Financial Performance - Net sales increased by $125.4 million, or 6.7%, to $1,987.0 million for the three months ended September 30, 2025, compared to $1,861.6 million for the same period in 2024, driven by growth in computing and communications end markets [107]. - Gross margin for the three months ended September 30, 2025, decreased to 14.3% from 14.6% in the same period of 2024, primarily due to increased overhead and employee compensation costs [108]. - Operating income margin remained consistent at 8.0% for both the three months ended September 30, 2025, and 2024 [109]. - The computing end market grew by 23% for the three months ended September 30, 2025, while the communications end market grew by 5%, driven by strong demand across all computing applications and premium tier smartphones [112]. - The communications end market decreased by 8% for the nine months ended September 30, 2025, primarily due to lower supported content in premium tier smartphones [113]. Cash Flow and Expenses - Net cash provided by operating activities was $451.1 million for the nine months ended September 30, 2025, down from $551.3 million in the same period of 2024, primarily due to changes in working capital and lower operating profits [110]. - Free cash flow for the nine months ended September 30, 2025, was $(13.2) million, a significant decrease from $105.8 million in 2024 [153]. - Cash flow used in investing activities increased by $52.8 million for the nine months ended September 30, 2025, compared to the same period in 2024, primarily due to higher net payments for short-term investments and property, plant, and equipment [150]. - Net cash provided by operating activities for the nine months ended September 30, 2025, was $451,126 thousand, a decrease of $100.1 million compared to $551,260 thousand in 2024 [149]. Capital Expenditures - Capital expenditures totaled $472.5 million for the nine months ended September 30, 2025, compared to $458.1 million for the same period in 2024, focusing on investments in advanced packaging and test equipment [109]. - Capital expenditures for the nine months ended September 30, 2025, amounted to $472.5 million, with expectations for total capital expenditures in 2025 to be approximately $950 million [146][147]. Debt and Interest - As of September 30, 2025, the company had total debt of $1,811.9 million, with $547.4 million payable within 12 months [137]. - Interest expense for the three months ended September 30, 2025, increased by 35.9% to $21,231 thousand compared to $15,622 thousand in 2024, primarily due to an increase in average outstanding debt [120][121]. - Total debt maturities as of September 30, 2025, amounted to $1.82 billion, with fixed rate debt averaging an interest rate of 6.1% [163]. - Variable rate debt includes $500 million with an average interest rate of 5.7% [163]. - The company has net debt borrowings in 2025 compared to net debt repayments in 2024, indicating a shift in financing activities [151]. Research and Development - Research and development expenses increased by 8.3% for the nine months ended September 30, 2025, compared to the same period in 2024, primarily due to development projects in new advanced and mainstream packaging technologies [118]. Foreign Currency and Investments - Approximately 90% of net sales for the nine months ended September 30, 2025, were denominated in U.S. dollars, with the remaining in Japanese yen [158]. - A 10% appreciation of foreign currencies against the U.S. dollar would have resulted in approximately $121 million lower operating income for the nine months ended September 30, 2025 [158]. - The company reported a gain of $5.4 million from foreign exchange rate translation for the nine months ended September 30, 2025, compared to a loss of $6.0 million for the same period in 2024 [160]. - The company employs natural hedging techniques and forward contracts to mitigate foreign currency risk associated with its operations [156]. Other Financial Metrics - Income tax expense for the three months ended September 30, 2025, was $19,185 thousand, a decrease of 30.8% from $27,715 thousand in 2024, mainly due to an increase in income before income taxes [124]. - Total other expense, net for the three months ended September 30, 2025, was $4,530 thousand, a decrease of 39.5% from $7,492 thousand in 2024 [120]. - The company anticipates continuing to pay quarterly cash dividends, having paid a total of $61.3 million in dividends during the nine months ended September 30, 2025 [145]. - The company was awarded up to $407 million in direct funding by the U.S. Department of Commerce under the CHIPS Act to support the Arizona Facility, contingent on achieving certain milestones [101]. - The Vietnam Facility began delivering advanced packages in Q3 2024, contributing to the company's geographic footprint and supply chain diversification [101].

