{
  "id": 3199205,
  "title": "DNeX poised for stronger second half on semiconductor growth",
  "url": "https://urgent.news/2026/08/25/dnex-poised-for-stronger-second-half-on-semiconductor-growth",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-25T05:36:31.000Z",
  "source": {
    "name": "New Straits Times",
    "slug": "new-straits-times",
    "url": "https://www.nst.com.my/business/corporate/2026/08/1518445/dnex-poised-stronger-second-half-semiconductor-growth"
  },
  "original_language": "en",
  "account": "Dagang NeXchange Bhd (DNeX) is expected to have a stronger second half of 2026 (2H FY26) in terms of its semiconductor segment, thanks to higher average selling prices (ASPs), additional production capacity and a more favorable product mix. TA Securities noted that demand for the group's silicon photonics products is strong, backed by the ongoing artificial intelligence (AI) and data centre boom. Management anticipates ASPs for the semiconductor segment to rise between 5 per cent and 10 per cent in 2H FY26, with further growth in the following year. New equipment is set to come online gradually in 2H FY26, increasing wafer production capacity. Emerging technology products are projected to make up over 60 per cent of the semiconductor segment's revenue once the extra capacity is installed. In the energy segment, DNeX anticipates its brownfield reactivation project in Terengganu to start operations in October 2026. The company's recent proposal to dispose of a floating production, storage and offloading vessel will help it monetize an asset no longer needed for its operations while improving its cash position. TA Securities acknowledged that DNeX's first-half core profit of RM41.3 million was in line with expectations, representing 51.6 per cent of its full-year estimate. The firm recommends a \"Buy\" rating on the stock with a target price of 66 sen. Although the share price has risen, the company is still valued at just 13.1 times its price-to-earnings ratio for FY2027, which TA Securities believes has not yet fully accounted for SilTerra's strong growth potential, the upside from the oil and gas upcycle, and its expanding base of recurring digital revenue.",
  "summary": "KUALA LUMPUR: Dagang NeXchange Bhd (DNeX) is poised to deliver an improved performance in the second half of 2026 (2H FY26), driven by its semiconductor segment on higher average selling prices (ASPs), additional production capacity and a more favourable product mix.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}