IC packaging and testing service providers Advanced Semiconductor Engineering (ASE) and Siliconware Precision Industries (SPIL) are expected to report a 10-15% decline and flat growth, respectively, on quarter in consolidated revenues for the first quarter of 2014, according to market watchers.

　　Thanks to a rebound in orders for communications chips, as well as effects of transferred orders after the shutdown of part of ASE's A7 factory, SPIL is set to enjoy a particularly strong first quarter, the watchers indicated.

　　Work at wafer-level processes of ASE's A7 factory located in southern Taiwan has been suspended due to improper disposal of wastewater. Some of ASE's clients such as MediaTek reportedly has shifted orders to SPIL and other backend houses.

　　SPIL has seen its capacity utilization rates for bumping and flip-chip packaging services ramp up, with clear order visibility through the end of the first quarter, the watchers noted.

　　SPIL generated consolidated revenues of NT$18.84 billion (US$625.4 million) in the fourth quarter of 2013, down 1.3% sequentially.

　　Consolidated revenues at ASE, which climbed to a record NT$64.16 billion in the fourth quarter of 2013, are likely to drop 15-20% sequentially in the first quarter due mainly to a seasonal decrease in orders. ASE's consolidated sales include sales generated by EMS subsidiary Universal Scientific Industrial (USI).