ChipMOS TECHNOLOGIES INC.

2024年第四季季全年的營運成果說明會議

Today's speaker is Mr. Chairman Zheng Shijie of our company. Good afternoon, everyone. Ms. Su Yujiao, Vice President and Manager of Chai Kui Management Center. Good afternoon, everyone. Mr. Huang Guoliang, Assistant Vice President and Spokesperson for Strategy and Investment Relations. Good afternoon, everyone. Today's meeting is hosted by Chairman Zheng and explains the operating results of the fourth quarter. Then, Vice President and Manager of Su Yujiao will publish various financial indicators. Then, the Chairman will explain the future business prospects. After the presentation, we will begin to receive your questions. The briefing of this Delivery Results Description Conference has been uploaded to the public information observation station and the Nanmao Technology website, chipotilex.chipmose.com, for your advanced participation. The second page of the conference briefing is a free statement of this Delivery Results Description Conference. Today's conference will be recorded. The recording is expected to be uploaded to the company website after two hours of the conference, for interested investors to listen. Next, we will give the floor to the Chairman. Chairman, please.

Thank you, Dr. Shen. Thank you all for participating in today's presentation of the operating results of Nanmao Technology. In 2024, the revenue of the fourth quarter decreased by 11% compared to the last quarter due to the decrease in the price of the motor power and the reduction in the price of the wind turbine. The net profit of the fourth quarter is 9.5%. Compared to the last quarter, has dropped by 4.4%. The annual revenue has increased by about 6.3% in 2023. The net profit in 2024 is 13%, which has decreased by about 3.6% in 2023. The EPS for the fourth quarter is NT$0.32. The EPS for this year and the whole year is NT$1.95. In terms of driving force, the average driving force of this season is 59% due to the impact of customer adjustment storage. Among them, the windage dropped to about 54%, and the average driving force of the integrated signal and memory test was about 61%. The average driving force of the drive IC windage decreased to about 65%, and the engine speed dropped to about 54%. In terms of the sales of the production department, the ratio of windage this year is about 25.3%, and the combination signal and the test collection is about 22.3%, and the ratio of carbon dioxide is about 22%. In terms of product classification, the product of DDIG is about 31.3%, and the product of Jindu is about 19.6%. D-RAM and S-RAM are 14.6% in total Logic and 5-core signal products are 10.4% In general, overall memory products are 38.7% in total Compared to the last season, the decline is about 6.2% Compared to the same period in 2023, the decline is about 1.3% The first part accounts for about 14.1% of this year's revenue. Compared to last season, the reduction is about 6.7%. Compared to the same period in 2023, the reduction is about 15.9%. Project products account for about 24.1% of this year's revenue. The revenue fell about 6.5% compared to last season. Compared to the same period in 2023, the growth is about 9.3% NAND Flash accounts for about 30.3% of the local Flash revenue, which is about 6.2% less than the previous season. As for the NAND Flash product, it is about 4.3% less than the previous season, which is about 25% more than the same as in 2023. Next, in terms of the supply and demand of The ratio of sales in the fourth quarter of the quarter was about 51%. The impact of the reduction in the demand for mid-end products and the seasonal challenge of customers was reduced by about 15.6% in the last quarter. Compared to the same period in 2023, it was reduced by about 12.8%. In terms of fast sales, the reduction was about 15.6% compared to the third quarter. compared to the start of 2023, it has grown by about 2.1%. As for the supply of drive ICs, compared to the previous season, it has dropped by about 15.6%. Among the supply of the fourth-generation GTI, more than three-thirds comes from the contribution of the car panel. This season, the supply of the car panel has dropped by about 0.9% compared to the previous season. In 2023, the revenue of the year-round used panel was increased by about 16.6%. In terms of GDDI products, due to short-term interest, the revenue of the year-round GDDI was increased by about 20.8%, and the price was reduced by only about 0.8%. As for the O-type product revenue, although it was severely affected, behind the need for seasonal adjustment. The volume of TTIG sales decreased by about 23.5%, compared to the last season, which decreased by about 24.6%. However, due to the increase in the penetration of smart mobile phones on the OLED panel, and the improvement of performance, the sales of OLED products over the whole year has increased by more than 20%. In the end, In terms of revenue, the weight of the vehicle product is about 23.5%, compared to the last season, which fell by about 2.6%. The smart operation device is 37.2%, which is affected by the reduction in the demand of the terminal and the seasonal backup adjustment. Compared to the last season, it fell by about 17.1%. The consumer electronics category is about 20.8%. 0% compared to last year, which is about 9.9%. In addition, the TV category is only 14.9%. Due to the impact of the need to adjust the large-sized panel, compared to last year, which is about 16.6%. The budget category is about 4.4%. Compared to last year, which is about 15%. The above are the results of the fourth quarter of this year and the previous year. Next, Ms. Su Yi-Jiao will report to you on various financial indicators.

