Summary of Key Points from the Semiconductor Industry Research Industry Overview - The research focuses on the global semiconductor industry, particularly the front-end Wafer Fab Equipment (WFE) and back-end advanced packaging supply chains, highlighting the challenges posed by globalization and geopolitics [2][6][32]. Core Companies Involved - Major players in the semiconductor industry include TSMC, UMC, Samsung Electronics, Intel, ASML, Applied Materials (AMAT), Lam Research, Tokyo Electron (TEL), KLA, ASE, Amkor, JCET, Disco, Besi, ASMPT, K&S, Semes, Hanmi, Hanwha, EVG, SUSS, Teradyne, SCREEN, Canon, Nikon, and Lasertec [19][49]. Key Trends and Insights 1. **Advanced Packaging Demand**: The demand for advanced packaging technologies such as 2.5D/3D packaging, Hybrid Bonding, and CoWoS is surging due to the rise of AI and high-performance computing (HPC) applications [2][8][10]. 2. **Moore's Law and Packaging**: As Moore's Law slows, advanced packaging has become the primary pathway for sustaining semiconductor performance gains, with technologies like CoWoS and SoIC leading the way [3][38][49]. 3. **Geopolitical Challenges**: Geopolitical pressures and government policies, such as the CHIPS Act, are reshaping the supply chain dynamics, pushing companies to diversify their manufacturing and service locations [7][44][60]. 4. **Localization Trends**: There is a significant trend towards localization in the semiconductor supply chain, with companies establishing production bases in North America, Europe, Japan, and Southeast Asia to mitigate risks [7][32][60]. 5. **Material Innovation**: The shift from equipment-centric to materials-centric innovation is becoming critical, with new materials like UV resins, advanced thermal interface materials, and low-Dk dielectrics emerging as strategic differentiators [15][47][49]. Market Dynamics - The WFE market is projected to grow from approximately USD 13.3 billion in 2024 to USD 16.5 billion by 2029, with a significant portion of revenue coming from equipment shipments [49][72]. - The back-end packaging market is also expanding, with the TCB equipment market estimated at around USD 936 million and HB equipment projected at USD 397 million by 2030 [53]. Challenges and Opportunities 1. **Cost and Pricing Pressures**: Equipment suppliers face challenges related to cost, pricing, and sustainability, which are becoming critical factors in maintaining competitiveness [8][29][49]. 2. **Technological Integration**: The ability to integrate differentiated materials and technologies will increasingly define competitiveness in the semiconductor industry [39][49]. 3. **Sustainability Goals**: Companies are embedding sustainability into their operational metrics, with ESG (Environmental, Social, and Governance) goals becoming essential for process efficiency and cost competitiveness [45][49][69]. Conclusion - The semiconductor industry is undergoing significant transformations driven by technological advancements, geopolitical factors, and evolving market demands. Companies that can effectively navigate these challenges while innovating in materials and processes are likely to secure a competitive edge in the future [49][72].

