Earnings Per Share (EPS): EPS for Q1 2024 was $0.24.
Gross Profit: Reached $202 million in Q1.
Gross Margin: Stood at 14.8% for Q1.
Net Income: Reported at $59 million for the first quarter.
Year-on-Year Revenue Decline: Experienced a 7% decline compared to the same quarter in the previous year.
Revenue Decline in Automotive and Industrial Markets: Notably significant with a 22% year-on-year decrease.
Revenue Growth in Computing and Consumer End Markets: Computing end market saw a 4% sequential increase, and the consumer end market increased 6% year-on-year.
Future Guidance
Q2 2024 Revenue Forecast: Expected to be around $1.45 billion, indicating sequential growth of 6% and flat year-on-year revenue.
Expected Gross Margin for Q2: Projected to be between 13% and 15%.
Q2 Operating Expenses: Forecasted to increase to around $135 million.
Q2 Net Income Range: Estimated to be between $35 million and $75 million.
Q2 EPS Forecast: Expected to be between $0.14 and $0.30.
Annual Capital Expenditures (CapEx) Forecast: Remaining at $750 million for the year.
Overall Full-Year Expectations: Anticipate a muted first half followed by strong growth in the second half.
Trends, Market Conditions, Sentiment
Smartphone Market: Slight growth expected in overall units with increased demand for advanced packaging solutions influenced by the introduction of AI.
Automotive and Industrial Market: Despite a short-term decline, long-term growth drivers remain strong, supported by increasing semiconductor content in cars.
Computing and Consumer Products: Growth driven by AI devices, ARM-based PCs, IoT wearables, and new product introductions in 2.5D capacity and advanced SiP technologies.
Manufacturing and Technological Investments: Continued investment in advanced packaging, expansion of manufacturing facilities, and strategic positioning to leverage recovery post-industry cycle.
Market Recovery Signs: Observations of market recovery in several portfolio areas despite ongoing macroeconomic and geopolitical uncertainties.
Notable Quotes
”Amkor delivered first-quarter results in line with expectations with revenue of $1.37 billion and EPS of $0.24.” - Giel Rutten, CEO
”We believe the first quarter marks the low point for revenue and utilization for Amkor.” - Giel Rutten, CEO
”With Amkor’s strong position throughout premium tier smartphones and our advanced packaging leadership, we expect this to create opportunities for further business growth.” - Giel Rutten, CEO
”We managed our cost structure to align with lower demand, preserve profitability, and generate free cash flow.” - Megan Faust, CFO
”We continue to invest in the most advanced packaging technology to support growth markets such as high-performance computing, specifically for AI applications.” - Megan Faust, CFO
