Chicony Electronics (2385) Q3 2025 earnings summary

Executive summary

• 3Q25 saw improved gross and operating profit margins quarter-over-quarter, with GPM up 1.4ppt and OPM up 1.7ppt sequentially.

• Net income for 3Q25 was NT$2,086 million, down 13% year-over-year, and EPS was NT$2.87.

• For 1Q–3Q25, net sales reached NT$72,584 million, a 3.5% decrease year-over-year, with net income down 12.1% to NT$5,831 million.

• Revenue for the nine months ended September 30, 2025, was NT$72.58 billion, down from NT$75.24 billion year-over-year.

• Total assets as of September 30, 2025, were NT$100.02 billion, with total equity at NT$48.66 billion.

Financial highlights

• 3Q25 net sales were NT$24,808 million, up 1.3% sequentially but down 10.5% year-over-year.

• Gross profit for 3Q25 was NT$4,727 million, up 8.8% sequentially but down 16.2% year-over-year.

• Operating profit for 3Q25 was NT$2,358 million, up 23% sequentially but down 20.9% year-over-year.

• Gross margin for the nine months was NT$13.38 billion, down from NT$15.35 billion year-over-year.

• Cash and cash equivalents at period end were NT$18.66 billion, down from NT$21.36 billion a year earlier.

Outlook and guidance

• 2026 growth expected from Windows 11 replacement cycle, AI PC penetration, and spec upgrades in camera modules.

• Rising LED backlight keyboard adoption and expansion in AI image products and power solutions anticipated.

• Over NT$6 billion in orders on hand for Smart Building/Factory Solutions.

• Demand for Windows 11 PCs expected to continue into 2026 despite macroeconomic uncertainties.

• Management distributed cash dividends and made appropriations to legal and special reserves during the period.