Chunghwa Precision Test Tech (6510) Q1 2025 earnings summary

Executive summary

• Net revenue for 1Q25 was NT$1,152 million, up 71% year-over-year from NT$675 million in 1Q24, but down 11% sequentially from 4Q24.

• Gross margin for 1Q25 was 53.8%–54%, an increase of about 3 percentage points year-over-year.

• EPS for 1Q25 was NT$6.75, up NT$6.32 year-over-year and down NT$3.08 sequentially.

• Net income attributable to shareholders was NT$221 million in 1Q25, up from NT$14 million in 1Q24.

• Free cash flow improved significantly to NT$563 million in 1Q25.

Financial highlights

• Operating income reached NT$250 million in 1Q25, compared to a loss of NT$12 million in 1Q24.

• Operating margin improved to 22% in 1Q25 from -2% in 1Q24.

• Net cash generated from operating activities was NT$582 million in 1Q25, compared to net cash used of NT$36 million in 1Q24.

• Cash and cash equivalents increased to NT$3,653 million as of March 31, 2025, from NT$2,630 million a year earlier.

• Total assets grew to NT$9,412 million, up from NT$8,205 million year-over-year.

Outlook and guidance

• Worldwide semiconductor market sales projected to grow at a 7.5% CAGR from 2025 to 2028.

• Probe card market expected to grow at a 7.5% CAGR, with MEMS probe cards at 8.6% CAGR from 2025 to 2028.

• No significant impact expected from recent IFRS amendments.

• Ongoing civil litigation for patent infringement is being managed, with the outcome currently uncertain.