Slide 1: Fourth Quarter 2021 Earnings Release
ASE Technology Holding Fourth Quarter 2021 Earnings Release ASE Technology Holding Co., Ltd. February 10, 2022 1
Slide 2: Safe Harbor Notice
Safe Harbor Notice This presentation contains "forward-looking statements" within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. Although these forward-looking statements, which may
Slide 3: Consolidated Statements of Comprehensive Income - Quarterly
Consolidated Statements of Comprehensive Income Quarterly Comparison (unaudited) (NT$ Million) Q4 / 2021 % Q3 / 2021 % Q4 / 2020 % QoQ YoY Net Revenues: ATM 90,583 52.4% 88,791 58.9% 69,135 46.4% 2% 31% EMS 81,541 47.2% 61,116 40.6% 79,141 53.2% 33% 3% Others 812 0.4% 758 0.5% 601 0.4% 7% 35% Total
Slide 4: Consolidated Statements of Comprehensive Income - Yearly
Consolidated Statements of Comprehensive Income Yearly Comparison (unaudited) (NT$ Million) FY / 2021 % FY / 2020 % YoY Net Revenues: ATM 327,718 57.5% 270,095 56.6% 21% EMS 239,488 42.0% 204,691 42.9% 17% Others 2,791 0.5% 2,192 0.5% 27% Total Net Revenues 569,997 100.0% 476,978 100.0% 20% Gross Pr
Slide 5: ATM Statements of Comprehensive Income - Quarterly
ATM Statements of Comprehensive Income Quarterly Comparison (unaudited) (NT$ Million) Q4 / 2021 % Q3 / 2021 % Q4 / 2020 % QoQ YoY Net Revenues: Packaging 76,664 83.4% 75,221 83.5% 60,825 83.6% 2% 26% Testing 13,756 15.0% 13,416 14.9% 10,667 14.7% 3% 29% Direct Material 1,502 1.6% 1,429 1.6% 1,229 1.
Slide 6: ATM Statements of Comprehensive Income - Yearly
ATM Statements of Comprehensive Income Yearly Comparison (unaudited) (NT$ Million) FY / 2021 % FY / 2020 % YoY Net Revenues: Packaging 279,365 83.4% 228,574 81.5% 22% Testing 49,981 14.9% 47,277 16.9% 6% Direct Material 5,346 1.6% 4,314 1.5% 24% Others 113 0.1% 132 0.1% -14% Total Net Revenues 334,8
Slide 7: ATM Operations
ATM Operations (unaudited) NT$ Million 100,000 90,092 91,958 40% 78,988 80,000 71,820 72,752 73,767 25,741 69,516 24,714 66,209 30% 20,210 14,540 16,478 18,007 60,000 13,334 15,082 27.4% 28.0% 25.6% 24.4% 22.6% 20% 21.7% 40,000 20.1% 20.2% 10% 20,000 0 0% Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4
Slide 8: ATM Revenue by Application
ATM Revenue by Application (unaudited) 100% 31% 32% 33% 34% 36% 36% 34% 34% 80% 60% 15% 14% 14% 14% 15% 14% 14% 16% 40% 54% 54% 53% 52% 50% 50% 51% 50% 20% 0% Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21 Communication Computing Automotive, Consumer & Others 8
Slide 9: ATM Revenue by Type
ATM Revenue by Type (unaudited) 100% 2% 2% 1% 2% 2% 2% 2% 2% 17% 18% 17% 15% 15% 15% 15% 15% 80% 8% 9% 9% 8% 8% 8% Material 7% 7% Testing 60% 36% 35% 37% 39% 37% Discrete and 39% 40% 42% Other Wirebonding 40% Bump/FC/WLP /SiP 20% 38% 38% 37% 36% 38% 35% 34% 33% 0% Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21
Slide 10: EMS Operations
EMS Operations Quarterly/Yearly Comparison (unaudited) (NT$ Million) Q4 / 2021* % Q3 / 2021* % Q4 / 2020 % QoQ YoY EMS Net Revenues 81,544 100.0% 61,127 100.0% 79,149 100.0% 33% 3% Gross Profit 7,108 8.7% 5,883 9.6% 6,996 8.8% 21% 2% Operating Income (Loss) 3,599 4.4% 2,658 4.3% 3,463 4.4% 35% 4% (N
Slide 11: EMS Operations Revenue By Application
EMS Operations Revenue By Application (unaudited) 100% 1% 1% 1% 2% 2% 2% 1% 6% 3% 4% 3% 5% 5% 5% 4% 10% 9% 8% 11% 11% 14% 12% 16% 80% 28% 33% 40% 39% 33% 28% 33% 38% 60% 12% 4% 10% 40% 14% 6% 7% 10% 8% 20% 46% 40% 45% 36% 39% 39% 38% 38% 0% Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21 Communicati
