ITEQ (6213) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2024/1Q25 reached NT$7,580 million, up 23.2% year-over-year but down 1.1% sequentially.

• Net income to parent reached NT$337 million, a 119.3% increase year-over-year and 54.0% sequentially.

• Gross margin improved to 14.24% from 12.74% a year ago.

• EPS rose to NT$0.93, up 121.4% year-over-year and 55.0% sequentially.

• Maintained leadership in specialty laminate market with a 19.3% global share in 2023.

Financial highlights

• Operating profit surged 111.6% year-over-year to NT$521 million.

• Operating expense ratio decreased to 7.36% from 8.74% year-over-year.

• Net margin increased to 4.44% from 2.50% year-over-year.

• ROE improved to 4.9% from 3.1% a year ago.

• Cash and cash equivalents stood at NT$4,791 million as of March 31, 2024.

Outlook and guidance

• Secular growth expected from network infrastructure upgrades and automotive electronics.

• Generative AI and high-speed data transmission trends to drive demand for high-performance CCL.

• Datacenter and server platform upgrades anticipated to increase CCL content and layer counts.

• Management expects no material impact from newly adopted or upcoming accounting standards.

• No significant seasonality or cyclicality is expected to affect operations.