Here are 1-2 brief analogies for Deswell Industries (DSWL):

• Like Foxconn, but manufacturing a more diverse range of electronic, mechanical, and consumer products for other brands.
• The Magna International of general manufacturing, building a variety of electronic and mechanical components and products for many brands across different industries.

• Plastics Injection Molded Products: Manufactures a wide range of plastic components and finished products using injection molding for various industries.
• Metallic Products: Produces metal components and products, primarily through sheet metal fabrication and die-casting processes.
• Electronic Product Assembly: Provides contract manufacturing services for the assembly of diverse electronic products, including consumer electronics and industrial devices.

Deswell Industries (DSWL) Major Customers

Deswell Industries (DSWL) operates primarily on a business-to-business (B2B) model, serving other companies with its manufacturing capabilities.

According to its latest annual filings (10-K), Deswell Industries' customers are primarily:

• Original Equipment Manufacturers (OEMs)
• Contract Manufacturers (CMs)

It is important to note that Deswell Industries has a diversified customer base. As stated in their annual reports, no single customer accounted for more than 10% of their total net sales for the fiscal years ended March 31, 2023, 2022, and 2021. Therefore, no specific "major customers" by name are disclosed or account for a significant portion of their revenue.

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Edward So, Chief Executive Officer Mr. So, also known as Kin Chung So, has served as the Chief Executive Officer of Deswell Industries, Inc. since December 2, 2013. He has experience in the international electronic manufacturing industry.

Chi Wong, Chief Financial Officer Mr. Wong serves as the Chief Financial Officer of Deswell Industries, Inc.

Chin Li, Executive Director of Manufacturing & Administration for Plastic Operations and Director Mr. Li is the Executive Director of Manufacturing and Administration for Plastic Operations and also serves as a Director for Deswell Industries, Inc.

Wai Ming Lau, Chairman of the Board Mr. Lau serves as the Chairman of the Board of Deswell Industries, Inc. He previously retired from the CEO post but remained Chairman of the Board.

• Many multinational corporations are actively pursuing strategies to reduce their reliance on manufacturing in China, often referred to as "China+1" or "de-risking" strategies. This involves diversifying supply chains to other countries or reshoring production. Given Deswell Industries' primary manufacturing base in China, this trend represents a clear emerging threat to their existing client relationships and ability to secure new business from companies seeking to move production elsewhere.
• There is an increasing global movement to reduce plastic waste, driven by consumer demand for sustainable products, stricter environmental regulations (e.g., bans on single-use plastics, extended producer responsibility schemes), and corporate sustainability commitments. This trend could lead to a decreased demand for traditional plastic injection-molded components, particularly in consumer goods and packaging sectors, where Deswell Industries has significant exposure, as clients seek alternative materials or reduce overall plastic usage.

Deswell Industries (DSWL) operates in three main product and service areas: plastic injection molding, electronic products and subassemblies, and metallic products. The company's manufacturing facilities are located in China. The addressable market sizes for these areas are detailed below:

Plastic Injection Molding

• Global Market: The global injection molded plastics market size was valued at approximately USD 387.51 billion in 2023 and is projected to grow to about USD 561.58 billion by 2032.
• China Market: The injection molding market in China generated a revenue of approximately USD 52.62 billion in 2024 and is expected to reach about USD 88.37 billion by 2033.

Electronic Products and Subassemblies

• Global Electronic Manufacturing Services (EMS) Market: The global electronic manufacturing services (EMS) market size was valued at approximately USD 609.79 billion in 2024 and is projected to grow to about USD 1,033.17 billion by 2032.
• China Electronic Manufacturing Services (EMS) Market: The China Electronic Manufacturing Services market is projected to grow from approximately USD 63 billion in 2024 to about USD 100 billion by 2035.
• China Electronic Component Manufacturing Market: The Electronic Component Manufacturing industry in China is estimated to reach approximately USD 553.4 billion in 2025, with revenue anticipated to grow to USD 740.0 billion over the five years through 2030.

Metallic Products

• Global Fabricated Metal Products Market: The fabricated metal products market size stands at approximately USD 359.05 billion in 2025 and is forecast to climb to about USD 452.60 billion by 2030.
• China Metal Fabrication Industry Market: The market size of the Metal Fabrication industry in China is approximately USD 364.4 billion in 2025.
• China Sheet Metal Market: The China sheet metal market generated a revenue of approximately USD 83.53 billion in 2024 and is expected to reach about USD 130.04 billion by 2030.

The following are expected drivers of future revenue growth for Deswell Industries (DSWL) over the next 2-3 years:

1. Growth in Demand for Electronic Products and Subassemblies: Deswell Industries operates an Electronic Products Assembling segment, manufacturing electronic products and subassemblies for original equipment manufacturers and contract manufacturers globally. Increased demand in the end markets for these electronic products, such as consumer electronics or industrial applications, is a driver for higher revenue.

2. Increased Demand for Plastic Injection Molded Parts: The company's Plastic Injection Molding segment produces a variety of plastic parts and components used across diverse industries, including electronic entertainment products, power tools, accessories, outdoor equipment, medical products, and automobile components. Growth in these varied sectors will drive increased orders for Deswell's molded components.

3. Expansion of Customer Base and Manufacturing Contracts: As a contract manufacturer, Deswell's revenue growth is directly tied to its ability to secure new OEM and contract manufacturing clients and deepen relationships with existing ones. Expanding the scope of manufacturing agreements and acquiring new customers across its international markets (China, the United States, Europe, Hong Kong, the United Kingdom, and Canada) will contribute to revenue growth.

4. Product Diversification and Technological Advancement: Deswell's broad product capabilities, ranging from complex plastic components to electronic subassemblies, indicate an ability to adapt to evolving market needs. Continued diversification into new product lines or the adoption of advanced manufacturing technologies to address emerging industry demands for specific electronic components or molded parts can open new revenue streams.

Inbound Investments

• Deswell Industries reported no long-term or short-term borrowings as of March 31, 2025.
• The company maintained no long-term or short-term borrowings as of September 30, 2024.
• As of March 31, 2021, Deswell Industries had no long-term or short-term borrowings.