AUO (2409) investor relations material

Executive summary

• Net sales for 1Q26 were NT$69,031 million, down 1.6% sequentially and 4.3% year-over-year.

• Gross profit margin improved to 11.9% from 10.7% in 4Q25, but operating profit remained negative at NT$636 million.

• Net loss attributable to owners was NT$1,144 million, reversing a profit of NT$2,882 million in 4Q25.

• Basic EPS was negative NT$0.15, compared to NT$0.38 in the previous quarter and NT$0.43 in 1Q25.

• Total comprehensive income dropped 81.3% sequentially and 64.4% year-over-year.

Financial highlights

• Gross profit for 1Q26 was NT$8,183 million, up 8.8% sequentially but down 6.8% year-over-year.

• Operating expenses decreased 6.4% quarter-over-quarter but increased 15.4% year-over-year.

• Operating profit improved to a loss of NT$636 million from a loss of NT$1,893 million in 4Q25.

• Net profit before tax was a loss of NT$501 million, compared to a profit of NT$2,889 million in 4Q25.

• Cash and cash equivalents at quarter-end were NT$53,064 million, down 4.6% sequentially and 21.3% year-over-year.

Outlook and guidance

• Mobility Solutions revenue expected to increase low- to mid-single digit percent quarter-over-quarter in 2Q26.

• Vertical Solutions revenue expected to rise high-single digit percent quarter-over-quarter.

• Display segment revenue anticipated to see a slight decline quarter-over-quarter.