ASMPT (0522) Q4 2024 earnings summary

Executive summary

• FY 2024 revenue was US$1.7 billion (HK$13.23 billion), down 10% year on year, with gross margin up 70 bps to 40%.

• Adjusted net profit fell 42.8% to HK$426 million; adjusted EPS dropped 42.9% to HK$1.04.

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

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

• Automotive remained the largest end market at 20% of group revenue.

Financial highlights

• FY 2024 bookings were US$1.63 billion (HK$12.75 billion), up 4% year on year; backlog at year-end was US$779 million (HK$6.05 billion), down 8.5%.

• FY 2024 operating profit was HK$558 million, down 49.4% year on year.

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

• Basic EPS for FY 2024 was HK$0.83, down 52% year on year; adjusted basic EPS was HK$1.04, down 42.9%.

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

Outlook and guidance

• AP revenue growth expected to continue, driven by TCB solutions for AI and HPC.

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

• Ongoing weakness anticipated in automotive and industrial mainstream markets.

• Strategic investments in AP R&D and infrastructure to continue, with HK$350 million planned for 2025.

• Investment planned to double TCB production capability by end 2025.