Primax Electronics (4915) Q1 2026 earnings summary

Executive summary

• 1Q26 revenue reached NT$15.9bn, up 8% YoY, driven by AloT and AI Surveillance projects and new consumer audio launches.

• Gross margin declined to 15.9% (down 1.3ppt YoY) due to RMB headwinds, higher component costs, and product mix shifts.

• Operating margin was 4.3%, down 0.7ppt YoY but up 0.1ppt QoQ; EPS was NT$1.3, down 19.3% YoY, up 36.8% QoQ.

Financial highlights

• Net income for 1Q26 was NT$600mn, down 18.9% YoY, with a net margin of 3.8%.

• Operating income was NT$690mn, down 6.7% YoY.

• Free operating cash flow was negative NT$628mn in 1Q26, compared to NT$210mn in 1Q25.

• Ending cash balance stood at NT$12,882mn.

Outlook and guidance

• 2Q26 revenue expected to grow low teens YoY, led by consumer speaker and AloT projects.

• Gross margin may remain under pressure from product mix and rising component costs.

• Information Products revenue to increase slightly YoY and high single digit QoQ; Smart Lifestyle and Auto/AloT segments to see strong double-digit YoY growth.