Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2022 shares | |
Document Information [Line Items] | |
Document Type | 20-F |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2022 |
Document Fiscal Year Focus | 2022 |
Document Fiscal Period Focus | FY |
Entity File Number | 000-51847 |
Entity Registrant Name | Himax Technologies, Inc. |
Entity Incorporation, State or Country Code | E9 |
Entity Address, Address Line One | NO. 26, ZIH LIAN ROAD |
Entity Address, Address Line Two | SINSHIH DISTRICT |
Entity Address, Postal Zip Code | 74148 |
Entity Address, City or Town | TAINAN CITY |
Entity Address, Country | TW |
Entity Central Index Key | 0001342338 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Voluntary Filers | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Trading Symbol | HIMX |
Entity Common Stock, Shares Outstanding | 348,833,050 |
Document Accounting Standard | International Financial Reporting Standards |
Entity Shell Company | false |
Entity Emerging Growth Company | false |
Title of 12(b) Security | Ordinary Shares, par value $0.3 per ordinary share |
Security Exchange Name | NASDAQ |
ICFR Auditor Attestation Flag | false |
Auditor Name | KPMG |
Auditor Firm ID | 1026 |
Auditor Location | Hsinchu, Taiwan |
Business Contact | |
Document Information [Line Items] | |
Entity Address, Address Line One | No. 15, Zih Lian Road |
Entity Address, Address Line Two | Sinshih District |
Entity Address, Postal Zip Code | 74148 |
Entity Address, City or Town | Tainan City |
Entity Address, Country | TW |
Contact Personnel Name | Jessica Pan |
City Area Code | 886 |
Local Phone Number | 6-505-0880 |
Contact Personnel Email Address | jessica_pan@himax.com.tw |
Contact Personnel Fax Number | +886-6-507-0038 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 221,581 | $ 336,024 |
Financial assets at amortized cost | 8,314 | 26,013 |
Financial assets at fair value through profit or loss | 0 | 2,345 |
Accounts receivable, net (including related parties) | 261,148 | 410,211 |
Inventories | 370,933 | 198,600 |
Income taxes receivable | 31 | 54 |
Restricted deposit | 369,300 | 154,100 |
Other receivable from related parties | 1,224 | 1,217 |
Other current assets | 104,277 | 64,280 |
Total current assets | 1,336,808 | 1,192,844 |
Financial assets at fair value through profit or loss | 15,350 | 13,668 |
Financial assets at fair value through other comprehensive income | 279 | 410 |
Equity method investments | 6,533 | 3,302 |
Property, plant and equipment, net | 126,138 | 133,236 |
Deferred tax assets | 11,797 | 7,191 |
Goodwill | 28,138 | 28,138 |
Other intangible assets, net | 1,094 | 6,617 |
Restricted deposit | 32 | 36 |
Refundable deposits | 162,968 | 199,982 |
Other non-current assets | 12,621 | 17,770 |
Total non current assets | 364,950 | 410,350 |
Total assets | 1,701,758 | 1,603,194 |
Current liabilities: | ||
Current portion of long-term unsecured borrowings | 6,000 | 6,000 |
Short-term secured borrowings | 369,300 | 151,400 |
Accounts payable (including related parties) | 122,042 | 248,425 |
Income taxes payable | 69,383 | 96,552 |
Other payable to related parties | 2,568 | 1,641 |
Contract liabilities-current | 49,167 | 37,663 |
Other current liabilities | 75,535 | 59,544 |
Total current liabilities | 693,995 | 601,225 |
Long-term unsecured borrowings | 40,500 | 46,500 |
Deferred tax liabilities | 691 | 965 |
Contract liabilities-non-current | 0 | 10,221 |
Other non-current liabilities | 72,751 | 72,301 |
Total liabilities | 807,937 | 731,212 |
Equity | ||
Ordinary shares | 107,010 | 107,010 |
Additional paid-in capital | 112,249 | 108,841 |
Treasury shares | (5,594) | (5,761) |
Accumulated other comprehensive income | (218) | (666) |
Retained earnings | 679,125 | 660,300 |
Equity attributable to owners of Himax Technologies, Inc. | 892,572 | 869,724 |
Noncontrolling interests | 1,249 | 2,258 |
Total equity | 893,821 | 871,982 |
Total liabilities and equity | $ 1,701,758 | $ 1,603,194 |
Consolidated Statements of Prof
Consolidated Statements of Profit or Loss - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenues: | |||
Revenues from third parties, net | $ 1,201,124 | $ 1,546,972 | $ 887,282 |
