Wt Microelectronics Co., Ltd. · TWSE:3036

Wt Microelectronics — Q4 2023 Earnings Presentation

18 slides from Wt Microelectronics's earnings presentation, Jan 31, 2024

  1. Slide 1: 2023 Fourth Quarter Investor Conference

    2023 Fourth Quarter Investor Conference January 31, 2024

  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

  3. Slide 3: Agenda

    Agenda 1. Overview 2. Financial Update 3. Business Outlook 4. Questions and Answers 3

  4. Slide 4: Overview

    1. Overview A leading Asian semiconductor distributor (70% of global market) NT$594.5B 10K+ 80+ • Founded in 1993 Y23 NR +4% YoY Customers Product Lines • Headquartered in TWN • Listed in 2000 (ticker: 3036 TT) • Top 5% Governance ranking for three consecutive years (TWSE) 3,500+ #52 / #5 25B+ • Tai

  5. Slide 5: 4Q23 Statement of Comprehensive Income

    2. Financial Update 4Q23 Statement of Comprehensive Income Unit: NT$M 4Q23 3Q23 4Q22 Key accounts QoQ YoY Amount Amount Amount Net Operating revenues 189,696 167,260 13% 157,464 20% Gross profit 4,996 5,061 -1% 4,989 0% Gross margin 2.63% 3.03% 3.17% Operating expenses (3,079) (2,802) 10% (2,361) 30

  6. Slide 6: Y2023 Statement of Comprehensive Income

    2. Financial Update Y2023 Statement of Comprehensive Income Unit: NT$M Y2023 Y2022 Key accounts YoY Amount Amount Net Operating revenues 594,519 571,197 4% Gross profit 18,406 19,832 -7% Gross margin 3.10% 3.47% Operating expenses (10,206) (8,049) 27% Operating profit 8,200 11,783 -30% Operating mar

  7. Slide 7: Balance Sheet

    2. Financial Update Balance Sheet Unit: NT$M 4Q23 3Q23 4Q22 Key accounts Amount % Amount % Amount % Cash and cash equivalents 22,748 9 6,719 3 5,383 3 Accounts receivable 111,637 42 102,016 45 84,568 42 Inventory 95,715 36 93,599 41 90,547 45 Other current assets 8,647 3 5,161 2 3,152 2 Non-current

  8. Slide 8: Revenue, GPM, OP, OPEX and EPS trends

    2. Financial Update Unit: NT$M Revenue vs GPM OP vs OPM Revenue GPM OP OPM 200,000 4.5% 3,500 3.0% 180,000 3.80% 3.86% 2.47% 3.45% 3.58% 4.0% 3,000 2.36% 160,000 2.5% 3.19% 3.17% 3.5% 140,000 3.03% 2,500 1.88% 1.67% 1.74% 2.0% 2.63% 3.0% 1.65% 120,000 2,000 1.35% 100,000 189,696 2.5% 1.5% 1,500 3,01

  9. Slide 9: Operating Cash Cycle

    2. Financial Update Operating Cash Cycle AR INV AP Operating cash cycle 80 72 70 67 59 60 60 60 52 50 40 40 71 74 30 68 30 58 58 60 59 54 57 57 55 54 57 57 51 53 51 53 51 53 53 51 46 47 20 10 0 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 9

  10. Slide 10: ROWC vs. NWC/Sales

    2. Financial Update ROWC vs. NWC/Sales NWC/Sales ROWC 0.25 0.20 16.2% 0.15 13.7% 13.1% 12.9% 11.0% 10.8% 10.4% 0.10 8.6% 0.05 0.00 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 10

  11. Slide 11: ROE vs. Equity

    2. Financial Update ROE vs. Equity Unit: NT$M Equity attributable to owners of the parent ROE 80,000 20% 18% 70,000 15.9% 15.7% 14.9% 16% 60,000 14% 50,000 12% 40,000 10% 8.4% 61,168 71,109 56,508 8% 30,000 8.7% 57,960 55,875 59,108 6.3% 54,500 54,105 6.7% 6% 20,000 5.1% 4% 10,000 2% - 0% 1Q22 2Q22

  12. Slide 12: Business Outlook: 1Q24 Forecast

    3. Business Outlook We currently expect 1Q24 :  At a forecast exchange rate of 31.1 NT Dollars to 1 US Dollar Unit: NT$M 1Q24 4Q23 Item Forecast Amount Revenue 165,000 ~ 175,000 189,696 Gross Profit 4,620 ~ 5,250 4,996 Gross Margin 2.80% ~ 3.00% 2.63% Operating Expenses 2,236 ~ 2,357 3,079 Operatin

  13. Slide 13: WT Revenue Trend and World Semi Revenue Forecast

    3. Business Outlook WT continues gaining market share by targeting faster growth sectors and successful M&As and integration WT Revenue Trend US$ Billion 25 20 $19.2 $19.1 15 $16.0 10 $11.9 $10.8 5 0 2019 2020 2021 2022 2023 2024F 2025F 2026F 2027F World Semi Revenue Forecast US$ Billion -0.4% 6.9%

  14. Slide 14: Global Semiconductor Market Forecast by Electronic Equipment Category

    3. Business Outlook Global Semiconductor Market Forecast by Electronic Equipment Category (US$ Billion) Semiconductor Market 765 2023-27F semiconductor segment revenue CAGR 122 533 110 Automotive: +11.4% 79 57 74 96 Industrial: +10.3% 43 76 63 Communication: +7.4% 60 147 109 156 Datacenter and S

  15. Slide 15: 4Q23 Revenue Breakdown by Application

    3. Business Outlook 4Q23 Revenue Breakdown by Application QoQ – 3Q23 (Left) vs. 4Q23 (Right) 100% +38% +10% 60 7.3% 7.2% 7.4% Revenue (NT$B) 50 8.7% 6.8% 40 10.8% 30 +17% 80% 13.1% -11% -8% -3% 12.6% 20 +16% 14.7% 56% Star Application 10 0 60% 12.5% 23.7% 29.0% 8.3% 9.2% 40% 10.6% 7.4% 16% Quality 9

  16. Slide 16: 2023 Revenue Breakdown by Application

    3. Business Outlook 2023 Revenue Breakdown by Application 100% 6.8% 7.8% 11.1% 10.0% 200 2022 (Left) vs. 2023 (Right) 80% YoY -5% 53% Star 180 13.5% 16.9% Application 160 Revenue (NT$B) 140 YoY +70% 60% 13.4% 21.9% 120 YoY -17% 8.7% 100 8.6% 19% Quality 80 YoY -15% 40% YoY -6% 12.1% Business 9.9% 60

  17. Slide 17: Q&A

    Q&A WT Microelectronics Website : www.wtmec.com The BEST Distribution Partner

  18. Slide 18: Thank You!

    Thank You! WT Microelectronics Website : www.wtmec.com The BEST Distribution Partner

WT Microelectronics — Q4 2023 Earnings Presentation on 6ix