Technology
ASE Technology Holding Co., Ltd. Reports Its Unaudited Consolidated Financial Results for the Third Quarter of 2024
Published
2 years agoon
By
TAIPEI, Oct. 31, 2024 /PRNewswire/ — ASE Technology Holding Co., Ltd. (TWSE: 3711, NYSE: ASX) (“We”, “ASEH”, or the “Company”), the leading provider of semiconductor assembly and testing services (“ATM”) and the provider of electronic manufacturing services (“EMS”), today reported its unaudited net revenues[1] of NT$160,105 million for 3Q24, up by 3.9% year-over-year and up by 14.2% sequentially. Net income attributable to shareholders of the parent for the quarter totaled NT9,666 million, up from NT$8,776 million in 3Q23 and up from NT$7,778 million in 2Q24. Basic earnings per share for the quarter were NT$2.24 (or US$0.138 per ADS), compared to NT$2.04 for 3Q23 and NT$1.80 for 2Q24. Diluted earnings per share for the quarter were NT$2.17 (or US$0.134 per ADS), compared to NT$2.00 for 3Q23 and NT$1.75 for 2Q24.
As of September 30, 2024, we have completed the PPA and have retrospectively adjusted the consolidated financial results for prior period.
RESULTS OF OPERATIONS
3Q24 Results Highlights – Consolidated
Net revenues from packaging operations, testing operations, EMS operations, and others represented approximately 43%, 9%, 47%, and 1% of the total net revenues for the quarter, respectively.Cost of revenues was NT$133,673 million for the quarter, up from NT$117,184 million in 2Q24.Raw material cost totaled NT$84,658 million for the quarter, representing 53% of the total net revenues.Labor cost totaled NT$16,468 million for the quarter, representing 10% of the total net revenues.Depreciation, amortization and rental expenses totaled NT$13,647 million for the quarter.Gross margin increased by 0.1 percentage points to 16.5% in 3Q24 from 16.4% in 2Q24.Operating margin was 7.2% in 3Q24, compared to 6.4% in 2Q24.In terms of non-operating items:Net interest expense was NT$1,291 million.Net foreign exchange gain was NT$1,890 million, primarily attributable to the depreciation of the U.S. dollar against the New Taiwan dollar.Net loss on valuation of financial assets and liabilities was NT$943 million.Net gain on equity-method investments was NT$485 million.Other net non-operating income was NT$643 million, primarily attributable to miscellaneous income.
Total non-operating income and expenses for the quarter was NT$784 million.Income before tax was NT$12,260 million in 3Q24, compared to NT$10,105 million in 2Q24. We recorded income tax expenses of NT$2,054 million for the quarter, compared to NT$1,950 million in 2Q24.Net income attributable to shareholders of the parent was NT$9,666 million in 3Q24, compared to NT$8,776 million in 3Q23 and NT$7,778 million in 2Q24.Our total number of shares outstanding at the end of the quarter was 4,412,064,337, including treasury stock owned by our subsidiaries in 3Q24. Our 3Q24 basic earnings per share of NT$2.24 (or US$0.138 per ADS) were based on 4,321,735,473 weighted average numbers of shares outstanding in 3Q24. Our 3Q24 diluted earnings per share of NT$2.17 (or US$0.134 per ADS) were based on 4,391,466,234 weighted average number of shares outstanding in 3Q24.
3Q24 Results Highlights – ATM
Net revenues were NT$85,790 million for the quarter, up by 2.5% year-over-year and up by 10.3% sequentially.Cost of revenues was NT$65,989 million for the quarter, up by 1.4% year-over-year and up by 8.9% sequentially.Raw material cost totaled NT$24,177 million for the quarter, representing 28% of the total net revenues.Labor cost totaled NT$13,309 million for the quarter, representing 16% of the total net revenues.Depreciation, amortization and rental expenses totaled NT$12,163 million for the quarter.Gross margin increased by 1.0 percentage points to 23.1% in 3Q24 from 22.1% in 2Q24.Operating margin was 10.8% in 3Q24, compared to 9.3% in 2Q24.