Core Insights - Albert Anthony is a Croatian-American business author and analyst contributing to Seeking Alpha and other financial platforms, with a focus on Real Estate Investment Trusts (REITs) [1] - He has a background in business information systems and experience at Charles Schwab, which supports his analytical capabilities in equities research [1] - Albert Anthony operates a boutique equities research firm, Albert Anthony & Company, remotely from Texas, and is also active on YouTube discussing REITs [1] Background and Experience - The author has over 1,000 followers on Seeking Alpha and is launching a book on REITs in late 2025 [1] - He has participated in numerous business and innovation conferences in both the US and Croatia, enhancing his industry knowledge [1] - Albert Anthony holds a B.A. in Political Science and is certified in Microsoft Fundamentals and CompTIA Project+, currently pursuing a Business Intelligence & Data Analyst certification [1] Research Focus - The firm focuses on publicly available data and does not engage with non-publicly traded companies or small-cap stocks [1] - The aim is to streamline the equities research process using business information tools to provide actionable insights [1] - The author emphasizes the importance of due diligence for readers, as all investments carry risk [1]

Core Insights - Albert Anthony is a Croatian-American business author and analyst contributing to Seeking Alpha and other financial platforms, with a focus on Real Estate Investment Trusts (REITs) [1] - He has a background in business information systems and experience at Charles Schwab, which supports his analytical capabilities in equities research [1] - Albert Anthony & Company is a Texas-registered boutique equities research firm managed remotely, emphasizing actionable insights for investors [1] Background and Experience - The author has over 1,000 followers on Seeking Alpha and is launching a book on REITs in late 2025 [1] - He has participated in numerous business and innovation conferences in the EU and hosted a program for Online Live TV Croatia [1] - Albert Anthony holds a B.A. in Political Science and is certified in Microsoft Fundamentals and CompTIA Project+, currently pursuing a Business Intelligence & Data Analyst certification [1] Research Focus - The firm does not cover non-publicly traded companies, small-cap stocks, or startups, ensuring a focus on publicly available data [1] - The author is an active investor in REIT stocks, sharing insights through various media platforms, including a YouTube channel [1]

Core Insights - Amkor Technology Inc reported strong earnings for Q3, with earnings per share (EPS) of 51 cents, surpassing the analyst consensus estimate of 42 cents [1] - The company achieved quarterly sales of $1.987 billion, exceeding the analyst consensus estimate of $1.932 billion [1] - For Q4, Amkor expects GAAP EPS to be between $0.38 and $0.48, with sales projected between $1.775 billion and $1.875 billion [1] Financial Performance - Q3 revenue reached $1.99 billion, marking a 31% sequential increase, driven by demand for Advanced packaging [2] - The company set a new revenue record in its Communications and Computing end markets [2] Strategic Developments - Amkor broke ground on a new Advanced packaging and test campus in Arizona, emphasizing its commitment to U.S. semiconductor manufacturing [2] Market Reaction - Following the earnings announcement, Amkor Tech shares fell by 3.4% to $32.06 [2] Analyst Ratings and Price Targets - Consensus rating for Amkor is "Buy" with a highest price target of $37.00 and a lowest price target of $20.00, leading to a consensus price target of $29.00 [4] - Needham analyst Charles Shi maintained a "Buy" rating and raised the price target from $32 to $37 [6] - JP Morgan analyst Peter Peng maintained an "Overweight" rating and increased the price target from $27 to $32 [6]