After that, we will discuss future business developments. Good evening, everyone. Next, please attend the meeting report. On the 12th, the fourth quarter of 2024, the total profit and loss of the joint business. In the fourth quarter of 2024, the revenue will be about NT$5.4 billion, which is about NT$232 million. The basic income of the parent company is NT$0.32 per share. The basic income of the parent company is about US$0.19 per share. The interest, tax, and benefits are NT$138,800,000. The profit rate of the owner of the parent company is 3.7%. The thirteenth page. In the fourth quarter of 2024, we will compare this quarter with the previous quarter. In the fourth quarter of 2024, we will reduce the revenue by 11%. In the fourth quarter, we will reduce the revenue by 4.4%. The operating fee is NT$43,200,000, which accounts for 8% of revenue, which is reduced by 3.8% in the third quarter. The operating interest is NT$117,000, which is 2.2% of revenue, which is reduced by 4.7%. The operating external income is NT$155,000,000, In the third quarter, the operating capital was about NT$6,500,000. The difference was about NT$22,000,000. The main interest of this quarter was about NT$137,000,000. In the last quarter, the net foreign exchange loss was about NT$7,300,000. The difference was about NT$21,000,000. In the third quarter, the interest of this quarter was about NT$7,300,000. 22.4%. The main difference is that the profit of the business is reduced by about NT$304 million. The net income of the business is increased by about NT$220 million, and the income tax is reduced by about NT$17 million. The average circulation of the family is about NT$727 million. Comparing this year with the previous year, In the fourth quarter of 2024, the revenue decreased by 5.7% compared to the same period last year. The profit margin is 9.5% compared to the same period last year. The profit margin is 20.1% compared to the same period last year, which is 10.6%. The profit margin decreased by 3% compared to the same period last year. The profit margin is 2.2% compared to the same period last year, which is 10.3%. The net income is about NT$150 million. In the same period last year, the net profit was NT$1037 million. The main difference is that the net foreign exchange profit this quarter is NT$1037 million. The net foreign exchange loss in the same period last year is NT$1095 million. The difference is NT$332 million. The net investment loss using the Law of Power this quarter is NT$0.6 million. In the same period last year, the total profit of the law-abiding investment was about NT$56,000, the difference was about NT$5,700,000, and the interest income increased about NT$1,400,000. In the same period last year, the total profit of the company was about NT$51.8, the main difference was that the profit of the business decreased about NT$59,800,000, and the net income increased about NT$29,200,000. and the minimum wage is 5,600,000 yuan. On the 14th, the Year-over-Year Comprehensive and Comprehensive Statement in 2024, the total revenue is 226.96 million yuan, which is 6.3% higher than last year. The profit margin is 13%, which is 3.6% lower than last year. The minimum wage is 170,000,000 yuan, $7,000,000, which increased by 2.5% last year. The profit of the business is 5.6%, which decreased by 3.3% last year. The net income of the business is about NT$373,000,000, which increased by 3.7% last year. The net profit of the company is about NT$142,000,000. The 15th page. and the main financial indicators. In the fourth quarter of 2024, the total assets will be 453.8 billion NTD. The total assets will be 203.06 billion NTD. The total assets will be 251.7 billion NTD. The main financial indicators. In the fourth quarter of 2024, the receivables will be 88 days. The total turnover per day is 51,000. Article 16, Joint Cash Flow Statement. At the end of 2024, the total cash flow will be 152,190,000 yuan. The annual cash flow will be 28,650,000 yuan. The free cash flow will be 9,388,000 yuan. Last year, the same period, the free cash flow was about NT$133,900,000. The main difference is that the capital expenditure increased by about NT$222,300,000. Page 17. Capital expenditure and relief. In the fourth quarter of 2024, the capital expenditure was about NT$187,200,000. In 2024, the annual capital expenditure was about NT$545,100,000. In 2024, the capital expenditure of the fourth quarter will be divided into 12% for energy production related to production, 32.8% for drive IC windage related to production, 23.5% for windage service related to production, and 31.7% for service related to signal and memory testing related to service. In 2024, the saving cost of the fourth quarter will be about 12.7 billion Taiwan dollars. In 2024, the total cost of relief will be NT$4.85 billion. In addition, as of January 31, 2025, the U.S. AdSense AdSense, which has been circulated abroad by the company, will be about 3.7 million units, accounting for about 10.1% of the company's circulation abroad. The above is a comparison of the financial indicators of the fourth quarter of NMT in 2024. Next, Chairman, please provide us with future business prospects. Chairman, please.

