5/9/2023

speaker
Ziv
President & CEO

is to increase that the volume went up by 6.1% year over year. And also the fact that India, which is the second largest producer, has decided this is a nationwide program to invest in steel production in order to make India more as an industrial country. major, major steel investments in India in terms of adding more steel capacity, while also buying more sophisticated equipment at universities, research centers, in order to develop more, I would say, more modern, lighter and stronger alloys, which also impact our steel business in the measurement systems. That's regarding the steel production. The other trend, as I indicated, is the precision resistors, which is driven by semiconductor test equipment, as well as avionic military and space demand. And now we see also consumer electronics, coming back as they reach the point where they have to start to replenish the inventories. So those are, I would say, first order effect of the three key drivers for the higher demand going forward.

speaker
Griffin
Analyst

That's great. Thanks for the color there. I appreciate it. And then maybe one for Bill here. Can you give us some more color on the cadence for CapEx? Because Q1 came in much lighter than we modeled. I know you reiterated the 18 million to 20 million for the year. I'm just curious, the cadence there, is it picking up in the back half of the year, or should we just expect higher CapEx in 2Q through 4Q?

speaker
Bill
CFO & Treasurer

Yeah, Griffin, so you saw that the capital spending was $3.5 million. Yeah, we do expect to have more of the capital spending, I would say, in the back end of the second half of the year, but still within that $18 to $20 million target for the full year.

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