3Q24 Results Highlights – EMS
Net revenues were NT$75,384 million, up by 6.2% year-over-year and up by 19.8% sequentially.Cost of revenues for the quarter was NT$68,627 million, up by 6.4% year-over-year and up by 20.6% sequentially.Raw material cost totaled NT$60,912 million for the quarter, representing 81% of the total net revenues.Labor cost totaled NT$3,051 million for the quarter, representing 4% of the total net revenues.Depreciation, amortization and rental expenses totaled NT$1,219 million for the quarter.Gross margin decreased by 0.6 percentage points to 9.0% in 3Q24 from 9.6% in 2Q24.Operating margin was 3.3% in 3Q24, compared to 3.1% in 2Q24.
LIQUIDITY AND CAPITAL RESOURCES
Capital expenditures in 3Q24 totaled US$603 million, of which US$312 million was used in packaging operations, US$274 million in testing operations, US$14 million in EMS operations and US$3 million in interconnect materials operations and others.Total unused credit lines amounted to NT$361,264 million as of September 30, 2024.Current ratio was 1.18 and net debt to equity ratio was 0.41 as of September 30, 2024.Total number of employees was 94,456 as of September 30, 2024, compared to 92,243 as of June 30, 2024.
BUSINESS REVIEW
Customers
ATM BASIS
Our five largest customers together accounted for approximately 46% of our total net revenues in 3Q24, compared to 45% in 2Q24. One customer accounted for more than 10% of our total net revenues in 3Q24.Our top 10 customers contributed 61% of our total net revenues in 3Q24, compared to 60% in 2Q24.Our customers that are integrated device manufacturers or IDMs accounted for 31% of our total net revenues in 3Q24, compared to 30% in 2Q24.
EMS BASIS
Our five largest customers together accounted for approximately 72% of our total net revenues in 3Q24, compared to 67% in 2Q24. One customer accounted for more than 10% of our total net revenues in 3Q24.Our top 10 customers contributed 78% of our total net revenues in 3Q24, compared to 74% in 2Q24.
About ASE Technology Holding Co., Ltd.
ASEH is the leading provider of semiconductor manufacturing services in assembly and test. The Company develops and offers complete turnkey solutions covering front-end engineering test, wafer probing and final test, as well as packaging, materials and electronic manufacturing services through USI with superior technologies, breakthrough innovations, and advanced development programs. With advanced technological capabilities and a global presence spanning Taiwan, China, South Korea, Japan, Singapore, Malaysia, Philippines, Vietnam, Mexico, and Tunisia as well as the United States and Europe, ASEH has established a reputation for reliable, high quality products and services.
For more information, please visit our website at https://www.aseglobal.com.
Safe Harbor Notice
This press release contains “forward-looking statements” within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Although these forward-looking statements, which may include statements regarding our future results of operations, financial condition or business prospects, are based on our own information and information from other sources we believe to be reliable, you should not place undue reliance on these forward-looking statements, which apply only as of the date of this press release. The words “anticipate,” “believe,” “estimate,” “expect,” “intend,” “plan” and similar expressions, as they relate to us, are intended to identify these forward-looking statements in this press release. These forward-looking statements are necessarily estimates reflecting the best judgment of our senior management and our actual results of operations, financial condition or business prospects may differ materially from those expressed or implied by the forward-looking statements for reasons including, among others, risks associated with cyclicality and market conditions in the semiconductor or electronic industry; changes in our regulatory environment, including our ability to comply with new or stricter environmental regulations and to resolve environmental liabilities; demand for the outsourced semiconductor packaging, testing and electronic manufacturing services we offer and for such outsourced services generally; the highly competitive semiconductor or manufacturing industry we are involved in; our ability to introduce new technologies in order to remain competitive; international business activities; our business strategy; our future expansion plans and capital expenditures; the strained relationship between the Republic of China and the People’s Republic of China; general economic and political conditions; the recent shift in United States trade policies; possible disruptions in commercial activities caused by natural or human-induced disasters; fluctuations in foreign currency exchange rates; and other factors. For a discussion of these risks and other factors, please see the documents we file from time to time with the Securities and Exchange Commission, including the 2023 Annual Report on Form 20-F filed on April 3, 2024.
