Acer Incorporated · TWSE:2353
Acer — Q3 2012 Earnings Presentation
21 slides from Acer's earnings presentation, Oct 25, 2012
Slide 1: Acer 3Q12 Investor Conference
Acer 3Q12 Investor Conference Oct 25th 2012 ACER CONFIDENTIAL
Slide 2: Legal Disclaimer
Legal Disclaimer The information is provided for informational purposes only, and is not an offer to buy or sell or a solicitation of an offer to buy or sell any security issued by Acer or other parties. Acer’s statements that are not historical facts are forward-looking statements that indicate
Slide 3: Consolidated Financial Results
Consolidated Financial Results Eva Ho CFO ACER CONFIDENTIAL
Slide 4: Unaudited Consolidated Income Statement (QoQ Comparison)
Unaudited Consolidated Income Statement (QoQ Comparison) (R.O.C. GAAP-comparison base) QoQ (NT$ mn) 3Q12 2Q12 Change Revenue 104,408 100.0% 110,545 100.0% -6% Gross Profit 10,751 10.3% 11,230 10.2% -4% Operating Expenses 10,406 10.0% 10,797 9.8% -4% Operating Income 345 0.3% 433 0.4% -20% PBT 223 0.
Slide 5: Unaudited Consolidated Income Statement (YoY Comparison)
Unaudited Consolidated Income Statement (YoY Comparison) (R.O.C. GAAP-comparison base) YoY (NT$ mn) 3Q12 3Q11 Change Revenue 104,408 100.0% 117,891 100.0% -11% Gross Profit 10,751 10.3% 10,562 9.0% 2% Operating Expenses 10,406 10.0% 11,883 10.1% -12% Operating Income 345 0.3% (1,320) -1.1% N.A. PBT
Slide 6: Consolidated Revenue and GM Trend
Consolidated Revenue and GM Trend 180,000 12.0% (NT$ mn) 160,000 10.0% 140,000 120,000 8.0% 100,000 6.0% 80,000 60,000 4.0% 40,000 2.0% 20,000 0 0.0% 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 Revenue (LHS) 119,086 119,083 167,617 168,197 162,130 150,262 167,552 149,1
Slide 7: Consolidated Operating Income
Consolidated Operating Income 6,000 4.0% (NT$ mn) 4,000 2.0% 2,000 0.0% 0 -2.0% -2,000 -4.0% -4,000 -6.0% -6,000 -8,000 -8.0% 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 Op. Incom e (LHS) 2,571 3,043 4,754 4,972 4,385 4,138 5,291 4,389 1,929 -7,087 -1,320 82 138 433 34
Slide 8: Unaudited Consolidated Balance Sheet (QoQ Comparison)
Unaudited Consolidated Balance Sheet (QoQ Comparison) (R.O.C. GAAP-comparison base) (NT$ mn) 3Q12 2Q12 Current Assets Cash and cash equivalence 33,554 14.4% 44,928 17.5% Notes & Account receivable 81,551 35.0% 88,405 34.5% Financial Assets-Current 180 0.1% 1,555 0.6% Inventory 48,047 20.6% 49,424 19
Slide 9: Unaudited Consolidated Balance Sheet (YoY Comparison)
Unaudited Consolidated Balance Sheet (YoY Comparison) (R.O.C. GAAP-comparison base) (NT$ mn) 3Q12 3Q11 Current Assets Cash and cash equivalence 33,554 14.4% 37,797 15.8% Notes & Account receivable 81,551 35.0% 87,205 36.6% Financial Assets-Current 180 0.1% 2,165 0.9% Inventory 48,047 20.6% 40,105 16
Slide 10: IT Product Revenue Breakdown by Geography
IT Product Revenue Breakdown by Geography Q3, 2012 Q3, 2011 US$3,389M US$3,943M (NT$101,133 M) (NT$115,229 M) 9 ACER CONFIDENTIAL
Slide 11: IT Product Revenue Breakdown
IT Product Revenue Breakdown Q3, 2012 Q3, 2011 US$3,389M US$3,943M (NT$101,133 M) (NT$115,229 M) 10 ACER CONFIDENTIAL
Slide 12: Business Review
Business Review Jim Wong Corporate President ACER CONFIDENTIAL
Slide 13: Q3 Performance Summary
Q3 Performance Summary Title Guidance Result PC shipment Flat QoQ QoQ -11% Operating Income Similar level QoQ 0.33% vs. 0.39%, decline QoQ Channel Inventory Comply with Acer target Meet the guidance, with Win7 channel inventory extremely low by management PC market share Maintain Decline by 0.3% tot
Slide 14: Outlook
Outlook • UP side - We believe in Windows 8’s opportunity to offer users good new experience Touch+type complies with user’s behaviors OS is easy and attractive to use New form factors provide additional attraction • DOWN side – how soon users can experience the products Effective marketing
Slide 15: Q4 Guidance
Q4 Guidance Title Guidance Result PC shipment -5% - +5% QoQ Operating Income Similar level QoQ Channel Inventory Comply with Acer target OPEX Level Continue to improve absolute amount saving QoQ ACER CONFIDENTIAL
Slide 16: Touch + Type: The “Duality” Era Has Come
Touch + Type: The “Duality” Era Has Come - and will continue to evolve Type Type + Mouse Touch + Type In the Duality Era, Acer continues providing the best user experience to fulfill different life styles for customers. 15 ACER CONFIDENTIAL
Slide 17: Acer’s Challenge and Opportunity
Acer’s Challenge and Opportunity J.T. Wang Chairman & CEO ACER CONFIDENTIAL
Slide 18: Consumer Channel 3Q12 Updates
Consumer Channel 3Q12 Updates Windows 7 inventories Windows 8 shipments • Windows 7 product sell- • Pricing environment for out shown downward Windows 8 products was trend in 3Q12 Acer aims to lower unclear channel inventory as • Therefore the channel the primary strategic • Therefore the channels i
Slide 19: Acer: Opportunity
Acer: Opportunity Touch-enabled portable PC shipment • Acer expects the touch feature to stimulate PC shipment growth, 200 (M units) particularly after the Windows 8 180 2011-16 CAGR growth: 183% introduction. 160 140 120 • Acer has endeavored to improve 100 the user experience in touch and 80 is re
Slide 20: Acer: Prospect
Acer: Prospect Elevation of Acer’s Integrated technologies brand power with innovative designs Effective External User Communication Experience Leading Positioning Complete Product Line Right product for everyone with affordable touch and type experience ACER CONFIDENTIAL
Slide 21: Thank you
acer explore beyond limits™ Thank you