FinancialReports; EPS from MarketScreener and WantGoo; DPS from WantGoo and SinoPac; EBITDA FY2025 from MarketInOut.
Diluted EPS: Not separately verified; Nan Ya has no material dilutive instruments identified.
Revenue CAGR FY2021–FY2025 (calc.): −10.9% per year.
Quarterly gross/operating profit (Google Finance / TradingEconomics):
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Q4 2025: gross profit ≈NT$5.96 bn on revenue ≈NT$64.46 bn (9.2% gross margin); operating income NT$1.33 bn (2.1%). Pre-tax income was NT$5.84 bn, confirming that non-operating (equity-method) income exceeded operating income.
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Cost of goods sold: Q2 2025 NT$60.04 bn, Q3 2025 NT$58.86 bn, Q4 2025 NT$58.50 bn, Q1 2026 NT$60.41 bn. Implied gross margins: 8.6%, 8.3%, 9.3% and 11.9% respectively.
Quarterly Trajectory (inflection detail)
Sources: MarketScreener (Q1 2025, Q1 2026); TradingEconomics (quarterly EPS); CNA and Liberty Times (Q3 2025, Q2 2026); Google Finance (quarterly revenue).
The Q2 2025 net income figure is calculated from EPS and share count; reported figures may differ slightly. Q4 2025 net income of NT$4.93 bn is per TradingEconomics and reconciles to the FY2025 total of NT$4.52 bn.
2026 monthly revenue (NT$ m)
Sources: HiStock/TWSE monthly filings (Jan–Jun); Business Today (Jul); Moneyweekly (Aug). January–August cumulative revenue was NT$213.4 bn (+23.2% YoY).
Balance Sheet
Sources: FinancialReports (total assets, equity); TradingEconomics (cash, current items, debt); MarketScreener (net debt).
Goodwill is believed to be immaterial for an organically grown industrial group, but this is not confirmed.
30 June 2026 balance sheet (Moneyweekly analysis of H1 2026 statements):
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Total assets NT$723.03 bn; total liabilities NT$225.38 bn; equity NT$497.65 bn.
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Cash NT$41.95 bn.
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Debt ratio 31.17%; current ratio 177.84%; quick ratio 114.60%.
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The ~NT$126 bn increase in equity over six months reflects H1 profits and fair-value/equity-method gains on affiliates.
Cash Flow
Sources: FinancialReports (OCF FY2025); dividends calculated by the analyst. No buyback programs were identified.
H1 2026 cash flow (Moneyweekly):
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Operating cash flow NT$3.28 bn (Q1 NT$0.16 bn; Q2 NT$3.12 bn).
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Capex on equipment NT$7.78 bn.
Free cash flow ≈ −NT$4.5 bn: - Drivers: receivables rose ~NT$9.98 bn and inventories ~NT$4.65 bn in Q2, and equity-method income of more than NT$30 bn is non-cash until affiliates pay dividends.
Ratios
Additional FY2025 ratio notes:
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Debt/equity is ~0.47x on TradingEconomics' debt line (calc.).
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Interest coverage below 1.0x in FY2025 shows that operating profit (EBIT) did not cover interest expense of ~NT$1.1 bn per quarter-scale disclosure; pre-tax profit was sustained by equity-method income.
Commentary — Trends, Inflections, Drivers
FY2021 peak. The 2021 peak combined a pandemic-era electronics boom (CCL, glass fabric, copper foil), strong EG/polyester spreads and record Nanya Technology profits. Net margin approached 20%, much of it from equity-method income.
FY2022–FY2024 trough. Three forces compressed earnings:
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Electronics-chain destocking in 2022–2023, cited by the chairman at the 2023 AGM as a drop in sales volumes for PCs, phones and stay-at-home products.
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A wave of Chinese petrochemical and polyester capacity that structurally depressed EG, BPA and polyester spreads.
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A DRAM downturn that turned Nanya Technology loss-making for 11 consecutive quarters until Q3 2025.
Revenue fell 37% from peak to trough. Net margin collapsed to ~1.3% in FY2024. The payout ratio exceeded 100% in FY2024–FY2025 as management protected a minimal dividend.
2025 inflection. Q2 2025 was the low point (EPS −NT$0.52). From Q3 2025:
AI-driven tightness: in glass fabric, copper foil and high-end CCL began lifting electronic-material prices.
Nanya Technology's DRAM recovery: turned equity-method income positive.
