Taiwan-based IC testing firms King Yuan Electronics (KYEC) and Ardentec are expected to post sales decreases of up to 10% sequentially in the first quarter of 2013, in line with seasonal trends, according to market observers.

Following two quarters of contraction, sales will rebound to growth in the second quarter of 2013, the observers said.

KYEC and Ardentec will both see their revenues drop sequentially in the fourth quarter of 2012, due to inventory checks at customers, the companies have revealed.

KYEC indicated that due to a seasonal slowdown in demand, fourth-quarter sales will likely be lower than the prior quarter's levels. The firm currently utilizes 67-68% of its overall capacity with utilization rate for logic ICs exceeding 70%.

KYEC forecast that if the company's average utilization rate stays at 70%, it will be able to generate a 30% gross margin in 2013.

Ardentec expects its consolidated sales to decrease 8-12% sequentially in the fourth quarter of 2012, citing a slowing in customer orders.

Fellow firm STATS ChipPAC Taiwan Semiconductor is expected to enjoy a particularly strong first quarter of 2013, however, a recent report quoted market watchers as saying. Sales at STATS ChipPAC Taiwan are set to register sequential growth in the fourth quarter of 2012, also bucking seasonal trends, the report said.

STATS ChipPAC Taiwan is identified by market watchers as a beneficiary of Taiwan Semiconductor Manufacturing Company's (TSMC) 28nm ramp.