Sercomm (5388) Q2 2026 earnings summary

Executive summary

• Net sales for Q2 2026 reached NT$20,616 million, up 68.8% year-over-year and 23.8% sequentially from Q1 2026.

• Net income attributable to owners for Q2 2026 was NT$473 million, a 41.6% increase year-over-year and 56.5% higher than Q1 2026.

• H1 2026 net sales totaled NT$37,263 million, up 58.1% year-over-year.

• Earnings per share for Q2 2026 was NT$1.58, and for the six months ended June 30, 2026, NT$2.59 basic and NT$2.55 diluted.

• Gross margin for Q2 2026 was 12.3%, down from 16.6% in Q2 2025.

Financial highlights

• Operating profit for Q2 2026 was NT$678 million, a 79.3% increase year-over-year and 38.2% higher than Q1 2026.

• Total assets as of June 30, 2026, were NT$58.21 billion, up from NT$46.05 billion a year earlier.

• Cash and cash equivalents at June 30, 2026, were NT$5,560 million, down from NT$11,398 million a year earlier.

• Inventory increased to NT$28.77 billion from NT$15.83 billion year-over-year.

• Net cash from operations was negative NT$3,462 million for H1 2026, while financing activities provided NT$3,496 million.

Segment performance

• In H1 2026, Broadband CPE contributed 60% of revenue, Infrastructure & IoT 21%, and Enterprise 19%.

• Fixed mobile convergence products contributed NT$21.16 billion in six-month revenue, up 47% year-over-year.

• Enterprise segment revenue was NT$6.69 billion, up 30% year-over-year.

• IoT Solutions revenue doubled to NT$7.24 billion for the six months.

• Compared to 2025, Broadband CPE's share increased, while Enterprise's share decreased.