Group 1 - Amkor Technology, Inc. (AMKR) is experiencing significant activity in the options market, particularly with the Oct 17, 2025 $34.59 Put showing high implied volatility, indicating potential for a major price movement [1] - Implied volatility reflects market expectations for future stock movement, suggesting that investors anticipate a significant event that could lead to a rally or sell-off [2] - Analysts have a mixed view on Amkor Technology, currently holding a Zacks Rank 3 (Hold) in the Electronics - Semiconductors industry, which is in the bottom 30% of the Zacks Industry Rank [3] Group 2 - The high implied volatility for Amkor Technology may indicate a developing trading opportunity, as options traders often seek to sell premium on such options to capture decay [4]

Investment Rating - The report assigns a strong buy rating for Amkor, anticipating a performance that will exceed the benchmark index by over 20% in the next six months [50]. Core Insights - Amkor's Q2 2025 performance significantly surpassed expectations, with revenue reaching $1.51 billion, a 14% quarter-over-quarter increase, and a net profit of $54 million, reflecting a 157% increase from the previous quarter [2][8]. - The company expects Q3 2025 revenue to be between $1.875 billion and $1.975 billion, indicating a projected 27% quarter-over-quarter growth, driven by strong seasonal demand in the communications sector and growth in computing markets [4][17]. Summary by Sections Overall Performance - In Q2 2025, Amkor achieved revenue of $1.51 billion, with a gross profit of $182 million and a gross margin of 12.0%. The net profit was $54 million, which included a $32 million net gain related to the acquisition of Nanium, contributing $0.07 to earnings per share [1][2][8]. Performance by End Market 1. **Communications Market**: Revenue grew by 15% quarter-over-quarter, primarily driven by the iOS ecosystem. The company anticipates strong performance in Q3 due to the launch of next-generation flagship smartphones [3][10]. 2. **Automotive and Industrial Market**: Revenue increased by 11% quarter-over-quarter, marking a turning point after eight consecutive quarters of year-over-year decline, with a 6% year-over-year growth in Q2 [3][11]. 3. **Consumer Electronics Market**: Revenue rose by 16% quarter-over-quarter, supported by increased market share in wearable devices and a recovery in demand across traditional product categories [3][12]. 4. **Computing Market**: Revenue increased by 16% from Q1 2025, driven by new personal computer launches and growth in memory business, with expectations for continued growth in Q3 [3][14]. Q3 2025 Guidance - Amkor projects Q3 2025 revenue between $1.875 billion and $1.975 billion, with a gross margin expected to range from 13% to 14.5%. The net profit is anticipated to be between $85 million and $120 million, reflecting a 90% quarter-over-quarter increase [4][17].

Group 1: Industry Overview - The semiconductor industry is experiencing a moderate recovery, with Q1 2025 global sales reaching $167.7 billion, a year-on-year increase of 18.8% [66] - In May 2025, global semiconductor sales were $59 billion, showing a year-on-year growth of 19.8% [66] - The recovery is driven by strong demand in the Americas and Asia-Pacific regions, particularly in high-end computing and storage due to AI [66] Group 2: Company Performance - Texas Instruments reported Q2 revenue of $4.45 billion, a 9% quarter-on-quarter increase and a 16% year-on-year increase, driven by a broad recovery in the industrial market [6] - STMicroelectronics experienced a 14.4% year-on-year decline in Q2 revenue to $2.76 billion, resulting in a net loss of $133 million due to restructuring costs [7] - NXP's Q2 revenue was $2.93 billion, a 6% year-on-year decline but a 3% quarter-on-quarter increase, with all key end markets performing better than expected [9] Group 3: Specific Company Highlights - Qualcomm's Q3 revenue increased by 10% year-on-year to $10.365 billion, with automotive chip revenue growing by 21% [11] - MediaTek's Q2 revenue was NT$150.37 billion, a 1.9% quarter-on-quarter decline but a 4.3% year-on-year increase, driven by demand for AI and automotive chips [13] - Samsung's Q2 operating profit fell by 55.2% year-on-year to 4.7 trillion KRW, marking a six-quarter low due to AI chip sales issues [14][15] Group 4: Market Trends - The industrial market is showing signs of recovery, while the automotive market is lagging behind by about a year [6] - AI-related demand continues to be strong, particularly in high-performance computing and storage sectors [66] - The overall semiconductor market is expected to see varied recovery rates across different sectors, with traditional markets like industrial applications rebounding first [66] Group 5: Financial Performance of Key Players - SK Hynix reported record high Q2 revenue of 22.232 trillion KRW, driven by strong demand for AI-related memory products [16] - Micron Technology's Q3 revenue reached $9.3 billion, a 37% year-on-year increase, attributed to record DRAM revenue [19] - TSMC's Q2 revenue was approximately NT$933.8 billion, with a net profit increase of 60.7% year-on-year [43]