Supplemental Financial Information
(Unaudited)
Consolidated Operations
3Q24
2Q24
3Q23
EBITDA[2] (NT$ million)
28,621
26,127
27,822
ATM Operations
3Q24
2Q24
3Q23
Net Revenues (NT$ million)
85,790
77,813
83,684
Revenues by Application
Communication
50 %
49 %
52 %
Computing
18 %
19 %
19 %
Automotive, Consumer & Others
32 %
32 %
29 %
Revenues by Type
Bumping, Flip Chip, WLP & SiP
45 %
44 %
44 %
Wirebonding
29 %
31 %
32 %
Others
8 %
7 %
8 %
Testing
16 %
16 %
15 %
Material
2 %
2 %
1 %
Capacity & EBITDA
CapEx[3] (US$ million)
588
374
210
EBITDA[2] (NT$ million)
24,186
22,205
23,117
Number of Wirebonders
25,373
25,154
26,215
Number of Testers
5,966
5,676
5,510
EMS Operations
3Q24
2Q24
3Q23
Net Revenues (NT$ million)
75,384
62,907
70,970
Revenues by Application
Communication
34 %
33 %
34 %
Computing
9 %
11 %
8 %
Consumer
36 %
29 %
37 %
Industrial
11 %
13 %
12 %
Automotive
9 %
11 %
7 %
Others
1 %
3 %
2 %
Capacity
CapEx[3] (US$ million)
14
31
28
ASE Technology Holding Co., Ltd.
Summary of Consolidated Statement of Income Data
(In NT$ million, except per share data)
(Unaudited)
For the three months ended
For the nine months ended
Sep. 30
2024
Jun. 30 2024
(Retrospectively Adjusted)
Sep. 30
2023
Sep. 30
2024
Sep. 30
2023
Net revenues
Packaging
69,154
62,834
68,709
191,447
190,584
Testing
14,124
12,623
12,819
38,848
36,518
EMS
74,871
62,853
70,948
197,050
189,063
Others
1,956
1,928
1,691
5,801
5,168
Total net revenues
160,105
140,238
154,167
433,146
421,333
Cost of revenues
(133,673)
(117,184)
(129,251)
(362,839)
(355,337)
Gross profit
26,432
23,054
24,916
70,307
65,996
Operating expenses
Research and development
(7,439)
(7,106)
(6,759)
(21,154)
(18,549)
Selling, general and administrative
(7,517)
(6,939)
(6,752)
(21,191)
(18,934)
Total operating expenses
(14,956)
(14,045)
(13,511)
(42,345)
(37,483)
Operating income
11,476
9,009
11,405
27,962
28,513
Net non-operating income and expenses
Interest expense – net
(1,291)
(1,158)
(1,247)
(3,557)
(3,424)
Foreign exchange gain (loss) – net
1,890
(1,420)
(2,090)
(2,748)
(2,733)
Gain (Loss) on valuation of financial assets and liabilities – net
(943)
2,664
2,820
5,819
4,837
Gain on equity-method investments – net
485
459
656
1,001
970
Others – net
643
551
708
1,700
2,070
Total non-operating income and expenses
784
1,096
847
2,215
1,720
Income before tax
12,260
10,105
12,252
30,177
30,233
Income tax expense
(2,054)
(1,950)
(2,890)
(5,897)
(6,582)
Income from operations and before non-controlling interests
10,206
8,155
9,362
24,280
23,651
Non-controlling interests
(540)
(377)
(586)
(1,176)
(1,318)
Net income attributable to shareholders of the parent
9,666
7,778
8,776
23,104
22,333
Per share data:
Earnings per share
– Basic
NT$2.24
NT$1.80
NT$2.04
NT$5.35
NT$5.20
– Diluted
NT$2.17
NT$1.75
NT$2.00
NT$5.17
NT$5.05
Earnings per equivalent ADS
– Basic
US$0.138
US$0.112
US$0.130
US$0.335
US$0.338
– Diluted
US$0.134
US$0.109
US$0.127
US$0.324
US$0.328
Number of weighted average shares used in diluted EPS calculation ( in thousand shares)
4,391,465
4,383,325
4,347,752
4,385,913
4,346,129
FX (NTD/USD)
32.31
32.23
31.45
31.95
30.81
ASE Technology Holding Co., Ltd.
