MediaTek (2454) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue reached NT$138.0 billion, up 4.7% sequentially and 6.5% year-over-year; full-year revenue was NT$530.6 billion, up 22.4% from 2023.

• Q4 net income was NT$23.9 billion, down 6.4% sequentially and 6.9% year-over-year; full-year net income rose 38.8% to NT$107.1 billion.

• Gross margin for Q4 was 48.5%, with full-year gross margin at 49.6%, up from 48% in 2023.

• Flagship SoC revenue doubled to $2 billion in 2024, and connectivity revenue for global operators grew 30%.

• The company ended 2024 with NT$203.7 billion in cash and cash equivalents.

Financial highlights

• Q4 operating income was NT$21.4 billion, down 10.3% sequentially and 13.4% year-over-year; full-year operating income was NT$102.4 billion, up 42.6% year-over-year.

• Q4 EPS was NT$14.95, down from NT$15.94 in Q3 and NT$16.15 a year ago; full-year EPS was NT$66.92, up from NT$48.51 in 2023.

• Q4 net margin was 17.3%; full-year net margin was 20.2%.

• Cash dividends distributed in 2024 totaled NT$86.5 billion, with dividends per share of NT$54.

• Significant reversal of inventory write-downs contributed NT$2.6 billion to operating costs.

Outlook and guidance

• Q1 2025 revenue expected between NT$140.8–151.8 billion, up 2–10% sequentially and 6–14% year-over-year.

• Gross margin forecasted at 47% ±1.5 percentage points; operating expense ratio at 29% ±2 percentage points.

• Mobile and smart edge platforms, as well as automotive revenue, expected to grow sequentially in Q1 2025.

• Power IC revenue expected to seasonally decline in Q1 2025.

• No full-year 2025 guidance provided due to macroeconomic uncertainties.