Core Viewpoint - The article discusses how the U.S.-China trade tensions, particularly the tariffs imposed by former President Trump, have created opportunities for Vietnam to establish itself in the global semiconductor industry, with a focus on local production and reducing reliance on China [3][6]. Group 1: Market Dynamics - The demand for semiconductor components in Vietnam has surged due to preemptive orders from clients before tariffs took effect, with companies like Fab-9 reporting a 20% increase in orders following Trump's tariff threats [3]. - Vietnam's semiconductor strategy aims to establish a domestic manufacturing plant, 100 chip design companies, and 10 packaging factories by 2030 [3]. Group 2: Investment and Infrastructure - VSAP Lab is investing $72 million to build an advanced semiconductor packaging laboratory in Da Nang, with a designed annual output of 10 million units [4]. - The Vietnamese government is promoting high-tech manufacturing, with state-owned Viettel pursuing similar technological advancements [5]. Group 3: Challenges and Comparisons - Despite the growth potential, Vietnam faces challenges similar to Malaysia, which has not developed a globally influential semiconductor company despite having a robust ecosystem for over 50 years [9]. - The article highlights the need for Vietnam to reform its incentive mechanisms to support local startups and attract technical talent to compete globally [9]. Group 4: Regional Developments - Other provinces in Vietnam are becoming key nodes in the semiconductor manufacturing ambitions, with companies like Vietnam Wafer Company expanding facilities to produce ultra-pure quartz for wafers [10]. - FPT and CT Semiconductor are constructing Vietnam's first wholly-owned assembly, testing, and packaging factory [10].

Core Viewpoint - Amkor Technology reported strong Q2 2025 results with significant revenue and earnings beats, driven by robust demand in advanced packaging for high-performance and AI applications, despite a contraction in gross margin due to industry cost pressures [1][5][14]. Financial Performance - Q2 2025 GAAP revenue reached $1.51 billion, exceeding estimates by $88 million and reflecting a 3.4% increase year-over-year [2][5]. - GAAP EPS was $0.22, surpassing estimates by $0.06 but down 18.5% from $0.27 in Q2 2024 [2][6]. - Gross margin decreased to 12.0%, down from 14.5% a year ago, indicating ongoing cost challenges [2][6]. - Operating income rose to $92 million, a 12.2% increase from $82 million in the previous year [2][7]. - EBITDA for the quarter was $259 million, up 4.9% from $247 million in Q2 2024 [2]. Business Focus and Strategy - Amkor specializes in outsourced semiconductor assembly and testing services, focusing on advanced packaging technologies that enhance chip performance and energy efficiency [3][4]. - The company is expanding its advanced packaging capabilities and developing new facilities globally, particularly in AI, automotive, and high-performance computing sectors [4][10][11]. - Significant investments in R&D totaled $42 million in Q2 2025, up from $77.74 million in the same period last year [10]. Market Dynamics - Communications remained the largest market segment at 40% of sales, though it declined from 48% a year ago, while computing and consumer segments showed growth [5]. - Advanced product sales reached $1,228 million, marking a 15% increase from the prior quarter and a 4% increase year-over-year, driven by demand for AI and automotive applications [8]. Future Outlook - Management provided guidance for Q3 2025, expecting net sales between $1.88 billion and $1.98 billion, indicating a potential 27% sequential growth [14]. - Gross margin is anticipated to rebound to a range of 13.0% to 14.5%, with net income projected between $85 million and $120 million [14]. - The company remains cautious about macroeconomic and trade risks but expects some margin recovery as utilization improves [15].