Summary of ATM Statement of Income Data
(In NT$ million)
(Unaudited)
For the three months ended
For the nine months ended
Sep. 30
2024
Jun. 30
2024
Sep. 30
2023
Sep. 30
2024
Sep. 30
2023
Net revenues:
Packaging
70,290
63,838
69,731
194,516
193,108
Testing
14,124
12,623
12,819
38,848
36,518
Direct Material
1,295
1,264
1,098
3,898
3,369
Others
81
88
36
250
116
Total net revenues
85,790
77,813
83,684
237,512
233,111
Cost of revenues
(65,989)
(60,612)
(65,094)
(184,952)
(183,611)
Gross profit
19,801
17,201
18,590
52,560
49,500
Operating expenses:
Research and development
(5,773)
(5,483)
(5,344)
(16,392)
(14,361)
Selling, general and administrative
(4,803)
(4,464)
(4,426)
(13,612)
(12,505)
Total operating expenses
(10,576)
(9,947)
(9,770)
(30,004)
(26,866)
Operating income
9,225
7,254
8,820
22,556
22,634
ASE Technology Holding Co., Ltd.
Summary of EMS Statement of Income Data
(In NT$ million)
(Unaudited)
For the three months ended
For the nine months ended
Sep. 30
2024
Jun. 30 2024
(Retrospectively Adjusted)
Sep. 30
2023
Sep. 30
2024
Sep. 30
2023
Net revenues
Total net revenues
75,384
62,907
70,970
197,656
189,127
Cost of revenues
(68,627)
(56,882)
(64,500)
(179,422)
(172,451)
Gross profit
6,757
6,025
6,470
18,234
16,676
Operating expenses
Research and development
(1,668)
(1,668)
(1,453)
(4,869)
(4,304)
Selling, general and administrative
(2,636)
(2,415)
(2,250)
(7,360)
(6,191)
Total operating expenses
(4,304)
(4,083)
(3,703)
(12,229)
(10,495)
Operating income
2,453
1,942
2,767
6,005
6,181
ASE Technology Holding Co., Ltd.
Summary of Consolidated Balance Sheet Data
(In NT$ million)
(Unaudited)
As of Sep. 30, 2024
As of Jun. 30, 2024
(Retrospectively Adjusted)
Current assets
Cash and cash equivalents
71,711
66,173
Financial assets – current
6,643
9,162
Trade receivables
114,061
102,361
Inventories
68,986
63,495
Others
17,364
29,144
Total current assets
278,765
270,335
Financial assets – non-current & Investments – equity -method
42,300
30,887
Property, plant and equipment
283,447
271,870
Right-of-use assets
11,499
11,292
Intangible assets
68,038
68,316
Others
30,510
30,291
Total assets
714,559
682,991
Current liabilities
Short-term borrowings[4]
56,726
51,065
Current portion of bonds payable & Current portion of long-term borrowings
23,531
18,655
Trade payables
82,595
70,906
Others
72,830
89,495
Total current liabilities
235,682
230,121
Bonds payable
17,073
21,976
Long-term borrowings
108,003
84,414
Other liabilities
22,748
23,053
Total liabilities
383,506
359,564
Equity attributable to shareholders of the parent
309,399
302,323
Non-controlling interests
21,654
21,104
Total liabilities & shareholders’ equity
714,559
682,991
Current ratio
1.18
1.17
Net debt to equity ratio
0.41
0.34
ASE Technology Holding Co., Ltd.
