Gcs Holdings, Inc. · TPEX:4991
Gcs — Q4 2018 Earnings Presentation
21 slides from Gcs's earnings presentation, Mar 15, 2019
Slide 1: Q4 2018 Quarterly Online Investor Conference
環宇 芯系天下 March 3, 2016 Q4 2018 Quarterly Online Investor Conference (線上法說會) March 15, 2019
Slide 2: Disclaimer Statement
Disclaimer Statement This presentation includes forward-looking statements. All statements, other than statements of historical facts, that address activities, events or developments that GCS Holdings, Inc. expects or anticipates will or may occur in the future (including but not limited to projecti
Slide 3: Agenda
Agenda Opening: Brian Ann, CEO & President Financial Section: Grace Li, Director & Special Assistant to CEO Market Overview: Simon Yu, Senior VP and General Manager, Worldwide Sales & Marketing and Component Business Q&A: All 2
Slide 4: Financial Section
FINANCIAL SECTION 3
Slide 5: Statements of Comprehensive Income - QoQ
Statements of Comprehensive Income - QoQ (in NT$ thousands except EPS) 4Q18 4Q18 4Q18 3Q18 4Q17 Over Over 3Q18 4Q17 Net Operating Revenue 436,367 514,359 526,812 -15.2% -17.2% Gross Profit 179,877 247,314 236,957 -27.3% -24.1% Gross Margin 41.2% 48.1% 45.0% Operating Expenses (121,545) (129,046) (10
Slide 6: Non-operating Income and Expenses - QoQ
Non-operating Income and Expenses- QoQ (in NT$ thousands) 4Q18 4Q18 4Q18 3Q18 4Q17 Over Over 3Q18 4Q17 Other Income 2,642 1,173 1,257 125.2% 110.2% Other Gains and Losses Net Gain or (losses) on financial liabilities at fair value - - (19,196) - -100.0% through profit or loss Net currency exchange g
Slide 7: Statements of Comprehensive Income - YoY
Statements of Comprehensive Income - YoY (in NT$ thousands except EPS) 2018 % 2017 % Change (%) Net Operating Revenue 1,952,411 100.0% 1,925,832 100.0% 1.4% Operating Cost (1,054,699) -54.0% (1,029,929) -53.5% 2.4% Gross Profit 897,712 46.0% 895,903 46.5% 0.2% Operating Expenses (510,472) -26.1% (44
Slide 8: Non-operating Income and Expenses - YoY
Non-operating Income and Expenses- YoY (in NT$ thousands) 2018 2017 Change (%) Other Income 7,571 4,202 80.2% Other Gains and Losses Net Gain or (losses) on financial liabilities at fair value 2,322 (8,985) -125.8% through profit or loss Net currency exchange gain or (loss) 1,523 (28,043) -105.4% Ga
Slide 9: Balance Sheet Highlight & Key Indices
Balance Sheet Highlight & Key Indices Selected Items from Balance Sheet (in NT$ thousands) 4Q18 3Q18 4Q17 Amount % Amount % Amount % Cash and Cash Equivalent 1,512,863 44% 1,392,649 42% 1,119,712 38% Accounts Receivable and Notes Receivable 212,933 6% 282,434 9% 297,515 10% Inventory 330,694 10% 327
Slide 10: Cash Flows
Cash Flows (in NT$ thousands) 4Q18 3Q18 4Q17 Beginning Balance 1,392,649 1,365,587 1,102,027 Cash from Operating Activities 161,850 131,052 139,933 Acquisition of property, plant and equipment (39,269) (48,089) (36,105) Acquisition of Subsidiaries - (2,442) - Acquisition of intangible assets (2,079)
Slide 11: Revenue Mix % vs Gross Margin - QoQ
Revenue Mix % vs Gross Margin - QoQ 10
Slide 12: KGD Revenue Mix - QoQ
KGD Revenue Mix - QoQ KGD Revenue Analysis-By Application 70% 64% 53% 60% 50% 40% 30% 20% 10% 0% Qi Q2 Q3 Qa Qi Q2 Q3 a4 2017 2017 2017 2017 2018 2018 2018 2018 mDC/AOC m= PON m@ LTE/Ethernet and Other 11
Slide 13: Market Overview
MARKET OVERVIEW 12
Slide 14: 5G is Here!
5G is Here! 13
Slide 15: 5G in China
5G in China - 1/23/2019 5G第三阶段测试基本完成，基站与核心网设备达到预商用要求。 - 2019年将启动5G增强及毫米波技术研发试验等工作。 - 2019 中国将在若干个城市发放5G临时牌照，使大规模的组网 能够在部分城市和热点地区率先实现，同时加快推进终端的产业 化进程和网络建设，下半年还将用上诸如5G手机、5G iPad等商业产品。 - 2019 5.17世界电信日期间，可能会发5G临时牌照，5G正式牌 照有望2020年发放。 - 2019 1.31中国移动公布25G规模组网建设及应用示范工程 无线主设备租赁单一来源采购结果，华为、中兴等五大设备商中标。 - 野村中
Slide 16: More RF Components in 5G
More RF Components in 5G RF Component TAM RF Front-End BOM Estimates 15
Slide 17: 400G is Here!
400G is Here! - 2018 dip – ZTE, 100G volume up but deeper price erosion - 2019 back to 2017 level if trade war stops - 400G CWDM/DWDM starts deployment in 2019 including China - 10G-PON scale is still modest - Small scale of FTTH deployment continues around the world, except China - Higher priority
Slide 18: Customer Activities
Customer Activities Data Center momentum continuing – 100G in volume and 200G/400G starts production Major customers evaluating GCS 25G VCSEL (for 100G/200G/400G) In discussion with major customers on GaN 6” production for base stations SMART BAW process in final development with strategic c
Slide 19: Growth Strategies
Growth Strategies GaAs InP Broad & Advanced 2/3/ GaN Localized Strong 4” Fab + Large BAW Filters 6” Wafer Capacities: Technology SiC US Portfolio Strong Capacity 3D VCSEL Asia KGD ADAS Product PIC Portfolio 100G/200G/ 400G/800G Tier-1 & Broad Successful Tier-2 Consecutive Customers Track Customers B
Slide 20: Q&A
Qk&A 19
Slide 21: For further inquiry
環宇芯系天下 For further inquiry investors@gcsincorp.com 20