Asustek Computer Inc. · TWSE:2357
Asustek Computer — Asustek Computer Inc Regs — Q1 2023 Earnings Presentation
28 slides from Asustek Computer's earnings presentation, May 12, 2023
Slide 1: ASUSTEK 1Q 2023 Investor Conference
ASUSTEK 1Q 2023 Investor Conference
Slide 2: Disclaimer
Disclaimer ASUSTeK’s presentation contains forward-looking statements subject to significant risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements. The forward-looking statements in this release reflect the current belief of ASUS as of t
Slide 3: Agenda
Agenda • 1Q 2023 Financial Result • Strategy & Outlook • Q&A
Slide 4: 1Q 2023 Financial Result
1Q 2023 Financial Result
Slide 5: 2023 1Q Brand Income Statement
2023 1Q Brand Income Statement in NT$ Mn 2023 1Q 2022 4Q QoQ 2022 1Q YoY Net Revenue 102,376 117,359 -13% 127,962 -20% COGS (94,128) (107,768) -13% (104,074) -10% Gross Profit 8,247 9,591 -14% 23,888 -65% Operating Expenses (11,900) (14,563) -18% (13,817) -14% Operating Profit (3,653) (4,972) -27% 1
Slide 6: 2023 1Q Non-OP Items
2023 1Q Non-OP Items in NT$ Mn 2023 1Q 2022 4Q QoQ 2022 1Q YoY Interest Income (net) 482 184 162% 138 250% Investment Income 290 485 -40% 862 -66% Askey (49) 149 -133% (182) 73% Others 339 336 1% 1,045 -68% Exchange Gain/(Loss) 990 369 169% 1,091 -9% Dividend Income 9 Other Income (net) (67) (3) -23
Slide 7: 2023 1Q Brand Balance Sheet
2023 1Q Brand Balance Sheet in NT$ Mn Mar 31, 2023 Dec 31, 2022 QoQ Mar 31, 2022 YoY Cash & equivalents 58,829 60,949 -3% 28,794 104% Accounts receivable 86,539 83,763 3% 90,070 -4% Inventories 115,845 132,773 -13% 193,379 -40% Current Assets 275,101 289,799 -5% 326,091 -16% Long-term investments 10
Slide 8: Product Mix
Product Mix 1Q 2023 1Q 2022 Component Component 40% 33% PC PC 59% 66% Phone 1% Phone 1% 8
Slide 9: Region Mix
Region Mix 1Q 2023 1Q 2022 Americas EURP Americas EURP 21% 30% 23% 30% ASIA ASIA 49% 47% 9
Slide 10: 2Q 2023 Business Outlook
2Q 2023 Business Outlook • PC QoQ +20% • Component QoQ -5% 10
Slide 11: Strategy & Outlook
JUS IN SEARCH OF INCREDIBLE Strategy & Outlook
Slide 12: 2023 Business Outlook
2023 Business Outlook Confronting reality and best adapting to market dynamics, solid improvements to decision-making and management processes Strong commitment to building a growth enterprise Achieving high-quality growth in mind share and market share Undergoing normalization to healthier inventor
Slide 13: Execution Strategy
Execution Strategy Strategic Core Growth Business Business Business • Commercial PC - expand • Motherboard – dominate • Gaming PC – expand business coverage the lion's share of the leadership position market • AIoT, Server, AIHPC - • Graphics Card – strong continue to develop next- • Consumer PC – p
Slide 14: Consistent Outperformance
Consistent Outperformance Unit YoY % 14 (Source: market research and industry data)
Slide 15: Accelerate Future Growth
15 Accelerate Future Growth m Brand Revenue (NTS m) 132,935 115,210 117,359 127,962 102,376 22Q1 22Q2 22Q3 22Q4 23Q1 23Q2
Slide 16: Business Growth Drivers
Business Growth Drivers • Brand Position and User Value 10% No.1 in gaming, motherboards, graphic cards Enterprise Premium consumer PC brand 50% • New Business Expansion Gamer Commercial PC, AIoT, Server, AIHPC • Innovation and Product Leadership 40% ROG ALLY, ASUS Lumina OLED, ProArt creator Consum
Slide 17: AI 2.0, AIHPC, New Ecosystem
