ASMPT (0522) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $468.0 million, up 7.6% quarter-on-quarter and 9.5% year-on-year, driven by strong SMT performance and AI-related demand in both Advanced Packaging (AP) and mainstream businesses.

• Technology leadership in Thermo-Compression Bonding (TCB) for HBM4 and advanced logic, with recurring orders from major memory and logic customers.

• SMT segment recovery exceeded expectations, contributing to a profitable quarter on an adjusted basis, excluding restructuring and inventory write-off costs from AEC liquidation.

• Reported net loss of HK$268.6 million due to restructuring and inventory write-offs, but adjusted net profit was HK$101.9 million, up 245.2% year-on-year.

• AI adoption, EVs in China, and data center demand were key growth drivers, while Automotive and Industrial recovery remained subdued.

Financial highlights

• Q3 2025 revenue was $468.0 million, up 7.6% quarter-on-quarter and 9.5% year-on-year; bookings were $462.5 million, down 3.5% quarter-on-quarter but up 14.2% year-on-year; backlog stood at $867.7 million.

• Adjusted gross margin was 37.7%, down 203bps quarter-on-quarter and 330bps year-on-year; year-to-date margin remained around 40%.

• Adjusted operating profit was HK$124.4 million, down 26.6% quarter-on-quarter and 30.3% year-on-year; adjusted net profit was HK$101.9 million, down 24.4% quarter-on-quarter but up 245.2% year-on-year; adjusted EPS was HK$0.24.

• Book-to-bill ratio was 1.04 for the group.

• Adjusted net profit margin was 2.8%, down 118bps quarter-on-quarter but up 190bps year-on-year.

Outlook and guidance

• Q4 2025 revenue guidance is $470–530 million, up 6.8% quarter-on-quarter and 14.3% year-on-year at midpoint, above market consensus.

• Growth expected from both SEMI and SMT segments, with TCB total addressable market projected to exceed $1 billion by 2027, driven by AI ecosystem investments.

• Bookings in Q4 expected to be flattish quarter-on-quarter but mark the seventh consecutive quarter of year-on-year growth.

• SEMI bookings expected to increase quarter-on-quarter, mainly due to TCB; SMT bookings to decline due to high base effect.

• Visibility for Automotive and Industrial end-market recovery remains low.