Financial Data and Key Metrics Changes - The company reported second quarter revenue of $1,510,000,000, representing a 14% sequential increase and a 3% year-on-year growth [5][18] - Gross profit for the second quarter was $182,000,000, with a gross margin of 12%, impacted by preparation costs and foreign currency headwinds [18][20] - Operating income was $92,000,000, with an operating income margin of 6.1%, including a non-routine benefit of $32,000,000 from a contingent payment [20] - Net income for the quarter was $54,000,000, resulting in an EPS of $0.22 [20] - The company ended the quarter with total liquidity of $3,100,000,000 and a debt to EBITDA ratio of 1.5 times [22] Business Line Data and Key Metrics Changes - Communications revenue grew 15% sequentially, driven by the iOS ecosystem, while Android revenue remained flat sequentially but increased 7% year-on-year [6][10] - Computing revenue increased 16% sequentially, supported by new product ramps in Personal Computing and growth in Memory [7][10] - Automotive and industrial markets saw an 11% sequential growth, with a notable 6% year-on-year growth after eight consecutive quarters of declines [9][10] - Consumer revenue increased 16% sequentially, attributed to market share gains in wearables and improved demand in traditional products [10] Market Data and Key Metrics Changes - The company expects strong third quarter growth driven by the launch of next-generation premium tier smartphones and continued demand in computing [7][24] - The automotive market is showing signs of stabilization, with low single-digit growth anticipated in the second half of the year [84] - The computing segment is projected to continue its growth trajectory, with an 18% year-on-year increase reported for 2025 [12][52] Company Strategy and Development Direction - The company is focused on delivering differentiated technology solutions and expanding its global footprint to support customer supply chains [11][16] - Strategic investments are being made in advanced packaging technologies and test solutions to enhance competitive advantages [13][14] - The company is rationalizing its manufacturing footprint, particularly in Japan, to align capacity with market conditions [23][72] Management's Comments on Operating Environment and Future Outlook - Management noted a dynamic operating environment, with ongoing monitoring of export controls and trade policies [6][9] - The company anticipates robust seasonal growth in communications and computing markets for the third quarter [24][90] - Management expressed optimism about long-term growth potential despite current challenges in the automotive sector [71][84] Other Important Information - The company replaced its $600,000,000 credit agreement with a new $1,000,000,000 revolver and executed a $500,000,000 term loan to strengthen its balance sheet [21][22] - The company is planning to break ground on a new U.S. manufacturing facility in the second half of 2025 [69] Q&A Session Summary Question: Can you provide more color on short-term gross margin and long-term expectations? - Management indicated that short-term gross margin is impacted by unfavorable product mix and transition in manufacturing, with long-term improvements expected as optimization occurs [30][35] Question: What is the expected ramp for the 2.5D program in volume terms this year? - Management noted that the 2.5D program is crucial and is expected to ramp up as trade restrictions ease, with significant opportunities anticipated [40][41] Question: Are there any signs of demand pull-ins from customers? - Management observed some last-minute spot orders indicating inventory levels reaching equilibrium, but no active pull-ins were noted [47][48] Question: How is the company addressing material cost increases? - Management is proactively working with suppliers to secure capacity needs and manage pricing arrangements due to potential constraints in high-end substrates [66] Question: What is the outlook for the automotive market? - Management sees a mixed outlook, with advanced packaging applications in high demand, while traditional segments are stabilizing with low single-digit growth expected [71][84]

