Formosa Sumco Technology (3532) Q2 2024 earnings summary

Executive summary

• Net revenue for the first half of 2024 was NT$6,254 million, down 15% year-over-year; Q2 revenue was NT$3,225 million, down 11% from Q2 2023.

• Net income for the first half was NT$732 million, a 61% decrease year-over-year; Q2 net income was NT$347 million, down 65% from Q2 2023.

• Gross margin for the first half was 21%, compared to 35% in the same period last year.

• The company remains focused on silicon wafer manufacturing and sales, with no new business segments.

Financial highlights

• Operating income for the first half was NT$828 million, down 61% year-over-year; Q2 operating income was NT$444 million, down 57% from Q2 2023.

• Basic and diluted EPS for the first half were both NT$1.89, compared to NT$4.84 in the same period last year.

• Cash and equivalents at June 30, 2024, were NT$3,057 million, down from NT$4,321 million at year-end 2023.

• Total assets at June 30, 2024, were NT$50,286 million, up from NT$49,186 million at year-end 2023.

• Total liabilities increased to NT$26,065 million from NT$23,737 million at year-end 2023.

Capital allocation and financing

• NT$3,602 million in new short-term borrowings was raised in the first half of 2024.

• NT$500 million in long-term debt was repaid early in January 2024.

• NT$1,939 million in cash dividends was distributed in 2024 for 2023 earnings.

• Capital expenditures for property, plant, and equipment totaled NT$4,668 million in the first half.