MediaTek Inc. Reports First-Quarter Consolidated Results
MediaTek discloses Taiwan-International Financial Reporting Standards (TIFRS) financial measures and also provides Non-Taiwan-International Financial Reporting Standards (Non-TIFRS)Note1 financial measures as supplemental information. Non-TIFRS financial information should be considered in addition to, not as a substitute for, TIFRS financial information. Earnings distribution is made in accordance with financial statements based on TIFRS.
Taiwan-International Financial Reporting Standards (TIFRS) financial measures
-1Q25 consolidated revenue of NT$153,312 million, up 11.1% quarter-over-quarter and 14.9% year-over-year
-1Q25 consolidated gross margin of 48.1%, down 0.4 percentage points from the previous quarter and 4.3 percentage points year-over-year
-1Q25 consolidated operating income of NT$30,053 million, up 40.4% from the previous quarter and down 6.6% year-over-year
-1Q25 consolidated net income of NT$29,529 million, up 23.3% quarter-over-quarter and down 6.7% year-over-year; EPS of NT$18.43
Consolidated Revenue
MediaTek Inc. today announced financial results of its first quarter ended March 31, 2025. The first-quarter revenue was NT$153,312 million, up 11.1% quarter-over-quarter and 14.9% year-over-year. The quarter-over-quarter and year-over-year increases were mainly due to higher market demand and the structural mix enhancements driven by customers' increased adoption of AI, 5G and Wi-Fi 7 technologies.
Consolidated Gross Profit and Gross Margin
The first-quarter gross profit was NT$73,809 million, up 10.2% quarter-over-quarter and 5.6% year-over-year. Gross margin for the quarter was 48.1%, down 0.4 percentage points from the previous quarter and 4.3 percentage points year-over-year. The quarter-over-quarter decrease was mainly due to product mix changes. The year-over-year decrease was mainly due to a higher base in the year-ago quarter benefitted from a one-time item.
Consolidated Operating Expenses
Operating expenses for the quarter was NT$43,756 million (28.5% of revenue), compared with NT$45,589 million (33.0% of revenue) in the previous quarter and NT$37,721 million (28.3% of revenue) in the year-ago quarter. The quarter-over-quarter decrease was mainly due to higher year-end expenses in the previous quarter. The year-over-year increase was mainly due to higher R&D investments in the quarter.
Operating expenses for the quarter included:
- R&D expenses of NT$35,782 million (23.3% of revenue), decreased from NT$36,752 million in the previous quarter and increased from NT$31,147 million in the year-ago quarter.
- Selling expenses of NT$4,990 million (3.3% of revenue), decreased from NT$5,642 million in the previous quarter and increased from NT$3,754 million in the year-ago quarter.
- Administration expenses of NT$2,985 million (1.9% of revenue), decreased from NT$3,194 million in the previous quarter and increased from NT$2,820 million in the year-ago quarter.
Consolidated Operating Income and Operating Margin Operating income for the quarter was NT$30,053 million, up 40.4% sequentially and down 6.6% year-over-year. Operating margin for the quarter was 19.6%, up from 15.5% in the previous quarter and down from 24.1% in the year-ago quarter.
Consolidated Non-operating Income (loss) and Income Tax
Non-operating income for the quarter was NT$4,500 million, or 2.9% of revenue, mainly from interest income and dividend income. Income tax expense for the quarter was NT$5,024 million.
Consolidated Net Income, Net Profit Margin and EPS
Net income for the quarter was NT$29,529 million, up 23.3% sequentially and down 6.7% year-over-year. Net profit margin for the quarter was 19.3%, up from 17.3% in the previous quarter and down from 23.7% in the year-ago quarter. EPS was NT$18.43, up from NT$14.95 in the previous quarter and down from NT$19.85 in the year-ago quarter. The quarter-over-quarter increases in net income, net profit margin and EPS were mainly due to higher revenue in the quarter. The year-over-year decreases in net income, net profit margin and EPS were mainly due to a higher gross profit base in the year-ago quarter benefitted from a one-time item and higher R&D investments in the quarter.
Consolidated Cash and Financial Assets-Current
Cash and financial assets-current at the end of the quarter was NT$210,445 million. This represents 29.3% of the company's total assets. Cash and financial assets-current was NT$219,624 million and NT$159,767 million at the end of previous quarter and the year-ago quarter, respectively. Financial assets-current portfolio includes mutual funds, bonds, derivatives and so on.
Consolidated Accounts Receivable
Accounts receivable (net) at the end of the quarter was NT$79,152 million. The accounts receivable turnover was 37 days based on quarterly average net receivables divided by annualized net revenue. The turnover was higher than 30 days in the previous quarter and the same as the year-ago quarter.
Consolidated Inventory
Net inventory at the end of the quarter was NT$54,537 million. The inventory turnover was 65 days based on quarterly average inventory divided by annualized cost of goods sold. The turnover was lower than 73 days in the previous quarter and 66 days in the year-ago quarter.
Consolidated Cash Flow from Operations
Net cash provided by operating activities during the quarter was NT$13,423 million, compared with NT$44,685 million in the previous quarter and NT$25,204 million in the year-ago quarter.
Please refer to the link for financial tables.
Earnings Webcast
MediaTek will hold a public webcast today (April 30). Materials for the conference call will be published 30 minutes prior to the call and an audio replay will be available in one hour after the call at the investors section of MediaTek's website.
https://corp.mediatek.com/investor-relations/financial-information/quarterly-earnings
Schedule:
Date: Wednesday, April 30, 2025
Time: 3:00 - 4:00 p.m. (Taiwan Time)
Language: English
Webcast Links:
https://webpage-ott2b.cdn.hinet.net/webpage/live?contentProvider=mediatek
Investors who want to raise questions may use the toll number below.
Dial-in Number: +852-21121444 / +886-2-33961191
Password: 3819030#
About MediaTek Inc.
MediaTek Incorporated (TWSE: 2454) is a global fabless semiconductor company that enables nearly 2 billion connected devices a year. We are a market leader in developing innovative systems-on-chip (SoC) for mobile device, home entertainment, connectivity and IoT products. Our dedication to innovation has positioned us as a driving market force in several key technology areas, including highly power-efficient mobile technologies, automotive solutions and a broad range of advanced multimedia products such as smartphones, tablets, digital televisions, 5G, Voice Assistant Devices (VAD) and wearables. MediaTek empowers and inspires people to expand their horizons and achieve their goals through smart technology, more easily and efficiently than ever before. We work with the brands you love to make great technology accessible to everyone, and it drives everything we do. Visit www.mediatek.com for more information.