FY2025 net income still rose only 35% to NT$4.52 bn, and EPS of NT$0.57 implied a P/E above 100x at year-end.
2026 step-change.
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Q1 2026 EPS of NT$1.80 exceeded each of the three prior full years.
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Q2 2026 EPS of NT$3.37 (net income NT$26.75 bn) was a record. Press reports put the market consensus at ~NT$2.0 and buy-side expectations at NT$2.5–3.0.
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The company attributes the result to unprecedented, chain-wide shortages in glass fabric/yarn, copper foil, CCL and ABF substrates. These shortages are pushing price increases down into mid- and low-end materials as capacity is diverted to high-end products.
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July 2026 net income was NT$3.17 bn (EPS NT$0.40) on a stand-alone monthly basis.
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View Subscription PlansFinancial Detail
Segment Revenue
| Category | Share of FY2025 revenue (%) | Implied FY2025 revenue (TWD Mn, calc.) | Main contents |
|---|---|---|---|
Electronic materials | 46.4 | 120,599 | Glass yarn, glass fabric, copper foil, epoxy, CCL |
Chemical products | 22 | 57,181 | EG, plasticizers, BPA, other intermediates |
Polyester products | 16 | 41,586 | Polyester chips, fiber, filament, textiles |
Plastics processing | 14 | 36,388 | Films, sheets, synthetic leather, pipes, doors/windows |
Other (electrical/mechanical, residual) | 1.6 | 4,159 | Switchboards, transformers, other (residual, calc.) |
Total | 100 | 259912 | — |
Revenue by Segment (%)
| Metric | FY2025 | Q1 2026 | Jul 2026 | Aug 2026 |
|---|---|---|---|---|
Electronic materials share of revenue (%) | 46.4 | 52.8 | 57 | 59.8 |
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View Subscription PlansSegment Revenue (FY2023–FY2025)
| Segment | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
Electronic materials (TWD Mn) | — | — | 120,599 |
Chemical products (TWD Mn) | — | — | 57,181 |
Polyester products (TWD Mn) | — | — | 41,586 |
Plastics processing (TWD Mn) | — | — | 36,388 |
Total revenue (TWD Mn) | 259,755 | 259,608 | 259,912 |
Holding Details
| Holding | Business | Nan Ya stake | Accounting | Notes |
|---|---|---|---|---|
Nanya Technology (2408) | DRAM | ~30% (press) | Equity method | Q2 2026 net income NT$50.19 bn, EPS NT$14.66 |
Nan Ya PCB (8046) | ABF/BT substrates, PCB | ~67% (Taiwan News, Nov 2025) vs ~60% (Business Today, Aug 2026) | — | 5,959 lots sold May 2026; sources conflict on current stake |
US subsidiaries (Nan Ya Plastics Corp. America and others) | EG (Texas), polyester | — | Consolidated | Texas EG plant contributes to chemicals revenue |
China subsidiaries | Electronic materials, plastics | — | Consolidated | Huizhou copper-foil expansion targeted for 2027 |
Margin Analysis (%)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Revenue (TWD Mn) | 411,666 | 355,183 | 259,755 | 259,608 | 259,912 |
Revenue growth YoY (%, calc.) | — | -13.7 | -26.9 | -0.1 | 0.1 |
EBITDA (TWD Mn) | — | — | — | — | 33,244 |
Net income attributable to parent (TWD Mn) | 81,294 | 32,109 | 6,310 | 3,340 | 4,519 |
EPS basic (TWD) | 10.25 | 4.05 | 0.80 | 0.42 | 0.57 |
Dividend per share (NT$, for fiscal year) | 7.50 | 3.00 | 0.70 | 0.70 | 0.80 |
Payout ratio (%, calc.) | 73.2 | 74.1 | 87.5 | 166.7 | 140.4 |
Net margin (%, calc.) | 19.7 | 9.0 | 2.4 | 1.3 | 1.7 |
EBITDA margin (%, calc.) | — | — | — | — | 12.8 |
Financial Analysis
| Metric | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 |
|---|---|---|---|---|---|---|
Revenue (TWD Mn) | 65,552 | 65,720 | 64,180 | 64,470 | 68,596 | 83,650 |
Net income attributable (TWD Mn) | 453 | -4,120 | 3,260 | 4,930 | 14,255 | 26,753 |
EPS (TWD) | 0.06 | -0.52 | 0.41 | 0.62 | 1.80 | 3.37 |
Margin Analysis (%) (Jan 2026–Aug 2026)
| Metric | Jan 2026 | Feb 2026 | Mar 2026 | Apr 2026 | May 2026 | Jun 2026 | Jul 2026 | Aug 2026 |
|---|---|---|---|---|---|---|---|---|
