WIN Semiconductors (3105) Q1 2025 earnings summary

Executive summary

• Q1 2025 consolidated revenue was TWD 3.58 billion (NT$3,575.8 million), down 3.5% quarter-on-quarter and 19.5–20% year-on-year, reflecting market headwinds and unfavorable product mix.

• Net profit attributable to owners was TWD 16 million (NT$15.6 million), with EPS of TWD 0.04, a significant improvement from the previous quarter's loss but a sharp decline from Q1 2024.

• Gross margin fell to 16.7–17%, and operating margin was -6.1%.

• Recognized for ESG achievements, including DJSI World Index inclusion and TCSA Sustainability Report Gold Award.

• The company operates in foundry (GaAs wafers), agriculture technology, and gene chip/testing services.

Financial highlights

• Gross profit was TWD 598 million; operating loss was TWD 217 million.

• Net income for Q1 2025 was -TWD 63 million, a substantial improvement from -TWD 530 million in Q4 2024.

• Return on equity (ROE) was 0.10–0.2%.

• Book value per share was TWD 83.28–85.68; current ratio ranged from 139% to 252%.

• Debt ratio was 39.82–43%.

Outlook and guidance

• Q2 2025 consolidated revenue expected to grow by low-teens percentage quarter-on-quarter.

• Gross margin for Q2 projected to remain in the high-teens to low-twenties range.

• Wi-Fi and optical businesses anticipated to drive Q2 growth, with infrastructure segment slightly down.

• Product mix in Q2 expected to favor high-volume, lower-margin segments.