ASMPT (0522) Q4 2024 earnings summary

Executive summary

• FY 2024 revenue was $1.7 billion (HK$13.23 billion), down 10% year-over-year, with gross margin up 70 bps to 40% and adjusted net profit at HK$426 million, down 42.8%.

• Advanced Packaging (AP), especially TCB, drove growth, with AP revenue up 23% year-over-year and share of group revenue rising from 22% to nearly 30%.

• Q4 2024 revenue was $438 million (HK$3.40 billion), flat year-over-year and up 1.8% quarter-over-quarter; Q4 adjusted net profit was HK$82 million, up 7.2% year-over-year.

• Bookings for FY 2024 rose 4% year-over-year to $1.6 billion (HK$12.75 billion); backlog at year-end was $779 million (HK$6.05 billion), down 8.5%.

• Automotive remained the largest end-market at 20% of revenue, despite market softness.

Financial highlights

• FY 2024 operating profit was HK$558 million, down 49.4% year-over-year; adjusted EPS was HK$1.04, down 42.9%.

• Q4 2024 gross margin was 37.2%, down 508 bps year-over-year; Q4 operating profit was HK$5 million, down 97% year-over-year.

• FY 2024 adjusted net profit margin was 3.2%; Q4 2024 adjusted net profit margin was 2.4%.

• Dividend per share for 2024 (including special) was HK$0.67, down from HK$1.39 in 2023.

• Net cash at year-end was HK$2.4 billion; cash and bank deposits were HK$5.1 billion.

Outlook and guidance

• AP revenue is expected to grow further in 2025, driven by TCB solutions for AI and HPC, but mainstream, automotive, and industrial markets remain weak.

• Q1 2025 revenue guidance: $370–430 million, flat year-over-year and down 9% sequentially at midpoint.

• TCB market projected to reach $1 billion by 2027, CAGR over 45% from 2024, mainly driven by HBM adoption.

• AP market expected to grow at 18% CAGR from 2024 to 2029.