Slide 12: Key Balance Sheet Items & Indices
Key Balance Sheet Items & Indices (unaudited) (NT$ Million) Dec. 31, 2021 Sept. 30, 2021 Cash and cash equivalent 76,073 53,419 Financial assets - current 3,075 4,133 Financial assets - non current & investments - equity method 23,260 20,915 Property, plant & equipment 239,867 252,384 Total assets 6
Slide 13: Equipment Capital Expenditure vs. EBITDA
Equipment Capital Expenditure vs. EBITDA (unaudited) US$ Million 2,000 1,871 1,800 China site 1,600 disposals: 1,400 US$625M 1,175 1,246 1,200 976 1,000 908 879 751 788 800 635 611 600 495 471 468 472 410 415 379 400 200 0 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21 Capex EBITDA 13
Slide 14: 2021 Recap
2021 Recap • 2021 revenues and margin improvement better than target • 2021 ATM revenues grew 26% year over year (all in USD terms), or 45% year over year excluding EAR-affected business • 2021 ATM GM was 26.5%, approaching historical peak levels of 27% • 2021 ASE consolidated revenues grew 26% year
Slide 15: 2022 Outlook (1/2)
2022 Outlook (1/2) • Revenues and margin improvement to continue in 2022 • Demands indicating a strong 2022 with another better-than-seasonal 1Q22, followed by quarter-to-quarter growth • Expect logic semiconductor industry to grow 5-10% year over year • Expect 2022 ATM revenues year over year growt
Slide 16: 2022 Outlook (2/2)
2022 Outlook (2/2) • Solid outlook for year 2022 and years beyond • Capacity and supply constraint will last beyond 2023 • Scale, technology leadership, flexibility and proven record make ASE an indispensable manufacturing partner • Customer long term service agreements in place through 2023 • IDM o
Slide 17: China Site Disposals
China Site Disposals • Deal closed on December 16, 2021 • Total consideration: US$1.46 billion • The disposed sites accounted for 7.6% of ATM revenues and 4.5% of consolidated revenues • The disposed sites generated around NT$0.79 of basic EPS in 2021 • Resource realignment to focus on the mega site
Slide 18: First Quarter 2022 Outlook
First Quarter 2022 Outlook* Based on our current business outlook and exchange rate assumptions, management projects overall performance for the first quarter of 2022 to be as follows: • On a pro forma basis, in US dollar terms, our ATM 1st quarter 2022 business will be impacted by 4% versus 4th qua
Slide 19: Thank You
Thank You w w w. a s e g l o b a l . c o m 19
Slide 20: Consolidated Statements of Comprehensive Income - Pro Forma Basis
Appendix 1 Consolidated Statements of Comprehensive Income Pro Forma Basis (unaudited) (NT$ Million) Q1/2021 % Q2/2021 % Q3/2021 % Q4/2021 % FY/2021 % Net Revenues: ATM 65,557 57.6% 70,919 58.8% 82,019 57.0% 83,805 50.4% 302,300 55.5% EMS 47,684 41.9% 49,147 40.7% 61,116 42.5% 81,541 49.1% 239,488 4
Slide 21: ATM Statements of Comprehensive Income - Pro Forma Basis
Appendix 2 ATM Statements of Comprehensive Income Pro Forma Basis (unaudited) (NT$ Million) Q1/2021 % Q2/2021 % Q3/2021 % Q4/2021 % FY/2021 % Net Revenues: Packaging 56,844 83.4% 60,716 83.5% 69,512 83.4% 70,942 83.3% 258,014 83.4% Testing 10,204 15.0% 10,656 14.6% 12,354 14.8% 12,700 14.9% 45,914 1
Slide 22: Consolidated Statements of Comprehensive Income
Appendix 3 Consolidated Statements of Comprehensive Income (unaudited) (NT$ Thousand) Q1/2021 Q2/2021 Q3/2021 Q4/2021 FY/2021 Revenues 119,469,784 126,926,346 150,664,816 172,936,186 569,997,132 COGS 97,583,415 102,122,197 119,880,851 140,041,892 459,628,355 PPA under COGS 1,024,525 933,946 931,880