King Yuan Electronics Company (2449) Q4 2024 earnings summary

Executive summary

• Q4'24 net revenue (excluding China subsidiary) rose 15.0% year-over-year to NT$7,296.9M and 3.7% sequentially.

• Full-year 2024 net revenue (excluding China subsidiary) grew 11.9% to NT$26,856.0M; consolidated net sales reached NT$26,856,031 thousand, up from NT$23,991,580 thousand in 2023.

• Profit attributable to the company increased 29.4% year-over-year to NT$2,030.1M in Q4'24, but declined 18.1% sequentially.

• Full-year 2024 profit attributable to the company was NT$7,779.4M, up 33.2% year-over-year; net income for 2024 was NT$8,095,286 thousand, up from NT$6,016,370 thousand in 2023.

• Major one-time event: Sale of 92.16% stake in King Long Technology (Suzhou) Ltd., resulting in NT$3,334,485 thousand profit from discontinued operations, 39% of total comprehensive income.

Financial highlights

• Q4'24 gross margin (excluding China subsidiary) was 34.8%, up 1.5ppts year-over-year but down 1.1ppts sequentially; 2024 gross profit margin improved to 35%.

• Q4'24 EBITDA reached NT$4,287.5M with an EBITDA margin of 43.2%.

• Q4'24 EPS (diluted, excluding China subsidiary) was NT$1.65, up 29.9% year-over-year but down 18.3% sequentially; full-year 2024 EPS (diluted, excluding China subsidiary) was NT$6.32, up 33.3% year-over-year; basic EPS from continuing and discontinued operations was NT$6.36 in 2024.

• Q4'24 return on equity was 19.1%; return on equity improved with higher net income and comprehensive income.

• Total assets increased to NT$86,710,786 thousand from NT$73,911,233 thousand.

Segment performance

• Q4'24 revenue by process: Final test 48.6%, Wafer probe 31.9%, Assembly 7.1%, Burn-in & others 6.0%.

• Q4'24 revenue by application: Consumer 32.1%, Communication 23.1%, Data processing 22.8%, Automotive 12.1%, Industrial 7.6%.

• Full-year 2024 revenue by process: Final test 45.5%, Wafer probe 35.6%, Assembly 7.8%, Burn-in & others 5.5%.

• Testing and assembly services contributed NT$22,647,730 thousand in 2024, 84% of total revenue; machinery rental revenue was NT$2,655,045 thousand, 10% of total revenue.

• Major customers accounted for 31% of total revenue in 2024.