Summary of Consolidated Statement of Cash Flow Data
(In NT$ million)
(Unaudited)
For the three months ended
For the nine months ended
Sep. 30
2024
Jun. 30 2024
(Retrospectively Adjusted)
Sep. 30
2023
Sep. 30
2024
Sep. 30
2023
Cash Flows from Operating Activities
Profit before income tax
12,260
10,105
12,252
30,177
30,233
Depreciation & amortization
15,037
14,813
14,568
44,449
43,495
Other operating activities items
(5,235)
(8,132)
(5,940)
(19,083)
(6,134)
Net cash generated from operating activities
22,062
16,786
20,880
55,543
67,594
Cash Flows from Investing Activities
Net payments for property, plant
and equipment
(19,769)
(14,786)
(14,471)
(47,068)
(41,824)
Other investment activities items
(2,593)
304
(151)
(5,284)
(2,021)
Net cash used in investing activities
(22,362)
(14,482)
(14,622)
(52,352)
(43,845)
Cash Flows from Financing Activities
Total net proceeds from (repayment of) borrowings and bonds
30,909
(12,330)
28,640
18,439
13,624
Dividends paid
(22,460)
–
(37,841)
(22,460)
(37,841)
Other financing activities items
(51)
(1,093)
(38)
(1,177)
(977)
Net cash generated from (used in) financing activities
8,398
(13,423)
(9,239)
(5,198)
(25,194)
Foreign currency exchange effect
(2,560)
2,187
6,443
6,434
6,478
Net increase (decrease) in cash
and cash equivalents
5,538
(8,932)
3,462
4,427
5,033
Cash and cash equivalents at the beginning of period
66,173
75,105
59,351
67,284
58,040
Cash and cash equivalents at the
end of period
71,711
66,173
62,813
71,711
63,073
Cash and cash equivalents in the consolidated balance sheet
71,711
66,173
62,812
71,711
62,812
Cash and cash equivalents included in disposal groups held for sale
–
–
1
–
261
[1] All financial information presented in this press release is unaudited, consolidated and prepared in accordance with Taiwan-IFRS (International Financial Reporting Standards as endorsed for use in the R.O.C.). Such financial information is generated internally by us and has not been subjected to the same review and scrutiny, including internal auditing procedures and audit by our independent auditors, to which we subject our year-end audited consolidated financial statements, and may vary materially from the year-end audited consolidated financial information for the same period. Any evaluation of the financial information presented in this press release should also take into account our published year-end audited consolidated financial statements and the notes to those statements. In addition, the financial information presented is not necessarily indicative of our results of operations for any future period.
[2] EBITDA stands for net income or loss before interest, taxes, depreciation, amortization, impairment and investment gain or loss as well as other items.
[3] Capital expenditure excludes building construction costs.
[4] Short-term borrowings include short-term loans and bills payable.
Investor Relations Contact
ir@aseglobal.com
Tel: +886.2.6636.5678
https://www.aseglobal.com
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SOURCE ASE Technology Holding Co., Ltd.
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July 19, 2026By
BEIJING, July 19, 2026 /PRNewswire/ — A report from People’s Daily:
Yiwu, a city in east China’s Zhejiang province, is neither a coastal hub nor a border town. Yet it has built a trade network that reaches across the globe. Today, the city is home to more than 10,000 foreign-invested businesses and around 38,000 foreign merchants who live and work there.
People’s Daily reporters recently visited Yiwu to meet foreign entrepreneurs who have built successful businesses and settled down in the city. They shared stories of growing alongside Yiwu and becoming part of its remarkable transformation.