Financial Data and Key Metrics Changes - The company reported Q2 revenue of $1,510 million, a sequential increase of 14% and a year-on-year growth of 3% [5][17] - Gross profit for Q2 was $182 million, with a gross margin of 12%, impacted by preparation costs and foreign currency headwinds [17][20] - Operating income was $92 million, with an operating income margin of 6.1%, including a non-routine benefit of $32 million from a contingent payment [20] - Net income for Q2 was $54 million, resulting in an EPS of $0.22, which included $16 million attributable to the contingent payment [20] - The company ended the quarter with cash and short-term investments of $2,000 million and total liquidity of $3,100 million [22] Business Line Data and Key Metrics Changes - Communications revenue grew 15% sequentially, driven by the iOS ecosystem, while Android revenue remained flat sequentially but increased 7% year-on-year [6] - Computing revenue increased 16% from Q1, driven by new product ramps in Personal Computing and growth in Memory [7] - Automotive and industrial markets saw an 11% sequential growth, driven by new product launches for ADAS applications [8] - Consumer revenue increased 16% sequentially, attributed to market share gains in wearables and demand improvement in traditional products [10] Market Data and Key Metrics Changes - The computing market experienced an 18% year-on-year growth, marking it as the fastest-growing end market for the company [12][52] - The automotive market is expected to see low single-digit growth in the second half of the year, with a focus on advanced packaging technologies [72][84] Company Strategy and Development Direction - The company is focused on delivering differentiating technology solutions and expanding its global footprint to support customer supply chains [11] - Strategic investments are being made in advanced packaging technologies and test solutions to enhance competitive advantages [14][68] - The company plans to rationalize its manufacturing footprint, particularly in Japan, to align capacity with market conditions [23][72] Management's Comments on Operating Environment and Future Outlook - Management noted a dynamic operating environment with ongoing monitoring of export controls and trade policies [5][6] - The company expects strong Q3 revenue growth driven by new product launches in the premium smartphone segment and continued demand for AI applications [7][24] - Management expressed optimism about the automotive market's recovery, particularly in advanced packaging applications [72][84] Other Important Information - The company replaced its $600 million credit agreement with a new $1 billion revolver and executed a $500 million term loan to strengthen its balance sheet [21] - CapEx forecast for 2025 remains unchanged at $850 million, focused on expanding capacity for leading-edge technology [25][69] Q&A Session Summary Question: Can you provide more color on the short-term gross margin and long-term expectations? - Management indicated that short-term gross margin is impacted by unfavorable product mix and transition in manufacturing, with long-term improvements expected as optimization occurs [28][35] Question: What is the expected ramp for the 2.5D program in volume terms this year? - Management noted that the 2.5D program is crucial and is expected to ramp up as trade restrictions ease, with significant opportunities anticipated [40][42] Question: Are there any signs of demand pull-ins from customers? - Management observed some last-minute spot orders indicating inventory levels are stabilizing, but no active pull-ins were noted [46][47] Question: How does the company view the automotive market's long-term prospects? - Management maintains a positive long-term view on the automotive market, particularly in advanced packaging, despite current challenges in Japan [71][72] Question: What is the status of the tester fleet upgrades? - Management confirmed that upgrades are ongoing, involving both existing platforms and new testers, to meet increased requirements [85][86]

Financial Performance - Q2 2025 revenue reached $1.51 billion, a 14% sequential increase[11] - Q2 2025 Earnings Per Share (EPS) was $0.22[11] - Q2 2025 Gross Profit was $182 million, representing a gross margin of 12%[28] - Q2 2025 Operating Income was $92 million, with an operating margin of 6.1%[24] - Q2 2025 EBITDA was $259 million, resulting in an EBITDA margin of 17.1%[38] - The company's cash and short-term investments totaled $2.0 billion[38] - The company's liquidity was $3.1 billion[38] - Total debt stood at $1.6 billion, with a debt to EBITDA ratio of 1.5x[38] Future Outlook - Q3 2025 revenue is projected to be between $1.875 billion and $1.975 billion[41, 46] - Q3 2025 gross margin is expected to be in the range of 13.0% to 14.5%[41] - 2025 Capital Expenditures (CapEx) are estimated at $850 million[41] End Market Dynamics - All end markets achieved double-digit sequential growth in Q2 2025[11]

