Metal-casing maker Catcher Technologies Co will be the top beneficiary among Taiwanese suppliers of the forthcoming iPhone 6s and iPhone 6s Plus and is expected to become Apple’s No. 2 casing supplier after Foxconn, according to Credit Suisse.
“We expect continued market share consolidation for Catcher, as the number of iPhone 6 casing suppliers has been reduced from four to three last year,” Credit Suisse analyst Pauline Chen wrote.
According to Credit Suisse, Catcher had 23 percent of global casing revenues in the first half of the year, behind Foxconn’s 35 percent, with Casetek Holdings Ltd in third place with a 14 percent share.
Catcher’s August sales grew 15.23 percent sequentially to NT$7.19 billion (US$219 million), up 43.66 percent from a year ago.
Given an anticipated casing material upgrade, from 6000-series to 7000-series aluminum, Credit Suisse said that the rise in machining hours would boost financial and technological entry barriers, “leading to faster profit share consolidation in the casing sector and higher average selling prices for Catcher.”
Credit Suisse foresees demand for iPhones reaching 234.1 million units this year and 241.4 million units in 2016.
But in the near term, the Swiss brokerage expects iPhone shipments to be potentially constrained by low yield rates for flexible printed circuit and haptics components.