WIN Semiconductors (3105) Q2 2026 earnings summary

Executive summary

• Q2 2026 consolidated revenue reached NT$5,257 million, up 15% QoQ and 39% YoY, with gross margin improving to 29.2% (consolidated) and operating margin rising to 14.1%.

• Net income attributable to owners was NT$977 million, with EPS at NT$2.3, both showing strong sequential growth.

• For the six months ended June 30, 2026, consolidated operating revenue rose to NT$9,847 million, with net profit attributable to owners at NT$1,510 million, reversing a loss in the prior year.

• Utilization rates improved to 65% in Q2 2026, supporting margin expansion and operational leverage.

• The foundry segment remained the primary revenue driver, with significant contributions from Asia and the Americas.

Financial highlights

• Q2 2026 revenue: NT$5,257 million (+15% QoQ, +39% YoY); gross margin: 29.2% (consolidated), 32.6% (individual).

• Q2 operating margin: 14.1%; operating profit: NT$740 million (+72% QoQ).

• Q2 net profit: NT$905 million (+102% QoQ); EPS: NT$2.3 (vs. NT$1.26 in Q1).

• First-half 2026 revenue: NT$9,847 million (+34% YoY); gross margin: 27.4% (vs. 17.6% last year); net profit: NT$1,510 million (vs. -NT$554 million last year).

• Total assets as of June 30, 2026 were NT$63,489 million, with equity attributable to owners at NT$43,810 million.

Outlook and guidance

• Q3 2026 revenue expected to grow by low teens percentage QoQ, driven by new high-end smartphone launches and optical products.

• Q3 gross margin projected in the low 30s, supported by higher revenue and operating leverage.

• The company expects continued growth in the foundry segment, supported by robust demand in Asia and the Americas.

• New IFRS standards effective in 2027 and 2028 are not expected to have a significant impact.

• A new syndicated loan of US$170 million is planned to refinance maturing debt in 2027.