[Financial Performance and Outlook](index=1&type=section&id=Financial%20Performance%20and%20Outlook) This section provides an overview of Amkor's financial results, liquidity, and future projections [Second Quarter 2025 Financial Highlights](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Highlights) Amkor reported Q2 2025 revenue of **$1.51 billion**, a **14% sequential increase**, exceeding guidance with double-digit growth across all end markets, and net income of **$54 million**, or **$0.22 per diluted share**, including a **$32 million** one-time net benefit to operating income - CEO Giel Rutten highlighted that Q2 revenue of **$1.51 billion** was up **14% sequentially** and above guidance, with double-digit growth across all end markets, strengthening the company's strategic presence in AI and HPC[2](index=2&type=chunk) Quarterly Financial Results Comparison (in millions, except per share data) | | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net sales | $1,511 | $1,322 | $1,461 | | Gross margin | 12.0% | 11.9% | 14.5% | | Operating income | $92 | $32 | $82 | | Net income attributable to Amkor | $54 | $21 | $67 | | Earnings per diluted share | $0.22 | $0.09 | $0.27 | | EBITDA | $259 | $197 | $247 | - Q2 2025 results included a **$32 million** net benefit to operating income and EBITDA from a contingency payment related to the Nanium acquisition, positively impacting net income by **$16 million** and earnings per diluted share by **$0.07**[3](index=3&type=chunk) [Financial Condition and Dividends](index=1&type=section&id=Financial%20Condition%20and%20Dividends) As of June 30, 2025, Amkor maintained a strong liquidity position with **$2.0 billion** in cash and short-term investments against **$1.6 billion** in total debt, planning a significant debt repayment of **$223 million** in July 2025 and continuing shareholder returns with a quarterly dividend of **$0.08269 per share** - At the end of Q2 2025, total cash and short-term investments stood at **$2.0 billion**, with total debt at **$1.6 billion**[4](index=4&type=chunk) - The company will repay **$223 million** in debt in July 2025[4](index=4&type=chunk) - A quarterly dividend of **$0.08269 per share** was paid on June 25, 2025, with future dividends subject to Board approval[4](index=4&type=chunk) [Third Quarter 2025 Business Outlook](index=1&type=section&id=Third%20Quarter%202025%20Business%20Outlook) For Q3 2025, Amkor projects strong sequential growth with net sales expected between **$1.875 billion** and **$1.975 billion**, anticipating a gross margin of **13.0% to 14.5%** and net income in the range of **$85 million to $120 million**, or **$0.34 to $0.48 per diluted share**, with full-year 2025 capital expenditures forecasted at approximately **$850 million** Third Quarter 2025 Guidance | Metric | Guidance Range | | :--- | :--- | | Net sales | $1.875 billion to $1.975 billion | | Gross margin | 13.0% to 14.5% | | Net income | $85 million to $120 million | | Diluted EPS | $0.34 to $0.48 | - Full year 2025 capital expenditures are projected to be approximately **$850 million**[6](index=6&type=chunk) [Operational Performance Analysis](index=3&type=section&id=Operational%20Performance%20Analysis) In Q2 2025, Advanced products drove sales with **$1.228 billion**, while Mainstream products contributed **$283 million**, with the Communications end market remaining the largest segment at **40% of sales**, though this represents a decrease from **48%** in the prior year, and the top ten customers accounted for **72%** of net sales, indicating continued customer concentration, while gross margin stood at **12.0%**, down from **14.5%** YoY, influenced by changes in the cost structure Net Sales by Product Type (in millions) | Product Type | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Advanced products | $1,228 | $1,064 | $1,180 | | Mainstream products | $283 | $258 | $281 | | **Total net sales** | **$1,511** | **$1,322** | **$1,461** | End Market Distribution (% of Net Sales) | End Market | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Communications | 40% | 40% | 48% | | Computing | 22% | 22% | 20% | | Automotive, industrial & other | 20% | 21% | 20% | | Consumer | 18% | 17% | 12% | - The top ten customers represented **72%** of net sales in Q2 2025, consistent with Q2 2024 and slightly up from **71%** in Q1 2025[10](index=10&type=chunk) [Detailed Financial Statements](index=4&type=section&id=Detailed%20Financial%20Statements) This section presents Amkor's reconciled non-GAAP measures, consolidated income statements, balance sheets, and cash flow statements [Non-GAAP Financial Measure Reconciliation](index=4&type=section&id=Non-GAAP%20Financial%20Measure%20Reconciliation) Amkor provides a reconciliation for the non-GAAP measure EBITDA, defined as net income before interest, taxes, and depreciation/amortization, which management uses to assess financial operating results and the ability to service debt, with Q2 2025 EBITDA at **$259 million**, reconciled from a net income of **$55 million** - The company uses EBITDA, a non-GAAP measure, to provide additional information for assessing financial operating results, evaluating operating performance, and the ability to service debt, fund capital expenditures, and