ChipMOS TECHNOLOGIES (8150) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenue reached NT$5,810 million, up 7.2% sequentially and 6.7% year-over-year, with net profit attributable to the company at NT$451 million and EPS of NT$0.62.

• For the six months ended June 30, 2024, revenue was NT$11,228 million, up 12% year-over-year, with net income of NT$888 million and EPS of NT$1.22.

• Gross margin for Q2 2024 was 14%, down 0.2 percentage points sequentially and 3.3 points year-over-year.

• Operating profit for Q2 was NT$374 million with a margin of 6.4%; for the six months, operating profit was NT$737 million.

• Return on equity for Q2 was 7.2%; for the six months, ROE was approximately 3.6%.

Financial highlights

• EBITDA for Q2 was NT$1,558 million.

• Cash and cash equivalents at June 30, 2024, were NT$14,652 million, up from NT$12,354 million at year-end 2023.

• Free cash flow for H1 2024 was NT$1,433 million, down from NT$1,950 million in H1 2023.

• Total assets stood at NT$45,435 million, with equity representing 54% of total assets.

• Dividend payout for 2023 was NT$1.80 per share, totaling NT$1,309 million, distributed on July 19th.

Outlook and guidance

• Cautiously optimistic for Q3 and H2 2024, expecting improved operating momentum as inventory levels normalize.

• DDIC expected to outgrow memory product momentum in Q3, with continued investment in memory test platforms and DDIC capacity.

• Business momentum ratio for H1:H2 expected to remain close to previous guidance (47:53), with margin improvement targeted through cost controls.

• The company expects to receive the remaining payment of NT$1,318 million from the sale of Unimos Shanghai by year-end 2024.

• No significant changes in capital management or risk policies are anticipated for the remainder of the year.