Although the quality of the industry has improved, due to the uncertainty of the international trade, the overall economic situation this year is still unclear. Although there are some urgent short-term needs in the first quarter, but due to the impact of the customer's resumption of the deadline and the earlier working hours, there will be minor corrections. In this large environment, the most priority consideration will be to increase the driving force. From the perspective of individual products, in terms of the operation of the D1 product, although it is currently subject to seasonal adjustment due to the back or rear wheel, it affects the driving force of the corresponding windage. However, due to the D7 type DRAM-E, the demand for NEMFARCH has gradually appeared. Therefore, there will be minor adjustments in the first quarter. In addition, although the demand for mobile IT is still not positive, it has affected the performance of related products. However, with the impact of the mainland's policy on supply and demand, the supply and demand of the supply and demand of the supply and demand of the supply and mobile phones have some short-term needs. In addition, the price of related products is also gradually increasing. Therefore, the number of people who drive iQIYI products will be slightly lower than the number of iQIYI products in the first quarter. As for this year's capital support situation, it will be carefully planned for the previous few years. The related production process will be based on the price and customer demand. to carry out appropriate arrangements and operations to control the subsequent saving cost and maintain the competitive advantage of Nanmao Technology. Finally, to maintain the company's credit and improve the normal rights, the Nanmao Technology Board of Directors decided to implement the stock exchange transaction on January 21 this year, which means to buy back the company's normal share of 10 million shares. and move out. At the same time, as of today, in the fiscal year 2024, each stock, the common stock, will be issued with a cash interest rate of NT$1.2. This bill will be implemented after the meeting of the shareholders in May of this year. This is the first stage of business development in 2025. Next, we will begin to ask questions. Mr. Wang, please.

Yes, thank you, Chairman. The question time starts now. Please ask a question every time. If you need a question, please press the Mi button and number 1 on the phone. When we read your name, please start asking. If you want to cancel the question, please press the Mi button and number 2 on the phone. Thank you. Now, if you have any questions, please call the number 1 on the phone. Thank you. We are currently asking questions. If you need to ask a question, please press the Mi button and the number 1 button on your phone. Thank you.

The first question is from James Lee from Yuanda. Hello, everyone. I want to ask a question. the revenue of 1Q25 companies and the net profit.

Excuse me, can you hear me? Yes, I can. Hello, I'm Jesse. We don't have a specific revenue statement for GED. Overall, we think that About the next two or three seasons, some of the customer needs will be relatively light. However, we expect that in the second half of the year, relatively in the third half of the year, it will be a little better.

Okay, thank you. And then the company mentioned that car use and OLE will be the main growth forces in the future. I want to ask the company, this whole year, What do you expect from these two applications?

At the moment, it is still very optimistic. Especially in terms of OLED mobile phone display, and in terms of the system, it is not bad. But the low-end part is very tight and hard work.

I understand. The third question is, China has seen an increase in processing this year, and part of it has even increased. Do you think the company has seen customers return to Taiwan OSET?

Yes, it is relatively obvious. Especially in January this year, there were obvious short-term sales. This is the first one. The second one is that they have extended the supply of home appliances. There are also a few customers who have more difficulties due to the lack of taxes. I think in April this year, there will be a significant increase in the number of customers. There was an earthquake in January this year, so a lot of Waves were destroyed, so customers put in some new orders. At that time, the whole number of customers will come out.

I understand. I understand. That's all for my questions.

Thank you. Thank you. It's time for questions. If you have any questions, please call 1-1-1 on the phone. Thank you. No one has any questions. We'll give the floor to Dr. Shen. Dr. Shen, please.

Thank you, Chairman.

Thank you for your participation. Today's meeting is over.

You may leave now. Thank you. Goodbye.