Chroma ATE (2360) Q2 2025 earnings summary

Executive summary

• Second quarter net sales reached TWD 6.455 billion, up 17% year-over-year but down 6% sequentially.

• First half 2025 net sales totaled TWD 13.32 billion, a 34% increase year-over-year.

• Net income for Q2 was TWD 2.007 billion, up 40% year-over-year but down 7% sequentially.

• Net income for the first half reached TWD 4.163 billion, up 73% year-over-year.

• EPS for the first half was TWD 9.67 basic and TWD 9.58 diluted, up from TWD 5.61 and TWD 5.56, respectively, year-over-year.

Financial highlights

• Q2 gross margin was 65%, up from 59% in Q2 2024.

• First half gross margin was 63%, with gross profit of TWD 8.372 billion, up 44% year-over-year.

• Operating income for the first half was TWD 4.361 billion, up 81% year-over-year.

• Free cash flow increased 60% year-over-year in 1H25.

• Cash and short-term investments increased 48% from last year-end.

Outlook and guidance

• Testing instrument and ATS sectors expected to reach historical high sales in 2025, driven by AI server power applications.

• Semiconductor and photonic sectors anticipated to maintain high growth in the second half, supported by metrology equipment and system-level tester orders for AI HPC and autonomous driving chips.

• No official full-year guidance, but testing instrument revenue is expected to surpass TWD 8 billion.

• The company is assessing the impact of new IFRS standards effective in 2026 and 2027.