AP Memory Technology (6531) Q4 2023 earnings summary

Executive summary

• Q4 2023 revenue was NT$1,162,962K, up 41% YoY and down 6% QoQ; FY2023 revenue was NT$4,226,907K, down 17%.

• FY2023 reported net income was NT$1,444,970K, down 26%; excluding FX impact from unused GDR proceeds, net income was NT$1,444,934K, down 3%.

• FY2023 financial statements received an unqualified audit opinion.

Financial highlights

• Q4 gross profit was NT$509,036K and gross margin was 44%, versus 43% in 4Q22 and 41% in 3Q23.

• FY2023 gross profit was NT$1,755,006K versus NT$2,221,394K in 2022; operating income was NT$852,781K versus NT$1,500,520K.

• Net cash generated by operating activities was NT$2,043,301K in 2023, up from NT$1,574,634K in 2022.

• Cash and equivalents were NT$8,864,216K and total assets were NT$12,513,591K at Dec. 31, 2023.

Outlook and guidance

• IOTRAM is under development as a new interface intended to enable lower power consumption.

• More VHMTM proof-of-concept projects and AI design-ins are expected in 2024.

• Interposer with S-SiCap is expected to contribute revenue in 2024; S-SiCap embedded in package substrates remains in development.