Amkor Technology(AMKR) - 2025 Q1 - Quarterly Results

Financial Performance - Amkor reported Q1 2025 revenue of $1.32 billion, a decrease of 18.8% from Q4 2024 and a decrease of 3.2% from Q1 2024[2][3] - Gross margin for Q1 2025 was 11.9%, down from 15.1% in Q4 2024 and 14.8% in Q1 2024[3][11] - Operating income for Q1 2025 was $32 million, representing an operating income margin of 2.4%, compared to $134 million and 8.3% in Q4 2024[3][11] - Net income attributable to Amkor in Q1 2025 was $21 million, with earnings per diluted share of $0.09, down from $0.43 in Q4 2024[3][18] - Net income for the three months ended March 31, 2025, was $21.853 million, a decrease of 63.5% compared to $59.786 million in the same period of 2024[22] Guidance and Projections - Amkor's guidance for Q2 2025 includes net sales of $1.32 billion and EBITDA of $197 million[5] - Full year 2025 capital expenditures are projected to be approximately $850 million[6] Product Mix and Customer Base - Advanced products accounted for 80.5% of total net sales in Q1 2025, while mainstream products made up 19.5%[11] - The company maintained a diversified customer base, with 71% of net sales coming from the top ten customers[11] Cash and Investments - Total cash and short-term investments as of March 31, 2025, was $1.6 billion, while total debt stood at $1.1 billion[3][20] - Cash, cash equivalents, and restricted cash at the end of the period totaled $1.058 billion, down from $1.119 billion at the beginning of the period, indicating a net decrease of $75.984 million[22] - Payments for property, plant, and equipment were $79.897 million, a decrease from $96.169 million in the previous year, showing a reduction of 17.0%[22] - Net cash used in investing activities was $63.054 million, down from $86.103 million, representing a decrease of 26.8% year-over-year[22] - Payments of long-term debt amounted to $25.493 million, a decrease from $29.100 million, reflecting a reduction of 12.5%[22] - The company experienced a net cash used in financing activities of $42.251 million, down from $69.877 million, indicating a decrease of 39.6%[22] - The effect of exchange rate fluctuations resulted in a positive impact of $5.172 million on cash and cash equivalents, contrasting with a negative impact of $8.164 million in the previous year[22] Risks and Future Outlook - The company continues to face risks related to the cyclical nature of the semiconductor industry and potential downturns in global economic conditions[23] - Future performance may be affected by the company's ability to develop new proprietary technology and manage operational risks effectively[24] Dividends - Amkor paid a quarterly dividend of $0.08269 per share on April 2, 2025[4]