Monthly revenue (TWD Mn) | 22,873 | 18,556 | 27,167 | 27,681 | 28,831 | 27,135 | 30,570 | 30,601 |
YoY growth (%) | 11.8 | -16.0 | 18.0 | 19.4 | 31.4 | 31.8 | 44.5 | 46.8 |
Financial Analysis (Annual)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Total assets (TWD Mn) | — | — | — | — | 610,600 |
Cash and equivalents (TWD Mn) | — | — | — | — | 55,240 |
Current assets (TWD Mn) | — | — | — | — | 177,840 |
Current liabilities (TWD Mn) | — | — | — | — | 134,700 |
Working capital (TWD Mn, calc.) | — | — | — | — | 43,140 |
Total debt / borrowings as reported by TradingEconomics (TWD Mn) | — | — | — | — | 176,130 |
Net debt per MarketScreener (TWD Mn) | 65,572 | 84,927 | 110,157 | 99,490 | 86,908 |
Total equity (TWD Mn) | — | — | — | — | 371,800 |
Financial Analysis (FY2021–FY2025)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Operating cash flow (TWD Mn) | — | — | — | — | 8,650 |
Dividends paid (TWD Mn, calc. from DPS x 7930.8m shares, paid in following year) | 59,481 | 23,792 | 5,552 | 5,552 | 6,345 |
Share buybacks (TWD Mn) | 0 | 0 | 0 | 0 | 0 |
Returns & Leverage Ratios (%) and Financial Ratios (x)
| Ratio | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
ROE (%, calc. on year-end equity) | — | — | — | — | 1.2 |
ROA (%, calc.) | — | — | — | — | 0.7 |
ROIC (%, MarketInOut, TTM basis) | — | — | — | — | 0.56 |
Current ratio (x, calc.) | — | — | — | — | 1.32 |
Net debt / EBITDA (x, calc. on MarketScreener net debt) | — | — | — | — | 2.61 |
Interest coverage (x, MarketInOut, EBIT/interest) | — | — | — | — | 0.86 |
Asset turnover (x, calc.) | — | — | — | — | 0.43 |
Price / book (x, year-end) | 1.64 | 1.50 | 1.46 | 0.68 | 1.34 |
P/E (x, year-end) | 8.33 | 17.5 | 83.1 | 61 | 106 |
Geographic Revenue
| Region | FY2023 | FY2024 | FY2025 |
|---|---|---|---|
Total (TWD Mn) | 259,755 | 259,608 | 259,912 |
Segment Overview
| Segment | Taiwan | China | United States | Other |
|---|---|---|---|---|
Electronic materials | Glass yarn/fabric, CCL, copper foil, epoxy production | Large CCL, copper-foil and glass-fabric base; Huizhou copper-foil expansion targeted for 2027 | New niche lines in the 2026–2028 investment plan (unspecified) | Exports to Asian PCB hubs (Thailand, Southeast Asia — not quantified) |
Chemicals | Mailiao EG, BPA, plasticizers | — | Texas EG plant; export arbitrage cited for Q3 2026 | Asian export markets |
Polyester | Taiwan polyester production | — | US polyester operations, described as competitive in 2022 commentary | Global textile customers |
Plastics processing | Taiwan plants | Chinese plants, including automotive leather | — | Exports |
Valuation Multiples (x) and Returns & Leverage Ratios (%)
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Year-end share price (TWD) | 85.40 | 71.00 | 66.50 | 29.90 | 60.20 |
Year-end market cap (TWD Mn) | 677,292 | 563,088 | 527,400 | 237,132 | 477,435 |
Enterprise value (TWD Mn) | 742,865 | 648,015 | 637,557 | 336,621 | 564,344 |
P/E (x) | 8.33 | 17.5 | 83.1 | 61 | 106 |
P/B (x) | 1.64 | 1.50 | 1.46 | 0.68 | 1.34 |
EV / Sales (x) | 1.80 | 1.82 | 2.45 | 1.30 | 2.17 |
Dividend yield at ex-date (%) | 9.31 | 3.94 | 1.43 | 2.35 | 0.48 |
Share Price & Returns
| Period | Return (%) |
|---|---|
Year to date | +245.5 |
1 year | +598.0 |
3 years | +194.2 |
5 years | +143.0 |
10 years | +233.9 |
Valuation Snapshot
| Metric | Value |
|---|---|
MarketScreener consensus 2026E EPS (TWD) | 10.97 (July snapshot) |
Broker 2026E EPS range (TWD) | 10.9 (JPMorgan) – 12.75 (local broker) |
Broker 2027E EPS range (TWD) | 15.56 (Fubon) – 17.8 (JPMorgan) |
Implied 2026E P/E at NT$237 (x, calc. on 10.97) | 21.6 |
Implied 2027E P/E at NT$237 (x, calc. on 17.8 / 15.56) | 13.3 / 15.2 |
P/B at 30 Jun 2026 book (x, calc.; book/share ≈ NT$62.7) | ≈3.8 at NT$237 |
Analyst Ratings & Targets
| Broker | Date | Rating | Target (TWD) |
|---|---|---|---|
SinoPac | 11 May 2026 | Buy (upgrade) | 108 |
JPMorgan | Jun 2026 | Overweight | 200 |
JPMorgan | Jul 2026 | Overweight | 300 |
