Dynex Semiconductor is primarily engaged in the design, manufacture and sale of high power bipolar discrete semiconductors, high power modules (IGBTs) and die and high power electronic assemblies. The Group’s aim, working within the Semiconductor Business Unit of CRRC Times Electric, is to be recognised as one of the world’s leading manufacturers of high power semiconductors.
Dynex Power Inc.
To view and obtain financial information and documents please visit the Dynex Power Inc. website at http://www.dynexpower.com/
Introduction to the Dynex Group
Dynex Power Inc. was formed in Ottawa, Canada on June 15th, 1999 and is quoted on the TSX Venture Exchange under the symbol DNX. The Company has one subsidiary, Dynex Semiconductor Limited, which is wholly-owned and based in Lincoln, England. The Company and its subsidiary are engaged in the design, manufacture, and sale of industrial power equipment. Apart from a few administrative activities carried out by Dynex Power Inc., all the business of the Group is carried out by Dynex Semiconductor Limited. In 2008, Zhuzhou CSR Times Electric Co., Ltd (“CSR Times Electric”) acquired approximately 75% of the share capital of the Company and thus became the Company’s immediate parent company. In 2016 CSR Times Electric changed its name to Zhuzhou CRRC Times Electric Co., Ltd. CRRC Times Electric is itself majority owned by CRRC Corporation Limited which is, therefore, the Company’s ultimate parent company. Both CRRC Times Electric and the CRRC Corporation Limited are established in the People’s Republic of China and are themselves quoted companies.
Dynex’s Business and Strategy
The Group also provides advice and assistance, primarily to CRRC Times Electric, on matters relating to semiconductor design and manufacture.
All the activities of the Group described above take place in a single factory in Lincoln, England often using common facilities and shared staff. Consequently, the Group regards bipolar discrete, power modules and die, power electronic assemblies, and the provision of advice as separate product groups for revenue analysis but does not regard them as separate operating segments for reporting purposes. The Group does not analyse gross margins, expenses, taxation, net profit or assets by product group.
Due to the nature of silicon wafer fabrication, there is a relatively high level of fixed costs in the business. Consequently, the profitability of the business is particularly responsive to the volume of production and, therefore, the overall level of revenue.
Management does not regard the business as seasonal. In the case of Power Assemblies, small numbers of large contracts drive revenues. The delivery of a large contract in a particular quarter can cause revenue to fluctuate significantly, giving the appearance of seasonality.