pay dividends[13](index=13&type=chunk) EBITDA Reconciliation (in millions) | | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net income | $55 | $22 | $67 | | Plus: Interest expense | $17 | $17 | $16 | | Plus: Income tax expense | $28 | $4 | $14 | | Plus: Depreciation & amortization | $159 | $154 | $150 | | **EBITDA** | **$259** | **$197** | **$247** | [Consolidated Statements of Income](index=5&type=section&id=Consolidated%20Statements%20of%20Income) For the three months ended June 30, 2025, Amkor's net sales increased to **$1.51 billion** from **$1.46 billion** year-over-year, but higher cost of sales led to a lower gross profit of **$181.9 million** compared to **$212.4 million** in Q2 2024, consequently decreasing net income attributable to Amkor to **$54.4 million** from **$66.9 million** in the prior-year quarter Consolidated Income Statement Highlights (in millions) | | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net sales | $1,511.4 | $1,461.5 | | Gross profit | $181.9 | $212.4 | | Operating income | $92.0 | $81.5 | | Net income attributable to Amkor | $54.4 | $66.9 | | Diluted EPS | $0.22 | $0.27 | [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) As of June 30, 2025, Amkor's total assets increased to **$7.71 billion** from **$6.94 billion** at the end of 2024, primarily due to higher cash and property, plant, and equipment, while total liabilities also rose to **$3.47 billion** from **$2.76 billion**, driven by increases in long-term debt and capital expenditures payable, with total stockholders' equity seeing a modest increase to **$4.20 billion** Balance Sheet Highlights (in millions) | | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | **Total current assets** | **$3,624.6** | **$3,073.5** | | Property, plant and equipment, net | $3,802.0 | $3,576.1 | | **Total assets** | **$7,705.6** | **$6,944.3** | | **Total current liabilities** | **$1,915.7** | **$1,455.3** | | Long-term debt | $1,198.2 | $923.4 | | **Total liabilities** | **$3,473.6** | **$2,761.2** | | **Total Amkor stockholders' equity** | **$4,197.4** | **$4,149.5** | [Consolidated Statements of Cash Flows](index=7&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the first six months of 2025, net cash from operating activities was **$282.6 million**, a decrease from **$387.1 million** in the same period of 2024, with **$205.8 million** used in investing activities mainly for capital expenditures, and a significant inflow of **$308.2 million** from financing activities, primarily new long-term debt, resulting in a net cash increase of **$393.8 million** and boosting the end-of-period cash balance to **$1.53 billion** Cash Flow Summary (in millions) | | For the Six Months Ended June 30, 2025 | For the Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $282.6 | $387.1 | | Net cash used in investing activities | ($205.8) | ($275.1) | | Net cash provided by (used in) financing activities | $308.2 | ($138.5) | | Net increase (decrease) in cash | $393.8 | ($40.2) | | Cash, cash equivalents and restricted cash, end of period | $1,528.1 | $1,080.4 | [Forward-Looking Statements and Risk Factors](index=8&type=section&id=Forward-Looking%20Statements%20and%20Risk%20Factors) This section outlines the disclaimer for forward-looking statements and details various risks that could impact the company's business and financial performance [Forward-Looking Statement Disclaimer](index=8&type=section&id=Forward-Looking%20Statement%20Disclaimer) The report includes a disclaimer for its forward-looking statements, cautioning investors about reliance on projections and outlining numerous significant risks that could materially affect business and financial results, including the cyclical nature of the semiconductor industry, competition, customer concentration, high fixed costs, international operational risks, substantial indebtedness, and the ability to protect proprietary technology - Key business risks include dependence on the volatile semiconductor industry, competition, high fixed costs requiring high capacity utilization, and lack of long-term customer commitments[23](index=23&type=chunk) - The company faces risks from customer concentration, particularly in the mobile communications and automotive markets, and dependence on international operations which are subject to trade restrictions and regional conflicts[23](index=23&type=chunk) - Financial risks include managing substantial indebtedness, restrictive covenants, interest rate fluctuations, and potential changes in tax laws[23](index=23&type=chunk)[25](index=25&type=chunk) - Other notable risks involve the ability to develop and protect new technology, maintain IT system security, attract and retain qualified personnel, and potential environmental liabilities[23](index=23&type=chunk)[25](index=25&type=chunk)