Uni-President Securities | Jul 2026 | Buy | 300 |
Fubon | Jul 2026 | Buy | 265 (from 242) |
Local broker | 5 Aug 2026 | Buy | 228 |
Foreign broker (unnamed) | 8 Sep 2026 | Outperform | 424 |
Domestic broker | 14 Sep 2026 | Upgraded to Buy | — |
Capital Markets
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 |
|---|---|---|---|---|---|
Cash DPS (TWD) | 7.50 | 3.00 | 0.70 | 0.70 | 0.80 |
EPS (TWD) | 10.25 | 4.05 | 0.80 | 0.42 | 0.57 |
Analyst Conclusions
Management guidance (8 Sep 2026). Electronic materials have entered a growth take-off phase. Q3 2026 revenue is expected to exceed both Q2 2026 and Q3 2025, and Q4 is expected to grow sequentially again. Management expects continued product price increases. It is also adding EG lines to exploit export spreads.
Consensus.
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2026E EPS clusters around NT$11–12.75, versus NT$5.17 already earned in H1, implying an H2 run-rate of ~NT$3–3.8 per quarter.
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2027E EPS of NT$15.6–17.8.
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2026E revenue of NT$317 bn per the MarketScreener consensus (+22%), consistent with the +23% year-to-date pace through August.
Bull Case
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Structural pricing power. Integration across every AI-PCB bottleneck — glass yarn (#2 globally), fabric and T-glass, copper foil, epoxy, CCL — lets Nan Ya capture both price and volume. Electronic materials went from 46% to 60% of revenue in eight months.
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Qualification optionality. M9 volume production in 2H 2026 and potential M10 certification at NVIDIA's chain, plus T-glass capacity tripling by 2028, could drive electronic-materials operating margins toward the ~30% that JPMorgan forecasts for 2027.
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Double engine. Nanya Technology (Q2 2026 EPS NT$14.66) and Nan Ya PCB (ABF tightness) add substantial equity income and monetizable asset value. The May 2026 share sale shows management will crystallize value.
Bear Case
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Cash versus accounting profit. H1 2026 FCF was negative despite NT$41 bn of net profit. If affiliate dividends lag and working capital keeps absorbing cash, the earnings re-rating rests partly on non-cash income.
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Cycle-peak risk. Monthly price increases, broker targets spanning NT$108–424, P/B of ~3.8x and TWSE trading restrictions are classic late-cycle signals. Nan Ya PCB has already paused BT price increases, and EMC plus Chinese competitors are adding capacity aggressively.
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Persistent commodity drag. Roughly 40–50% of revenue remains in chemicals, polyester and plastics facing Chinese oversupply, crude volatility and NT$ strength. These segments carried a ~2% FY2025 operating margin.
Catalysts and Monitorables (next 12 months)
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September 2026 revenue and Q3 2026 self-reported EPS (October 2026); Q3 reviewed statements (November 2026).
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Formal M9 mass-production confirmation and any M10 certification announcement.
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Monthly electronic-materials share of revenue (watch the 60% threshold) and CCL/foil price-letter cadence.
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Operating cash flow and receivables/inventory trends in Q3/Q4 2026.
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Nanya Technology DRAM pricing; Nan Ya PCB ABF pricing.
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Progress on the Nittobo 2027 weaving target and Huizhou copper-foil start-up.
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FY2026 dividend (announced around March 2027): a return toward a ~70% payout on ~NT$11–12 EPS would imply a step-change in yield.
