FOCI Fiber Optic Communications (3363) Q2 2024 earnings summary

Executive summary

• Revenue for the six months ended June 30, 2024 was NT$621,303 thousand, up 2.5% year-over-year, but the period ended with a net loss of NT$2,711 thousand compared to a net profit of NT$19,284 thousand in the prior year.

• The company completed a NT$522,000 thousand private placement and increased paid-in capital to NT$1,036,406 thousand.

• Major subsidiaries in China contributed significant revenue and cash dividends during the period.

Financial highlights

• Gross margin for the six months was 15%, down from 11% in the prior year.

• Operating expenses increased to NT$127,959 thousand (21% of revenue) from NT$107,713 thousand (17% of revenue) year-over-year.

• Net cash from operating activities was NT$70,601 thousand, down from NT$126,035 thousand year-over-year.

• Cash and cash equivalents rose to NT$1,531,459 thousand as of June 30, 2024, up from NT$612,808 thousand a year earlier.

• Basic and diluted loss per share for the six months was NT$0.03, compared to earnings per share of NT$0.22 in the prior year.

Outlook and guidance

• Management expects no significant impact from new or upcoming IFRS standards.

• The company continues to focus on capital management and maximizing stakeholder returns.