Faraday Technology (3035) Q3 2025 earnings summary

Executive summary

• Revenue for 3Q25 was NT$3,236M, down 28.3% sequentially but up 12.2% year-over-year.

• Revenue for the nine months ended September 30, 2025, reached NT$15,185M, up 87% year-over-year.

• Net income for 3Q25 was NT$165M, a 367.9% increase from 2Q25 but a 40.4% decrease year-over-year.

• Net income for the nine months was NT$551M, down 33% from the prior year period.

• Gross margin for 3Q25 was 33.2%, improving from 24.2% in 2Q25 but lower than 46.4% in 3Q24; for the nine months, gross margin was 24.2%, down from 46.7% year-over-year.

Financial highlights

• Operating income for 3Q25 was NT$40M, down 38.1% sequentially and 87.2% year-over-year; for the nine months, it was NT$472M, down from NT$882M year-over-year.

• Non-operating items contributed NT$173M in 3Q25, a significant swing from a loss of NT$19M in 2Q25.

• EPS for 3Q25 was NT$0.58, compared to NT$0.1 in 2Q25 and NT$1.01 in 3Q24; for the nine months, basic and diluted EPS were NT$2.01, compared to NT$3.14 and NT$3.13 in the prior year.

• Cash and cash equivalents at September 30, 2025, were NT$7,820M, down from NT$8,372M at the end of June and NT$8,319M a year earlier.

• Total assets were NT$18,867M, with stockholders' equity at NT$13,115M.

Segment performance

• MP (Mass Production) revenue was NT$2,331M in 3Q25, down 38.8% sequentially but up 30.3% year-over-year.

• NRE (Non-Recurring Engineering) revenue was NT$492M in 3Q25, up 19.4% sequentially but down 24.2% year-over-year.

• IP (Intellectual Property) revenue was NT$413M in 3Q25, up 43% sequentially but down 7.4% year-over-year.

• MP revenue share increased year-over-year, while NRE and IP segments showed mixed trends.

• Application and technology mix in NRE/MP segments shifted, with notable changes in communication, industrial, and advanced technology nodes.