Advantech (2395) Q4 2025 earnings summary

Executive summary

• Achieved record FY2025 revenue of NT$70,882 million, up 19% year-over-year, with net profit after tax at NT$10,593 million, an 18% increase year-over-year, and basic EPS of NT$12.25, up from NT$10.45 in FY2024.

• All major business segments and regions delivered double-digit revenue growth, except North Asia, which was flat.

• Growth was driven by strong performance in automation, healthcare, and semiconductor sectors, with notable rebounds in channel sales and robust demand in key verticals.

Financial highlights

• Q4 gross profit margin improved nearly 1 ppt sequentially to 39.8%, though full-year margin declined from 41% to 39.8% due to higher raw material costs.

• Operating profit for FY2025 rose to NT$11,567 million, up from NT$9,050 million in FY2024, with operating margin at 16.3%.

• EPS for FY2025 reached NT$12.25, up from NT$10.45 in FY2024; diluted EPS was NT$12.14.

• Cash and cash equivalents at year-end were NT$11,320 million, representing 25% of total assets.

• Net cash from operating activities was NT$9,900 million, with net cash used in investing activities at NT$4,220 million.

Outlook and guidance

• 1Q26 consolidated revenue expected between US$590M and US$610M, with gross margin of 38–40% and operating margin of 16–18%.

• The Board proposed a cash dividend of NT$9.2 per share and a cash payment from capital surplus of NT$2 per share for 2025, pending shareholder approval.

• The company continues to focus on digital transformation, IoT, and AI-driven solutions, expecting sustained growth across business units and geographies.