ASPEED Technology (5274) Investor presentation summary

Company overview

• Founded in 2004, operates as a fabless-lite IC design firm with 125 employees as of November 2023.

• Main revenue sources: Cloud & Enterprise (BMC/BIC/PFR) at 89%, Smart AV (Cupola360 & AVOIP SoC) at 11%.

• Holds #1 market share in BMC, AV over IP (1G Ethernet), and commercial 360 cameras.

• Headquarters in Hsinchu, Taiwan, with offices in Taipei and San Jose, CA.

• Recognized with multiple industry awards and consistent inclusion in Forbes Asia's Best Under A Billion.

Financial performance (2Q24)

• Operating revenue reached NT$1,356 million, up 33.8% QoQ and 99.4% YoY.

• Gross margin was 63.36%, nearly flat QoQ but down 2.27 percentage points YoY.

• Net income rose to NT$507.8 million, up 29.75% QoQ and 111.27% YoY; net profit margin at 37.45%.

• EPS (basic) increased to NT$13.44, up 29.73% QoQ and 110.99% YoY.

• Operating expenses grew 9.66% QoQ and 20.61% YoY, mainly from R&D, admin, and sales.

BMC in AI servers

• BMCs are critical in AI server architectures, with high counts per rack in advanced systems.

• GB200A NVL36, GB200 NVL36, and GB200 NVL72 racks require 39, 49, and 87 BMCs respectively.

• Higher shipment of GB200A NVL36 is favorable for BMC demand due to higher BMC count per similar performance or budget.

• Capex efficiency and BMC count per million spend are highest for GB200A NVL36 and H100 HGX servers.