Asustek Computer Inc. · TWSE:2357
Asustek Computer — Asustek Computer Inc Regs — Q4 2023 Earnings Presentation
26 slides from Asustek Computer's earnings presentation, Mar 16, 2024
Slide 1: ASUSTEK 4Q 2023 Investor Conference
ASUSTEK 4Q 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 • 4Q 2023 Financial Result • Strategy & Outlook • Q&A CONFIDENTIAL AND PROPRIETARY INFORMATION
Slide 4: 4Q 2023 Financial Result
4Q 2023 Financial Result
Slide 5: 2023 4Q Brand Income Statement
2023 4Q Brand Income Statement in NT$ Mn 2023 4Q 2023 3Q QoQ 2022 4Q YoY Net Revenue 111,943 126,236 -11% 117,359 -5% COGS (94,660) (104,305) -9% (107,768) -12% Gross Profit 17,283 21,932 -21% 9,591 80% Operating Expenses (14,943) (13,490) 11% (14,563) 3% Operating Profit 2,341 8,442 -72% (4,972) 14
Slide 6: 2023 4Q Non-OP Items
2023 4Q Non-OP Items in NT$ Mn 2023 4Q 2023 3Q QoQ 2022 4Q YoY Interest Income (net) 696 500 39% 184 279% Investment Income 605 446 36% 485 25% Askey (222) (66) -236% 149 -249% Others 827 512 62% 336 146% Exchange Gain/(Loss) 1,411 1,023 38% 369 283% Dividend Income 2,847 -100% - Other Income (net)
Slide 7: 2023 Brand Income Statement
2023 Brand Income Statement in NT$ Mn 2023 % 2022 % YoY Net Revenue 448,043 100.0% 493,466 100.0% -9% COGS (387,133) (86.4%) (430,522) (87.2%) -10% Gross Profit 60,910 13.6% 62,944 12.8% -3% Operating Expenses (52,561) (11.7%) (52,818) (10.7%) 0% Operating Profit 8,349 1.9% 10,127 2.1% -18% Non-OP I
Slide 8: 2023 4Q Brand Balance Sheet
2023 4Q Brand Balance Sheet in NT$ Mn Dec 31, 2023 Sep 30, 2023 QoQ Dec 31, 2022 YoY Cash & equivalents 66,399 58,407 14% 60,949 9% Accounts receivable 81,519 96,826 -16% 83,763 -3% Inventories 116,388 120,296 -3% 132,773 -12% Current Assets 278,975 290,896 -4% 289,799 -4% Long-term investments 122,
Slide 9: 4Q 2023 Revenue Mix
4Q 2023 Revenue Mix Product Region Americas EURP Component 26% 36% 40% PC 59% ASIA 38% Phone 1% 9
Slide 10: 2023 Revenue Mix
2023 Revenue Mix Product Region Americas EURP Component 23% 32% 36% 32% PC 63% 67% ASIA 45% Phone 1% 10
Slide 11: 1Q 2024 Business Outlook
1Q 2024 Business Outlook • PC QoQ -10% • Component QoQ +15~25% 11
Slide 12: Strategy & Outlook
JUS _INSEARCH OF INCREDIBLE Strategy & Outlook
Slide 13: Executive Summary
Executive Summary 2023 2024 & Beyond Back to the right track Multiple growth drivers Operation alignment Comprehensive AI Transformation Strengthen talents and resources Leadership in AI devices and solutions Invest in growth initiatives Growth cycle starts in 2H 2024 13
Slide 14: Execution Strategy
Execution Strategy System Leading the gaming and consumer PC market, we're dedicated to R&D and innovation, with the goal of becoming the top brand in Products AI PCs. Open Platform Consolidating our market leadership with premier R&D and innovation, while steadily investing in our server business t
Slide 15: AI PC
AI PC AI PC leadership • Innovation capability & user recognition • Design thinking • Multiple silicon solutions and partnerships AI PC purpose • Personalized AI assistant • Productivity leap forward • A new era of work Outlook • AI PC upgrade cycle for multiple years • Deliver stronger growth and e
Slide 16: AI Server
AI Server AI Server expansion plan • Talent and resources • In-house capacity (in process) • Trust with vendor and customer • Multiple silicon solution capability Outlook • 5X revenue in 5 years (2022 base) • Outpacing targets in 1H 2024 16
Slide 17: ASUS to lead AI product upgrade cycle
ASUS to lead AI product upgrade cycle Robust and diverse Time to Innovation Design thinking Partnerships AI model AI OS AI application AI enabled process Ecosystem Silicon Component System Solution A fast evolving industry • Multiple silicon platforms & diverse product cycles • Accelerated product u
Slide 18: Powering the next generation of computing
Powering the next generation of computing AI Server Platform Service On-premise Solutions AI at the Edge AI on the PC HPC Infrastructure AIHPC as a Service Turn-key Solution Enabling Real-time Insights Redefining the PC with AI for Enterprise GAI Technology Capabilities & A True Total Solutions Prov
Slide 19: Growth Enterprise Transformation
Growth Enterprise Transformation Multiple Drivers Commercial PC AIoT, Server, AI Server, AIHPC Enterprise * 2X * 5X ~ 10% Gaming PC, Graphics Card ROG Ally Gamer ~ 50% Robust Growth AI PC, Motherboard ProArt Creator Consumer ~ 40% Innovation Brand Position of 2023 revenue & Product Leadership
Slide 20: System Business Group
System Business Group 23Q4 Revenue Gaming NB Leadership Solid Gaming PC Revenue Growth 25~30% - 10~15% YoY 2023 Q4 Performance No.1 >20% CAGR Market Share • ASUS One PC Strategy: topnotch PC brand leader in both brand position and market share Business • Worldwide No. 1 gaming NB market share, conti
Slide 21: Open Platform Business Group
Open Platform Business Group 23Q4 Revenue Motherboard Revenue Growth Graphics Card Revenue Growth +10~15% YoY -5~10% YoY ~ +20% YoY 2023 Q4 Performance • Strengthened our leadership in motherboards and graphics cards, with No.1 market share Business • Commercial motherboard revenue +23% YoY, worksta
Slide 22: Server Business
Server Business 2023 Revenue AI Server Proportion Consistent Growth in >50% YoY Server Business 2023 Q4 >40% CAGR Performance Business • Server business revenue grew >50% in 2023, driven by the robust demand for AI servers Highlights • ASUS is well-prepared to capture the AI opportunities in hybrid
Slide 23: AIoT Business Group
AIoT Business Group 2023 Revenue Drive Smart Healthcare 4.0, integrating cutting-edge AI technology into digital +25~30% YoY healthcare solutions 2023 Q4 Performance • Our new NUC product lines have begun to contribute to revenue, enhancing our offerings in the gaming, Business prosumer, commercial
Slide 24: Leadership Diversity Innovation
• ROG unveils award-winning products at CES 2024, including 20 accolades for ROG Zephyrus laptops and 17 for the ROG Phone 8. LEADERSHIP • No.1 market share in gaming laptop category (Dec. 24). • ROG transcends what is deemed possible with the latest laptops and gaming gear, the new ROG Phone 8 and
Slide 25: Climate leadership in 2024
Climate leadership in 2024 ASUS’s second consecutive inclusion in the list, CLEAN200 ranked among top 25 in the 2024 Clean200 index , Corporate Knight recongized for its clean revenue driven by eco- friendly solutions. Listed in leadership band by CDP 2023 for its climate change disclosures and supp
Slide 26: Q&A
JUS _INSEARCH OF INCREDIBLE Q&A
Asustek Computer Inc Regs — Q4 2023 Earnings Presentation on 6ix