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Insider and FPG-linked share sales.
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Taiwan Strait, tariff and Middle East developments.
Concluding Analyst Verdict
Nan Ya Plastics has undergone one of the most dramatic re-ratings in Taiwan's large-cap universe. It has moved from a sub-book-value petrochemical laggard (NT$29.90, 0.68x P/B at end-2024) to an AI-materials leader valued near NT$1.8–1.9 trillion. The fundamental case is real, not narrative.
The company owns scale capacity at nearly every choke point in the AI printed-circuit-board stack: glass yarn, specialty glass fabric including T-glass, HVLP copper foil, electronic epoxy and CCL. Simultaneous shortages across these inputs have produced the strongest operating leverage in its history. Quarterly EPS went from −NT$0.52 in Q2 2025 to NT$3.37 in Q2 2026, and electronic materials now generate roughly 60% of revenue.
The investment debate has therefore shifted from "is the turnaround real?" to "how durable and how cash-generative is it?" On durability, Nan Ya remains a follower rather than the leader in the very highest-end laminates. Elite Material leads high-speed CCL, and Nan Ya's M9 ramp and M10 qualification are still ahead of it. Successful qualification would justify the more aggressive 2027 EPS forecasts of NT$16–18. Failure would leave Nan Ya as a beneficiary of mid-tier spillover pricing, which is more vulnerable when industry capacity catches up.
On cash generation, H1 2026 free cash flow was negative and much of the reported profit is equity-method income from cyclical DRAM and substrate affiliates. This makes the stock a levered bet on the duration of the AI hardware cycle.
At ~20x 2026E and ~13–15x 2027E consensus earnings, the valuation is not extreme relative to the growth rate. However, it now prices in sustained pricing power. Our synthesis is constructive on fundamentals but neutral-to-cautious on risk/reward after a ~7x move. Position sizing should key off three things: M9/M10 qualification news, monthly price-letter cadence, and the convergence of operating cash flow toward reported earnings.
APPENDIX — SOURCES
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TWSE/MOEA company registry (via TechNews company database): incorporation date, listing date, capital, address, auditor, officers — https://info.technews.tw/company/75370905
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MarketScreener valuation, dividend and quote pages (5-year revenue, net income, EPS, market cap, EV, P/E, P/B, net debt, performance) — https://ca.marketscreener.com/quote/stock/NAN-YA-PLASTICS-CORPORATI-6491613/valuation/
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FinancialReports / FinancialFilings (FY2025 annual report figures: revenue, net income, assets, equity, OCF) — https://financialfilings.com/es/companies/npc-1303/
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TradingEconomics (quarterly EPS; FY2025 balance-sheet items; employees) — https://jp.tradingeconomics.com/1303:tt:eps
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MarketInOut (EBITDA, interest coverage, ROIC) — https://www.marketinout.com/stock/tw/1303
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HiStock / TWSE monthly revenue — https://histock.tw/stock/financial.aspx?no=1303
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WantGoo (dividends, payout ratio, shareholder structure) — https://www.wantgoo.com/stock/1303/dividend-policy/ex-dividend
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CNA (Q2 2026 results) — https://cna.com.tw/news/afe/202607090227.aspx
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Liberty Times (Q2 2026 results and company commentary) — https://ec.ltn.com.tw/article/breakingnews/5499416
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Taiwan News / CNA (FY2025 results, strategy, Nittobo, medical/semiconductor materials) — https://www.taiwannews.com.tw/en/news/6321411
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Taiwan News (Nan Ya PCB stake, T-glass, segment margin guidance) — https://www.taiwannews.com.tw/en/news/6250729
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TrendForce (Nittobo partnership) — https://www.trendforce.com/news/2025/11/28/news-nittobo-expands-glass-fiber-output-with-nan-ya/
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Moneyweekly (2025 revenue mix; capex plans; H1 2026 balance sheet and cash flow; August 2026 revenue) — https://www.moneyweekly.com.tw/_Article?AID=233762 and https://www.moneyweekly.com.tw/_Article?AID=247666
