•
Dec 31, 2019

Amkor Q4 2019 Earnings Report

Amkor's Q4 2019 earnings were released, showing record net sales and strong performance in gross margin and EPS.

Key Takeaways

Amkor Technology reported record net sales of $1.18 billion for Q4 2019, a 9% increase sequentially and year-on-year. The company's gross margin was 18.9%, and net income reached $99 million, with earnings per diluted share at $0.41. Strong demand for advanced packages in the mobile and consumer markets drove revenue above expectations.

Record net sales of $1.18 billion, up 9% sequentially and year-on-year.

Gross margin of 18.9%.

Net income of $99 million, with earnings per diluted share of $0.41.

EBITDA of $244 million.

Total Revenue
$1.18B
Previous year: $1.08B
+9.0%
EPS
$0.4
Previous year: $0.12
+233.3%
Communications Revenue
37%
Previous year: 45%
-17.8%
Automotive/Industrial Revenue
25%
Previous year: 25%
+0.0%
Computing Revenue
14%
Previous year: 18%
-22.2%
Gross Profit
$223M
Previous year: $182M
+22.3%
Cash and Equivalents
$895M
Previous year: $682M
+31.3%
Free Cash Flow
$104M
Previous year: $167M
-37.8%
Total Assets
$4.7B
Previous year: $4.5B
+4.5%

Amkor

Amkor

Amkor Revenue by Segment

Forward Guidance

Amkor expects Q1 2020 revenue to be up approximately 25% year-on-year and down about 5% sequentially. The company anticipates net sales between $1.08 billion and $1.16 billion, and net income between $22 million and $59 million, or $0.09 to $0.24 per diluted share.

Positive Outlook

  • Net sales of $1.08 billion to $1.16 billion
  • Gross margin of 14.5% to 17.5%
  • Net income of $22 million to $59 million
  • Earnings per diluted share of $0.09 to $0.24
  • Well-positioned for growth in 2020

Challenges Ahead

  • Health conditions or pandemics, such as the recent coronavirus outbreak, impacting the supply chain and consumer demand for electronic products and services
  • Dependence on the highly cyclical, volatile semiconductor industry
  • Industry downturns and declines in global economic and financial conditions
  • Fluctuation in demand for semiconductors and conditions in the semiconductor industry generally
  • Changes in costs, quality, availability and delivery times of raw materials, components and equipment

Revenue & Expenses

Visualization of income flow from segment revenue to net income