Compal Electronics (2324) Q1 2025 earnings summary

Executive summary

• 1Q25 consolidated revenue was NT$199.1B, flat year-over-year and down 13% sequentially.

• Net income for 1Q25 reached NT$2.64B, up 13% sequentially and 15% year-over-year.

• PC unit shipments were 7.0M in 1Q25, down from 7.8M in 4Q24.

• Consolidated financial statements reviewed for Q1 2025 and 2024, with a qualified conclusion due to certain non-significant subsidiaries' statements not reviewed by independent auditors, representing 9.9% of total assets and 5.6% of total liabilities as of March 31, 2025.

• The group operates globally in notebook PCs, monitors, LCD TVs, mobile phones, and related components.

Financial highlights

• Gross profit for 1Q25 was NT$10.44B, down 10% sequentially and flat year-over-year.

• Operating profit was NT$2.71B, down 17% sequentially and 5% year-over-year.

• EPS for 1Q25 was NT$0.50, up 13% sequentially and 16% year-over-year.

• Gross profit margin improved to 5.2% from 4.9% year-over-year.

• Net profit attributable to owners was NT$2,191,229 thousand, up from NT$1,890,833 thousand year-over-year.

Outlook and guidance

• Management provided forward-looking statements regarding future growth, operations, and performance, cautioning about risks and uncertainties.

• Adoption of new IFRS standards is not expected to have a significant impact; the group is evaluating the effect of IFRS 18, effective January 1, 2027.