Chroma ATE (2360) Q4 2025 earnings summary

Executive summary

• Consolidated sales reached TWD 28.3 billion in 2025, up 31% year-over-year, with net income of TWD 11.7 billion, up 121% year-over-year.

• Fourth quarter 2025 sales hit a record TWD 8.58 billion, up 34% quarter-over-quarter and 42% year-over-year, with net income of TWD 2.65 billion.

• Earnings per share for 2025 reached TWD 27.7, with a dividend payout of TWD 19.5 per share (70% payout ratio).

• Both Test Instruments & ATS and Semiconductor/Photonics segments posted strong growth, driven by demand in AI, EV/ESS, and advanced semiconductor markets.

Financial highlights

• Gross margin improved to 61% in 2025, up from 59% in 2024; Q4 gross margin was TWD 5.2 billion, up 36% quarter-over-quarter and 45% year-over-year.

• Operating income for 2025 rose 68% year-over-year to TWD 9.2 billion; Q4 operating income was TWD 3 billion, up 62% quarter-over-quarter and 92% year-over-year.

• Free cash flow reached TWD 6.7 billion, a 131% increase from the previous year.

• Return on equity improved to 29% in 2025, up from 22% in 2024.

• Cash & short-term investments increased 65% year-over-year to TWD 8.3 billion.

Outlook and guidance

• Strong order book and continued growth expected in AI server power, HVDC adoption, ESS, and advanced semiconductor markets.

• Semiconductor and photonics sectors projected to see robust growth in 2026, driven by AI, HPC, ASIC, advanced packaging, and CPO adoption.