Listed semiconductor company Cirtek Holdings Philippines Corp. swung to a USD2.8 million net loss in the first half of 2026, from a USD1.1 million profit a year earlier, as a one-time write-off tied to the disposal of its Quintel business compounded higher costs and operating expenses.
The company’s consolidated revenue slipped 4 percent to USD25 million from USD26.1 million, mainly because revenue from Quintel fell 65 percent following the company’s decision to sell all of the unit’s operating assets.
The revenue decline came despite stronger performances from Cirtek’s core businesses. Revenue from its RF, microwave, and millimeter-wave business rose 35 percent to USD6.7 million, while semiconductor revenue increased 9 percent to USD16.12 million.
The problem was that costs moved in the opposite direction. Cost of sales rose 8 percent to USD21.8 million, squeezing gross margin to 13 percent from 23 percent a year earlier. Raw materials, spare parts, supplies, and other inventories used climbed 19 percent to USD12.9 million, while employee costs increased 3 percent to USD3.8 million.
Operating expenses added further pressure, rising 29 percent to USD5.2 million. Commissions surged 332 percent to USD1.3 million, while professional fees jumped 160 percent to USD537,000.
The biggest hit, however, came from the Quintel disposal. Cirtek recognized a one-time write-off of Quintel’s undepreciated property, plant, and equipment in June, pushing its loss before tax to USD2.6 million from a USD1.2 million profit a year earlier.
Cirtek’s board approved the sale of substantially all Quintel operational assets to US-based John Mezzalingua Associates LLC in June. The transaction included customer contracts, intellectual property, inventory, accounts receivable, and other operating assets.
Cirtek received an initial USD3.3 million payment, with about USD2 million expected within four months, as it reshapes its portfolio around its semiconductor and RF businesses.
