ChipMOS TECHNOLOGIES (8150) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue was NT$5,736 million, up 3.7% sequentially but down 1.3% year-over-year, driven by strong memory product demand despite softness in auto and industrial segments and FX headwinds.

• Net loss attributable to shareholders was NT$533 million (NT$0.75 per share), mainly due to significant foreign exchange losses.

• Utilization rates improved in memory products, with overall UT at 65%, assembly at 64%, and test at 67%.

• Memory products represented 45.3% of Q2 revenue, with DRAM and NAND flash showing strong sequential and year-over-year growth.

• For the six months ended June 30, 2025, revenue was NT$11,268 million, nearly flat year-over-year.

Financial highlights

• Gross margin for Q2 2025 was 6.6%, down 2.8 percentage points sequentially and 7.4 points year-over-year.

• EBITDA for Q2 was NT$1,302 million.

• Operating profit was NT$21 million (0.4% margin), down sharply from Q1 and prior year.

• Net non-operating expense was NT$682 million, mainly due to NT$690 million in foreign exchange losses.

• For the first half of 2025, gross profit was NT$897 million and net loss was NT$357 million.

Outlook and guidance

• Q3 expected to benefit from strong memory product momentum, especially DDR4 and NAND, with OSAT price increases to offset material cost rises.

• DDIC demand remains soft, but OLED products expected to improve due to seasonal restocking; auto panel and mixed signal product lines expected to remain stable.

• Management remains cautious due to global economic uncertainty, conservative consumer demand, and early restocking in H1.

• Focus remains on higher margin mix, cost controls, and cautious CapEx spending.

• Ongoing share repurchases and capital investments indicate a focus on long-term positioning.