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Business Today (price increases; stake sizes; share-price history) — https://www.businesstoday.com.tw/article/category/183008/post/202608270004/
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Economic Daily News (global rankings; NVIDIA M10 sampling; trading restrictions; insider sales) — https://money.udn.com/money/story/5607/9614278 ; https://money.udn.com/money/story/5607/9585738 ; https://udn.com/news/story/7252/9591065
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China Times / Wantrich (JPMorgan and Uni-President targets; price-increase confirmation; Nan Ya PCB disposal) — https://wantrich.chinatimes.com/news/20260715900634-420101 ; https://wantrich.chinatimes.com/news/20260818900003-420101 ; https://wantrich.chinatimes.com/news/20260506900256-420101
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Mirror Media / SETN (broker EPS estimates and targets) — https://www.mirrormedia.mg/external/setn_1872497 ; https://www.mirrormedia.mg/external/amp/setn_1884324
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UAnalyze / CNYES (September 2026 guidance; foreign broker NT$424 target; electronic-materials mix) — https://uanalyze.com.tw/articles/8426854909 ; https://uanalyze.com.tw/articles/5423454862 ; https://uanalyze.com.tw/articles/3531255263
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Investing.com (employees, price 27 Aug 2026, analyst target history) — https://in.investing.com/equities/nan-ya-plastic
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Google Finance (quarterly revenue/COGS; 52-week range) — https://www.google.com/finance/beta/quote/1303:TPE
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SinoPac (company profile; ESG rating; market cap snapshot) — https://aiinvest.sinotrade.com.tw/Stock/Content/TW/1303
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Fugle / UAnalyze / CTEE (Elite Material and ITEQ peer data) — https://blog.fugle.tw/post/earnings-call-2383-2026-03-12 ; https://uanalyze.com.tw/articles/5899037137 ; https://www.ctee.com.tw/news/20260414700220-430502
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Economic Daily News (Prismark 2025 CCL ranking) — https://money.udn.com/money/amp/story/5607/9660126
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LinkedIn repost of group AI-program data (Q3 2025 group results; 928 AI projects) — https://tw.linkedin.com/in/bill-chen-3a42b998
Unlock Company Financials
Unlock this company profile to view its financial data.
View Subscription PlansExecutive Leadership
Board of Directors
| Name | Title | Notes |
|---|---|---|
Wu Chia-chau (吳嘉昭) | Chairman; registered legal representative | Chaired the 2023 AGM; leads diversification into grid equipment; also widely reported as chairman of Nanya Technology |
Chou Ming-jen (鄒明仁) | President and Spokesperson | Leads the Nittobo partnership and the medical/semiconductor-materials strategy; presents at investor conferences (e.g., President Securities forum, 4 Sep 2026) |
Wang Wen-chao (王文潮) | Representative of an institutional (juristic-person) director | His spouse sold 5,000 lots in June 2026 and another 5,000 lots on 26 June 2026, leaving 40,150 lots |
Major Shareholders
| Holder category (17 Jul 2026, WantGoo/TDCC) | % of shares |
|---|---|
Holders of 400+ lots | 86.83 |
Foreign institutional investors | 32.45 |
Domestic investment trusts | 5.51 |
Proprietary dealers | 2.33 |
Directors and supervisors | 18.21 |
Free float (MarketScreener) | 61.88 |
Competitive Landscape
Competitors by Segment
| Segment | Competitors |
|---|---|
CCL | Elite Material (EMC, 2383.TW), Shengyi Technology (600183.SS), Kingboard Laminates (1888.HK), ITEQ (6213.TW), Taiwan Union Technology (6274.TW), Panasonic Industry (Megtron), Doosan Electro-Materials |
Glass fabric / yarn | Nittobo (also a partner), Taiwan Glass Industry, Asahi Kasei / Asahi Schwebel, Jushi and Taishan Fiberglass (China) |
Copper foil | Chang Chun Group, Mitsui Mining & Smelting, Furukawa Electric, Co-Tech Development, SK Nexilis |
EG / chemicals | SABIC, MEGlobal, Lotte Chemical, Shell, Chinese coal-to-EG and refinery-integrated producers |
Polyester | Far Eastern New Century, Indorama Ventures, Chinese integrated majors (Hengli, Rongsheng, Tongkun) |
Plastics processing | Fragmented regional converters |
Peer Comparison FY2025
| Metric | Nan Ya Plastics | Elite Material (EMC) |
|---|---|---|
FY2025 revenue (TWD Mn) | 259,912 | 94,300 |
FY2025 revenue growth (%) | 0.1 | 46.4 |
FY2025 EPS (TWD) | 0.57 | 41.67 |
Gross margin (%) | — | 30.3 |
Recent Developments
Pending: * September 2026 revenue and Q3 2026 self-reported earnings are expected around the second week of October 2026. Q3 2026 audited results are expected in November 2026; Investing.com lists 5 November.
