Formosa Plastics (1301) investor relations material

Executive summary

• Revenue in 2026 Q2 reached NT$47.2 billion, up 4.1% year-over-year and 12.5% sequentially from 2026 Q1, driven by higher average selling prices (ASP) across most products.

• Pre-tax income rebounded to NT$10.86 billion in 2026 Q2 from a loss in 2026 Q1, supported by improved operating income, higher investment income, and cash dividends.

• Achieved a significant turnaround with net income of $13.92 billion for the six months ended June 30, 2026, compared to a net loss of $6.58 billion in the same period last year.

• Total comprehensive income reached $214.23 billion, up from a loss of $19.29 billion year-over-year.

• Revenue for the six months was $89.24 billion, a decrease from $92.59 billion year-over-year.

Financial highlights

• 2026 Q2 net sales were NT$47 billion, compared to NT$45 billion in 2025 Q2.

• Pre-tax income in 2026 Q2 was NT$10.86 billion, a significant turnaround from -NT$2.88 billion in 2026 Q1.

• Gross profit for the six months was $7.54 billion, up from $4.05 billion year-over-year.

• Operating income improved to $1.58 billion from a loss of $1.21 billion in the prior year.

• Basic and diluted EPS for the six months were $2.19, compared to a loss per share of $1.03 last year.

Segment performance

• PVC contributed 16% of revenue in 2026 Q2, down from 21% in 2025 Q2.

• Polyolefins (HDPE/EVA/LLDPE) accounted for 20% of revenue in 2026 Q2, slightly down from 21% in 2025 Q2.

• Specialty chemicals (AN/MMA/MTBE) increased to 10% of revenue in 2026 Q2 from 8% in 2025 Q2.

• PE and Caustic Soda were the main profit contributors in 2026 Q2, with operating margins of 30% and 15% respectively.

• All major divisions reported positive segment profit for the six months, with the Plastic division leading at $1.64 billion.