AI 2.0, AIHPC, New Ecosystem AIHPC Core Technology Generative AI Precision Medicine Digital Twin HPC technology team Received government with over 200 engineers Launch ChatGPT-like (MOEA) project funding and 6 years of experience Launch computational Foundation Model and to accelerate the genomics s
Slide 18: Worldwide Recognition
Worldwide Recognition 44 wins 2023 Red Dot Product Design Awards ASUS Breaks Records Again with 44 Wins at the 2023 Red Dot Product Design Awards 2023 World's Most Admired ASUS Named as One of Companies The World's Most Admired Companies 2023 26 wins 2023 iF Design Award ASUS Wins 26 iF Design Award
Slide 19: System Business Group
System Business Group 23Q1 Revenue 23Q1 Gaming NB Increased Share of High Shipment YoY Value Products - 25~30% YoY 2023 Q1 >60% Premium PCs Performance • Improved product portfolio with +0~5% YoY increase for PC ASP in 23Q1, above pre-pandemic level • Gaming PC gained ~3% market share YoY in 23Q1 an
Slide 20: Open Platform Business Group
Open Platform Business Group 23Q1 Revenue Motherboard Shipment Growth Graphics Card ASP Growth - 5~10% YoY + 5~10% YoY + 5~10% YoY 2023 Q1 Performance • Sustained worldwide No. 1 motherboard and graphics card position, significantly outperforming the Business market and continued to gain share Highl
Slide 21: AIoT Business Group
AIoT Business Group 23Q1 Revenue EndoAim AI Endoscopy System ASUS Complete Embedded Portfolio Implemented in Taiwan Hospitals + 45% YoY 2023 Q1 Performance embedded world 2023 • ASUS Blood Pressure App was certified by TFDA, first self-developed wearable blood pressure Business application software
Slide 22: Gaming: Leadership, Innovation, Diversity
• The No.1 choice of gamers and enthusiasts around the world LEADERSHIP • No.1 RTX 4080/4090 high-end NBs with over 50% market share • Gaming product revenue represented 50% of brand revenue in 23Q1 • Launched ROG’s first Windows gaming handheld to #playALLYourgames INNOVATION • Gaming peripheral re
Slide 23: ROG ALLY for All Your Games
ROG ALLY FOR ALL YOUR GHMES da 608g Lightweight with Q Armoury Crate s Ergonomic Design ~ Customizable Control Panel Key Mapping Overlay rote i.e | “Poweréi by AMD Ryzen™ 21 Series Processor - ae Windows 11 Gaming Handheld . Full Compatibility with Steam, Display Combine Your Ally with EA App, Epic
Slide 24: ROG ALLY Worldwide Anticipation
Rog ally Worldwide Anticipation “The ROG ALLY is so much better than anything else we've seen in this space.” – D2D “The best handheld gaming consoles in 2023.” – Tom’s Guide “The ASUS ROG Ally might be the new most powerful handheld gaming PC.” – Engadget “After spending a few hours with Asus ROG A
Slide 25: Sustaining an Incredible Future
Sustaining an Incredible Future Key ESG Achievements Circular Economy Climate Action Responsible Value Creation Manufacturing 87 % + 34 % 100 % 20,000+ Eco-friendly product More energy efficient Key minerals Computers donated to revenue mix in 2022 than ENERGY STAR sourced from qualified over 1,800
Slide 26: UX5304 Carbon-Neutral Consumer Laptop
UX5304 Carbon-Neutral Consumer Laptop Chassis cover & bottom case Recycled aluminum Keyboard cover Recycled magnesium-aluminum alloy Keycap Recycled plastics Speakers Ocean-bound + recycled plastics Computer PCB & Touchpad PCB Halogen-free 2023 90% of consumer laptops will meet EPEAT and ENERGY STAR
Slide 27: Celebrated for Sustainability
Celebrated for Sustainability Climate Leaders Asia-Pacific 2022 CLEAN200 MSCI ESG RATINGS 27
Slide 28: In Search of Incredible: Q&A
JUS IN SEARCH OF INCREDIBLE Q&A
Asustek Computer Inc Regs — Q1 2023 Earnings Presentation on 6ix