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MINNEAPOLIS – EMS provider Nortech Systems Inc. reported record net sales of $31.1 million for the second quarter, an increase of 19% year-over-year.

Operating income totaled $840,000, up 34% year-over-year. Net income of $367,500 was up 19% from the second quarter of 2006.

For the first half of the year, Nortech reported net sales of $59.1 million, an increase of 13% year-over-year. Operating income was $1.5 million, up 21%, while net income was $654,400, an increase of 14%.

BEIJING – China's IC output numbered 19.74 billion for the first half of the year, up 15.2% year-over-year, according to China's CCID Consulting.

Sales revenues totaled $8 billion, up 33.2% year-over-year, CCID says. However, this represents a fallback from the 48% growth in the first half of last year.

''China's IC industry will … enter a relatively stable development cycle,'' according to the firm. CCID says growth will drop to around 30% for the year, while sales revenues are expected to remain around $17.3 billion.

By the end of the year, China 's IC revenue is expected to account for more than 8% of the global industry, according to the firm.

SEOUL – A power outage at Samsung Electronics's manufacturing plant near Seoul forced a shutdown of several production lines; this could result in a slight decline in the supply of memory, published reports say.

The company said its Kiheung complex lost power after a malfunction at a transformer substation. A Samsung spokesperson said six of the 11 lines were shut down.

Samsung reported the factory would be back up to production within two days, but didn’t state the impact of lost time.

Samsung has 44% of the market share of memory chips, says iSuppli. The plant makes DRAM and NAND flash chips, used in portable devices.

Samsung estimates a loss of 15% for the third quarter; this could mean an 8% to 10% decline in memory for the overall market, triggering price increases, Samsung believes.