Core Insights - Amkor Technology Inc reported strong earnings for Q3, with earnings per share (EPS) of 51 cents, surpassing the analyst consensus estimate of 42 cents [1] - The company achieved quarterly sales of $1.987 billion, exceeding the analyst consensus estimate of $1.932 billion [1] - For Q4, Amkor expects GAAP EPS to be between $0.38 and $0.48, with sales projected between $1.775 billion and $1.875 billion [1] Financial Performance - Q3 revenue reached $1.99 billion, marking a 31% sequential increase, driven by demand for Advanced packaging [2] - The company set a new revenue record in its Communications and Computing end markets [2] Strategic Developments - Amkor broke ground on a new Advanced packaging and test campus in Arizona, emphasizing its commitment to U.S. semiconductor manufacturing [2] Stock Performance - Following the earnings announcement, Amkor Tech shares fell by 3.4% to $32.06 [2] Analyst Ratings and Price Targets - Consensus rating for Amkor Tech is "Buy" with a highest price target of $37.00 and a lowest price target of $20.00, resulting in a consensus price target of $29.00 [4] - Needham analyst Charles Shi maintained a "Buy" rating and raised the price target from $32 to $37 [6] - JP Morgan analyst Peter Peng maintained an "Overweight" rating and increased the price target from $27 to $32 [6]

Core Insights - U.S. stock futures showed mixed results, with Dow futures increasing approximately 1% on Tuesday [1] Company Performance - Rambus Inc. reported quarterly earnings of 62 cents per share, which fell short of the analyst consensus estimate of 63 cents per share, leading to a sharp decline in its stock price [1] - Despite missing earnings expectations, Rambus achieved quarterly sales of $179.500 million, surpassing the analyst consensus estimate of $175.429 million [1] - Rambus shares dropped 14.3% to $97.29 in pre-market trading following the earnings announcement [2] Other Notable Stock Movements - Galaxy Digital Inc. experienced an 8.8% decline to $37.00 after announcing a private offering of $1 billion in exchangeable senior notes [4] - F5 Inc. fell 7.8% to $267.53 due to projections of first-quarter EPS and sales below estimates [4] - Standard Lithium Ltd. decreased by 7.7% to $3.62 after a prior decline of around 7% on Monday [4] - Strive Asset Management, LLC saw a 6.7% drop to $1.53 in pre-market trading [4] - Amkor Technology, Inc. declined 6.6% to $31.00 following its third-quarter earnings report [4] - Custom Truck One Source, Inc. dipped 6.5% to $6.30 after reporting third-quarter financial results below estimates [4] - Alexandria Real Estate Equities, Inc. fell 5.6% to $73.50 due to weak quarterly earnings [4] - Olin Corporation declined 4.7% to $22.89 following disappointing quarterly sales [4]

Core Insights - Amkor Technology reported revenue of $1.99 billion for the quarter ended September 2025, reflecting a year-over-year increase of 6.7% and a surprise of +3.02% over the Zacks Consensus Estimate of $1.93 billion [1] - The company's EPS for the quarter was $0.51, up from $0.49 in the same quarter last year, with an EPS surprise of +21.43% compared to the consensus estimate of $0.42 [1] Financial Performance - Amkor Technology's stock has returned +12.9% over the past month, outperforming the Zacks S&P 500 composite, which saw a +2.5% change [3] - The company currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3] End Market Distribution - Communications (smartphones, tablets) accounted for 51% of revenue, exceeding the two-analyst average estimate of 49% [4] - Consumer markets (AR & gaming, connected home, home electronics, wearables) represented 14%, slightly below the estimated 15.9% [4] - Automotive, industrial, and other sectors (ADAS, electrification, infotainment, safety) contributed 16%, close to the estimated 16.6% [4] - Computing (data center, infrastructure, PC/laptop, storage) made up 19%, surpassing the estimated 18.5% [4]

Core Viewpoint - Amkor Technology reported quarterly earnings of $0.51 per share, exceeding the Zacks Consensus Estimate of $0.42 per share, and showing an increase from $0.49 per share a year ago, indicating a positive earnings surprise of +21.43% [1][2] Financial Performance - The company achieved revenues of $1.99 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 3.02% and up from $1.86 billion year-over-year [2] - Over the last four quarters, Amkor Technology has exceeded consensus EPS estimates three times and has also topped consensus revenue estimates three times [2] Stock Performance - Amkor Technology shares have increased approximately 27.6% since the beginning of the year, outperforming the S&P 500's gain of 15.5% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $0.35 on revenues of $1.77 billion, while for the current fiscal year, the estimate is $1.10 on revenues of $6.53 billion [7] - The outlook for the Electronics - Semiconductors industry, where Amkor operates, is favorable, ranking in the top 28% of over 250 Zacks industries, suggesting potential for outperformance [8]

