Far Eastern New Century (1402) Q1 2026 earnings summary

Executive summary

• Achieved NT$0.61 EPS in 1Q26, up 33% year-over-year, driven by operational recovery and portfolio optimization initiatives.

• Maintained 59 consecutive years of dividend payments, with a NT$1.25 per share cash dividend and an 81% payout ratio.

• Production business rebounded with NT$210M operating profit in 1Q26, recovering from a significant loss in FY2025 after resuming operations at the Hsinchu site.

• Strategic asset disposals in 1Q26 and 1Q25 generated NT$1.9B and NT$1.6B gains, respectively.

• Stable earnings base supported by investment and property development businesses.

Financial highlights

• 1Q26 consolidated revenue was NT$61.3B, down 4% year-over-year; net income rose 22% to NT$5.55B.

• Operating profit for 1Q26 was NT$4.9B, down 22% year-over-year; EPS was NT$0.61, up from NT$0.46.

• Book value per share stood at NT$43.9; return on equity was 5.3%.

• Total assets reached NT$679.7B, with net interest-bearing debt at NT$205.9B.

• Green revenue accounted for 20% of consolidated revenue in 2025.

Outlook and guidance

• Focus on sustainable growth through international expansion, green innovation, AI transformation, and operational resilience.

• Committed to achieving net zero GHG emissions by 2050, with a 50% reduction target by 2030.

• Regulatory trends are expected to drive demand for recycled PET, with supply constraints accelerating textile-to-textile recycling development.