ASMPT(HK:00522)2024-07-23 22:29Financial Performance - For the six months ended June 30, 2024, the sales revenue was HKD 6.48 billion (USD 829 million), a decrease of 17.1% year-on-year and 5.8% half-on-half[4]. - The net profit for the same period was HKD 314 million, down 49.6% year-on-year but up 255.2% half-on-half[4]. - The basic earnings per share for the first half of 2024 was HKD 0.76, a decrease of 50.0% year-on-year but an increase of 245.5% half-on-half[4]. - The gross margin for the first half of 2024 was 40.9%, an increase of 67 basis points year-on-year and 276 basis points half-on-half[3]. - The total new orders for the first half of 2024 amounted to HKD 6.32 billion (USD 809 million), a decrease of 3.6% year-on-year but an increase of 11.0% half-on-half[3]. - The forecasted sales revenue for the third quarter of 2024 is expected to be between USD 370 million and USD 430 million, representing a year-on-year decrease of 9.9% and a quarter-on-quarter decrease of 6.4%[3]. - The company declared an interim dividend of HKD 0.35 per share, down 42.6% from HKD 0.61 in 2023[5]. - The group’s basic earnings per share for the six months ended June 30, 2024, were HKD 0.76, compared to HKD 1.52 in the same period of 2023[28]. Segment Performance - The advanced packaging solutions segment showed strong momentum, contributing a higher percentage to the total new orders in the first half of 2024[6]. - The semiconductor solutions segment experienced a mixed performance, with increased customer inquiries but still showing scattered order patterns[6]. - Advanced packaging solutions accounted for approximately 25% of total sales revenue in the first half of 2024, amounting to about $210 million, driven by demand from generative AI and high-performance computing applications[7]. - Automotive applications contributed the highest proportion to total sales revenue at approximately 24% or $200 million in the first half of 2024, despite a slowdown in the automotive market[10]. - The photonics solutions segment received significant orders in the first half of 2024, driven by strong growth in optical transceivers to meet the demands of generative AI and 5G networks, with a projected CAGR of 31% from 2024 to 2028[9]. Order and Revenue Trends - The total backlog as of June 30, 2024, was HKD 6.40 billion (USD 820 million)[3]. - The total new order amount for advanced packaging solutions in the first half of 2024 showed significant year-on-year and half-year growth, with TCB solutions continuing to gain momentum in Q2 2024[7]. - The group’s sales revenue for Q2 2024 was HKD 3.34 billion (USD 427 million), representing a quarterly growth of 6.5% driven by the semiconductor solutions segment[14]. - The total new orders amounted to HKD 3.12 billion (USD 399 million), a slight quarterly decline of 2.4%, but an annual increase of 3.5%[14]. - The semiconductor solutions segment's sales revenue grew 20.9% quarter-over-quarter to HKD 1.66 billion (USD 213 million), driven by various business units[15]. - The semiconductor solutions segment's new orders increased 11.6% quarter-over-quarter to HKD 1.74 billion (USD 222 million), with a year-over-year growth of 36.7%[16]. Financial Position and Liquidity - The company maintained a strong liquidity position with total cash and bank deposits of HKD 5.44 billion and bank borrowings of HKD 2.53 billion as of June 30, 2024[13]. - As of June 30, 2024, the group's cash and bank deposits totaled HKD 5.44 billion (USD 688 million), an increase from HKD 4.80 billion as of December 31, 2023[21]. - As of June 30, 2024, the group’s unsecured bank borrowings amounted to HKD 2.5 billion, an increase from HKD 2.0 billion as of December 31, 2023[23]. - The group’s cash holdings are primarily in USD, EUR, and RMB, with hedging contracts established to mitigate foreign exchange risks[23]. Employee and Operational Insights - The group’s total employee cost for the first half of 2024 was HKD 2.53 billion, compared to HKD 2.49 billion in the same period of 2023[26]. - The group employed approximately 10,800 staff as of June 30, 2024, with a significant presence in China and Singapore[26]. - The group has implemented a global human resources information system (HRIS) to enhance operational efficiency across all locations[26]. Research and Development - The group plans to invest approximately HKD 250 million in R&D in 2024, maintaining a commitment to innovation and technology advancement[20]. - Research and development expenses for the six months ended June 30, 2024, were HKD 993.2 million, slightly down from HKD 999.9 million in the same period of 2023[27]. Corporate Governance - The company has adhered to all provisions of the corporate governance code as of June 30, 2024[62]. - The audit committee consists of four independent non-executive directors and one non-executive director, all with extensive experience in auditing and regulatory matters[63]. - The board of directors includes a diverse group of independent and non-executive members, ensuring a broad range of expertise[65]. Tax and Financial Expenses - The income tax expense for the six months ended June 30, 2024, was HKD 140,730, compared to HKD 255,993 for the same period in 2023[46]. - Total financial expenses for the six months ended June 30, 2024, were HKD 105,544, up from HKD 78,246 in the previous year[45].