Wt Microelectronics Co., Ltd. · TWSE:3036

Wt Microelectronics — Q1 2018 Earnings Presentation

18 slides from Wt Microelectronics's earnings presentation, May 11, 2018

  1. Slide 1: 2018 First Quarter Investor Conference

    2018 First Quarter Investor Conference Presented by Cheryl Yang May 11, 2018

  2. Slide 2: Safe Harbor Statement

    Safe Harbor Statement WT’s forward-looking statements, which may include statements regarding its results of operations, financial condition or business prospects, are subject to significant risks and uncertainties and are based on WT’s current expectations. Actual results may differ materially from

  3. Slide 3: Agenda

    Agenda 1. Overview 2. Financial Update 3. Business Outlook 4. Recap of Recent Major Events 5. Questions and Answers 3

  4. Slide 4: 1. Overview

    1. Overview Strong secular growth with economies of scale A leading Asian semiconductor distributor, founded in 1993 and listed in 2000 (ticker: 3036 TT) Strategic focus on Asia region and Automotive & Internet of Things (IoT) applications 2017 revenues of NT$189bn, up 31% YoY 45 offices in Asia (30

  5. Slide 5: 1. Overview: Offices Across Asia

    1. Overview China Offices (30) Korea Office (1) Harbin Shenyang Dalian Offices Across Asia Seoul Beijing Qingdao Taiwan Offices (4) Zhengzhou Taipei, Headquarters Jinan Xian Hsinchu, R&D Ningbo Shanghai Taichung Wuxi Tainan Suzhou Kunshan South Asia Offices (10) Nanjing Hangzhou Wenzhou New Delhi, N

  6. Slide 6: 1. Overview: Net Revenue History

    1. Overview NR (Net Revenue) YoY=31% NT$B YoY=27% 200 189 180 CAGR(2011~2015)=12% 160 144 CAGR(2006~2010)=16% 140 120 114 108 100 88 80 80 71 64 60 47 39 41 40 30 34 21 20 10 14 5 9 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 6

  7. Slide 7: Statement of Comprehensive Income

    2. Financial Update Statement of Comprehensive Income Unit: NT$M 1Q18 1Q18 4Q17 1Q17 Key accounts QoQ YoY Amount % Guidance Amount % Amount % Net Operating revenues 49,635 100.00% 48B~51B 59,844 100.00% -17.06% 38,378 100.00% 29.33% Gross profit 2,288 4.61% 4.4%~4.6% 2,456 4.10% +0.51ppt 1,797 4.68%

  8. Slide 8: Balance Sheet

    2. Financial Update Balance Sheet Unit: NT$M 1Q18 4Q17 1Q17 Key accounts Amount % Amount % Amount % Cash and cash equivalents 2,542 3 2,288 3 2,913 5 Accounts receivable 31,765 41 32,326 43 20,509 36 Inventory 35,426 46 33,114 44 24,043 42 Other current assets 2,929 4 2,625 4 5,419 9 Non-current ass

  9. Slide 9: NR by Geography (Ship-to Destination)

    2. Financial Update NR by Geography (Ship-to Destination) 0.5% 0.7% 0.4% 0.6% 0.5% 0.6% 0.5% 0.7% 60 100% QoQ -20% 2.1% 1.7% 1.5% 2.3% 2.2% 2.0% 1.8% 2.6% 4Q17 7.0% 5.7% 50 (Left) 7.1% 5.9% Revenue (NT$B) 10.5% 8.1% 8.1% 8.5% 6.4% 6.0% vs. 8.9% 8.1% 40 7.2% 9.2% 8.5% 7.1% 1Q18 80% (Right) 30 20 QoQ

  10. Slide 10: NR by Customer Base

    2. Financial Update NR by Customer Base 100% 1.7% 1.6% 1.7% 40 QoQ -19% 2.3% 2.0% 2.2% 2.0% 2.8% 4Q17 7.3% 7.8% 9.3% 8.6% 8.8% 6.4% 6.3% 35 (Left) 11.2% 30 vs. Revenue (NT$B) QoQ -16% 1Q18 25 80% (Right) 30.4% 34.1% 20 33.1% 34.7% 36.5% 38.5% 15 35.7% 46.3% 10 60% QoQ -18% QoQ +37% 5 0 Taiwan China

  11. Slide 11: NR by Application

    2. Financial Update NR by Application 30 4Q17 100% 3.4% 2.9% 3.0% 3.7% 4.0% 4.2% 3.4% 3.9% QoQ -31% 25 (Left) 6.9% 6.2% Revenue (NT$B) 9.0% 7.2% 7.8% 6.6% 6.4% 7.3% vs. 20 1Q18 12.8% 10.9% 11.4% QoQ -9% 13.4% 14.9% 13.8% 13.5% 15 QoQ -10% (Right) 80% 15.5% QoQ -2% 10 15.5% QoQ -5% 17.1% 17.2% 17.7%

  12. Slide 12: ROE vs. EPS

    2. Financial Update ROE vs. EPS EPS 6.00 ROE% 18.82% 20% 16.03% 5.00 14.05% 15.62% 13.42% 15% 4.00 12.62% 12.88% 12.01% 10.67% 9.55% 3.00 10% 2.00 5% 1.00 4.69% 0.00 0% 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 ITEM 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 ROE% 14.05% 12.8

  13. Slide 13: ROWC vs. NWC/Sales

    2. Financial Update ROWC vs. NWC/Sales 0.30 NWC/Sales 25% ROWC 0.25 20% 0.20 14.83% 15% 0.15 12.04% 8.81% 9.04% 10.91% 10.57% 8.72% 11.66% 11.66% 10% 0.10 9.26% 5% 0.05 4.54% 0.00 0% 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 ITEM 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 NW

  14. Slide 14: Operating Cash Cycle

    2. Financial Update Operating Cash Cycle AR INV AP Operating cash cycle 100 93 85 80 80 72 73 67 68 65 61 60 60 52 40 20 0 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 Turnover days 2014 2015 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 AR 43 58 78 72 57 58 59 50 48 48 59 INV 50 54 59 59 4

  15. Slide 15: 3. Business Outlook

    3. Business Outlook We currently expect 2Q18 : Revenue : between NT$51 billion ~ NT$55 billion, at a forecast exchange rate of 29.6 NT Dollars to 1 US Dollar Gross profit margin : between 4.5% ~ 4.7% Operating profit margin : between 2.1% ~ 2.3% 15

  16. Slide 16: 4. Recap of Recent Major Events

    4. Recap of Recent Major Events WT was ranked as Top 10 Overseas Branded Distributor of China Distributor Awards 2017 by ESM、EET and EDN. WT was ranked as revenue market share No.2 in Asia semiconductor distribution market in 2017 by Gartner. WT board of directors proposed NT$2.5 cash dividend per s

  17. Slide 17: Questions and Answers

    nswers

  18. Slide 18: Thank You !

    Thank You ! WT Microelectronics Co., Ltd. Website : www.wtmec.com 18

WT Microelectronics — Q1 2018 Earnings Presentation on 6ix