Core Insights - The company reported better-than-expected results, beating both top and bottom lines [1] - Advanced packaging revenue reached a record high, contributing to a significant 31% sequential growth [1] Financial Performance - The company achieved record revenue in advanced packaging, indicating strong demand and operational efficiency [1] - Sequential growth of 31% highlights robust performance compared to previous quarters [1]

Financial Data and Key Metrics Changes - Amkor reported revenue of $1.99 billion and EPS of $0.51 for Q3 2025, exceeding guidance, with a 31% sequential increase and 7% year-on-year growth [6][12] - Gross profit was $284 million, with a gross margin of 14.3%, up 230 basis points sequentially [12] - Net income more than doubled to $127 million, resulting in an EBITDA of $340 million and an EBITDA margin of 17.1% [13][12] Business Line Data and Key Metrics Changes - Communications revenue increased 67% sequentially and 5% year-on-year, driven by iOS product ramp and 17% growth in Android [6][7] - Computing revenue rose 12% sequentially and 23% year-on-year, with expectations of continued growth despite a modest sequential decline in Q4 [8] - Automotive and industrial revenue grew 5% sequentially and 9% year-on-year, with a stable outlook for Q4 [8] - Consumer revenue increased 5% sequentially but decreased 5% year-on-year, with expectations of further decline in Q4 [9] Market Data and Key Metrics Changes - The communications segment is expected to see a year-on-year increase of over 20% in Q4, while computing remains robust due to AI and high-performance computing investments [7][8] - Automotive market growth is driven by advanced products for ADAS applications, with a forecasted 20% year-on-year growth in Q4 [8] Company Strategy and Development Direction - Amkor is focused on three strategic pillars: investing in technology leadership, building supply chain resilience, and deepening partnerships with lead customers [10] - A new advanced packaging and test campus in Arizona is projected to require a total investment of $7 billion, creating up to 3,000 jobs and enhancing U.S. semiconductor manufacturing capabilities [10][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in future demand for advanced packaging driven by AI expansion into edge devices [8] - The company anticipates a modest sequential decline in Q4 but expects continued year-on-year growth across various segments [8][12] Other Important Information - The company plans to host an Investor Day in mid-2026 to share long-term financial targets and strategy insights [15] - Amkor's balance sheet is positioned for upcoming investment cycles, with total liquidity of $3.2 billion and a debt-to-EBITDA ratio of 1.7x [16] Q&A Session Summary Question: Gross margin guidance for Q4 - Management explained that higher material content and manufacturing costs are impacting gross margin guidance, with a sequential drop expected [20][21] Question: Communications segment dynamics - Management noted slight tapering in iOS but continued strength in Android, guiding down slightly for Q4 [22][23] Question: Compute opportunities and AI pipeline - Management highlighted strong demand in computing, with expectations for continued growth driven by AI and networking [25][26] Question: System-in-package pipeline outlook - Management expressed optimism about the communication side while acknowledging cyclicality in consumer products [28][30] Question: Manufacturing cost pressures - Management indicated that higher manufacturing costs are due to advanced technologies and overhead, with expectations for improvement as scale is achieved [32][33] Question: Arizona investment increase rationale - Management clarified that the increased investment is strictly for capacity expansion, not due to rising construction costs [58][59] Question: Overall cyclical environment for OSAT business - Management noted pockets of supply tightness in advanced packaging but does not foresee significant issues in the near term [44][45] Question: Smartphone business demand - Management confirmed a strong position in both Android and iOS markets, with uncertainty about future demand dynamics [48][49] Question: Co-SL technology updates - Management discussed ongoing evaluations and opportunities in high-density fan-out technology, indicating a strong pipeline [52][53] Question: Seasonality impact from new product ramps - Management expects less pronounced seasonality in the future due to growth in computing and other markets [55][56]