“I wouldn’t be where I am today without Yiwu,” said Senegalese businessman Sourakhata Tirera, a sentiment he often expresses. He first came to Yiwu in 2003 to source hardware products and was immediately impressed by the Yiwu International Trade Market. He noted, “If you can’t find something here, it’s probably because you haven’t searched carefully enough.”
In 2007, Tirera opened a foreign trade agency in Yiwu. In 2012, leveraging Yiwu’s comprehensive foreign trade pilot reform project, he established a wholly foreign-owned trading company. Today, his company ships 200 to 300 containers every month, dealing in more than 1,000 product categories and providing one-stop sourcing services for clients across Africa.
“Everyone is fascinated by Yiwu because it’s a place full of opportunities. Things that once seemed impossible can become reality here,” Tirera told People’s Daily after he finished receiving a trade delegation from Gabon.
Yemeni businessman Maged Mohammed Ali Al-Huraibi came to Yiwu alone in 2008 to pursue his entrepreneurial dream and founded a cosmetics trading company. In 2024, Yiwu launched a one-stop entrepreneurship service for foreign talent, offering factory leasing, policy consultation, and talent recruitment. Seizing the opportunity, Al-Huraibi invested in a cosmetics factory early that year, successfully transitioning from trader to manufacturer.
“Yiwu made my entrepreneurial dream come true. Now I want to bring cosmetics made in Yiwu to even more countries and regions around the world,” Al-Huraibi said.
Yiwu’s success is not simply about gathering products. More importantly, it comes from the city’s ability to create what the market needs — pioneering new approaches where none exist and forging new paths through continuous exploration.
Nepalese businessman Khadka Raj Kumar first came to Yiwu in 2002. In 2011, Yiwu pioneered a dual-track system for representative offices and foreign-invested business entities, addressing challenges related to residency, employment and business operations for foreign entrepreneurs. The following year, Kumar established his own trading company in Yiwu and later bought a home there.
In 2013, Yiwu established China’s first people’s mediation committee dedicated to foreign-related disputes, inviting foreign businesspeople to serve as mediation processes. Kumar has served in this role since 2017 and has participated in resolving more than 150 foreign-related disputes.
“In Yiwu, we’re not outsiders — we’re part of the local community,” he said.
As Yiwu’s sixth-generation marketplace, the Yiwu Global Digital Trade Center marks the city’s transition from traditional trade to a digital trade ecosystem.
Pakistani businessman Sheikh Jamil, who has operated in Yiwu for 21 years, has witnessed this transformation firsthand. According to him, more and more business is now conducted online. With the help of AI, he can quickly generate product solutions tailored to different market demands. “I can do business with the whole world without leaving my office,” he said.
Yemeni businessman Hasan Mohammed entered Yiwu’s cosmetics business as a distributor a decade ago. In 2018, he registered his own cosmetics brand in Saudi Arabia. With its products registered in Saudi Arabia, manufactured in China and sold worldwide, his business model delivers both high-quality products and a strong competitive edge.
“Yiwu is more like an ecosystem where ideas can quickly become reality. It offers not only opportunities, but also the potential for continuous growth,” said Mohammed.
For Brazilian businesswoman Ana Garcia, Yiwu’s transformation from “Made in Yiwu” to “Created in Yiwu” has been fueled by broad support in branding, digital innovation and global expansion. She founded a business consultancy that helps overseas clients identify market opportunities and sourcing needs, connect with qualified suppliers, and manage every step of the supply chain — from product selection and quality inspection to logistics and customs clearance.
Yiwu belongs not only to China, but also to the world. Together with entrepreneurs from around the globe, the city will continue turning the impossible into the possible, further burnishing its reputation as the “world’s supermarket” and ensuring that products created in Yiwu benefit people in more countries.
View original content:https://www.prnewswire.com/apac/news-releases/foreign-entrepreneurs-find-business-opportunities-and-a-home-in-yiwu-302829158.html
SOURCE People’s Daily
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