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ENNOSTAR (3714) investor relations material
ENNOSTAR Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Q3 revenue declined 2.4% quarter-on-quarter and 16.3% year-over-year to TWD 5.6 billion, impacted by macroeconomic and tariff uncertainties, conservative customer restocking, and intensified competition.
Net loss attributable to the parent company was TWD 611 million, an improvement from a TWD 878 million loss in Q2 but a significant decline from a small profit in Q3 last year.
Basic EPS was negative TWD 0.83, compared to negative TWD 1.19 in Q2 and TWD 0.01 in Q3 last year.
The company is accelerating integration, with Ennostar Corporation officially established and Lextar to be integrated starting January 1st next year.
Financial highlights
Gross margin declined to 5.7% from 6.9% in Q2 and 16.5% in Q3 last year, due to a less favorable product mix.
Operating margin was negative 15.3%, further deteriorating from -14.5% in Q2 and -1.8% in Q3 last year.
Net non-operating income was TWD 250 million, a significant positive swing from a loss of TWD 48 million in Q2, driven by reduced forest losses and gains from subsidiary liquidation.
EBITDA margin was 1.7%, down from 2.6% in Q2 and 14.9% in Q3 last year.
Inventory value decreased by TWD 100 million quarter-on-quarter, with inventory turnover at 78 days, improved from 83 in Q2.
Outlook and guidance
Q4 revenue from tensing expected to decline double-digit percentage points QoQ but grow double-digit YoY; full-year tensing revenue to grow single-digit YoY.
Special lighting revenue anticipated to decline double-digit percentage points both QoQ and YoY, with a conservative full-year outlook.
Display segment Q4 revenue expected flat or slightly down QoQ, with a single-digit YoY decline; full-year display revenue to decline slightly YoY.
Micro-LED products entering pilot production, with mass production and more substantial revenue contribution expected next year.
Automotive segment expects nearly double-digit growth in Q4, with new exterior modules entering mass production and capacity expansion underway.
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