Quanta Computer (2382) Q3 2024 earnings summary

Executive summary

• Net sales for Q3 2024 reached NT$424,549 million, up 48.2% year-over-year, and net income was NT$16,633 million, a 29.9% increase year-over-year.

• For the first nine months of 2024, net sales totaled NT$993,443 million, up 24.5% year-over-year, with net income at NT$43,829 million, a 49.1% increase.

• Basic EPS for Q3 2024 was NT$4.32, and for the nine months was NT$11.37, both up year-over-year.

• The company issued US$1 billion in five-year unsecured convertible bonds in September 2024.

• Continued investments in property, plant, and equipment supported expansion.

Financial highlights

• Gross profit for Q3 2024 was NT$31,125 million, up from NT$23,228 million in Q3 2023.

• Operating income for Q3 2024 was NT$19,557 million, a 28.6% increase year-over-year.

• Cash and cash equivalents at September 30, 2024 were NT$123,200 million, down from NT$177,200 million at year-end 2023.

• Total equity attributable to owners reached NT$201,304 million as of September 30, 2024.

• Operating cash flow for the nine months was negative NT$43,500 million, compared to positive NT$84,800 million in the prior year period.

Key financial ratios and metrics

• Gross margin for Q3 2024 was 7.33%, and for the nine-month period was 8.0%.

• Operating margin for Q3 2024 was 4.61%, up from 4.40% in Q3 2023.

• Net margin for Q3 2024 was 3.92%, compared to 4.47% in Q3 2023.

• Short-term borrowings decreased to NT$147,900 million from NT$157,000 million at year-end 2023.

• Net debt position increased due to lower cash balances and continued capital expenditures.