Revenues from related parties, net | 215 | 125 | 0 |
Total revenues | 1,201,339 | 1,547,097 | 887,282 |
Costs and expenses: | |||
Cost of revenues | 714,233 | 798,519 | 666,501 |
Research and development | 175,557 | 151,386 | 122,265 |
General and administrative | 28,503 | 29,281 | 23,915 |
Reversal of credit losses | 0 | (190) | 0 |
Sales and marketing | 25,459 | 23,080 | 16,675 |
Total costs and expenses | 943,752 | 1,002,076 | 829,356 |
Operating income | 257,587 | 545,021 | 57,926 |
Non operating income (loss): | |||
Interest income | 4,813 | 876 | 967 |
Changes in fair value of financial assets at fair value through profit or loss | 1,246 | (284) | 472 |
Foreign currency exchange gains (losses), net | 5,506 | 1,096 | (327) |
Finance costs | (2,783) | (1,074) | (1,705) |
Share of losses of associates | (743) | (1,392) | (638) |
Other income | 10,939 | 349 | 177 |
Total non operating income (loss) | 18,978 | (429) | (1,054) |
Profit before income taxes | 276,565 | 544,592 | 56,872 |
Income tax expense | 41,098 | 110,657 | 11,712 |
Profit for the year | 235,467 | 433,935 | 45,160 |
Loss attributable to noncontrolling interests | 1,515 | 2,961 | 1,974 |
Profit attributable to Himax Technologies, Inc. stockholders | $ 236,982 | $ 436,896 | $ 47,134 |
Basic earnings per ordinary share attributable to Himax Technologies, Inc. stockholders | $ 0.68 | $ 1.25 | $ 0.14 |
Diluted earnings per ordinary share attributable to Himax Technologies, Inc. stockholders | 0.68 | 1.25 | 0.14 |
Basic earnings per ADS attributable to Himax Technologies, Inc. stockholders | 1.36 | 2.50 | 0.27 |
Diluted earnings per ADS attributable to Himax Technologies, Inc. stockholders | $ 1.36 | $ 2.50 | $ 0.27 |
Consolidated Statements of Othe
Consolidated Statements of Other Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consolidated Statements of Other Comprehensive Income | |||
Profit for the year | $ 235,467 | $ 433,935 | $ 45,160 |
Items that will not be reclassified to profit or loss: | |||
Remeasurements of defined benefit pension plans | 684 | 165 | (214) |
Unrealized gain (loss) on financial assets at fair value through other comprehensive income | 152 | (181) | 65 |
Income tax related to items that will not be reclassified subsequently | (107) | (27) | 38 |
Items that may be reclassified subsequently to profit or loss: | |||
Foreign operations - foreign currency translation differences | (157) | (72) | 556 |
Other comprehensive income for the year, net of tax | 572 | (115) | 445 |
Total comprehensive income for the year | 236,039 | 433,820 | 45,605 |
Total comprehensive income attributable to noncontrolling interests | 1,391 | 2,958 | 1,933 |
Total comprehensive income attributable to Himax Technologies, Inc. stockholders | $ 237,430 | $ 436,778 | $ 47,538 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Ordinary shares [Member] | Additional paid-in capital [Member] | Treasury shares | Accumulated other comprehensive income | Retained earnings [Member] | Total | Noncontrolling interests | Total |
Balance at Dec. 31, 2019 | $ 107,010 | $ 105,150 | $ (8,764) | $ (952) | $ 230,543 | $ 432,987 | $ (1,743) | $ 431,244 |
Balance (in shares) at Dec. 31, 2019 | 356,700,000 | (12,332,000) | ||||||
Statement [line items] | ||||||||
Profit (loss) for the year | 47,134 | 47,134 | (1,974) | 45,160 | ||||
Other comprehensive income | 404 | 404 | 41 | 445 | ||||
Total comprehensive income for the year | 404 | 47,134 | 47,538 | (1,933) | 45,605 | |||
Contributions by and distributions to owners | ||||||||
Share-based compensation expenses | 755 | 755 | 8 | 763 | ||||
Restricted stock vested | (11) | $ 11 | ||||||
Restricted stock vested (in shares) | 16,000 | |||||||
Employee stock options exercised | 1,408 | $ 2,237 | 3,645 | 3,645 | ||||
Employee stock options exercised (in shares) | 3,150,000 | |||||||
Aggregate of contribution by and distribution to owners | 2,152 | $ 2,248 | 4,400 | 8 | 4,408 | |||
Aggregate of contribution by and distribution to owners (in shares) | 3,166,000 | |||||||
Changes in ownership interests | ||||||||
New shares issued by subsidiary | (34) | (4,740) | (4,774) | 8,695 | 3,921 | |||
Dilution gain of equity method investment | 25 | 25 | 25 | |||||
Declaration of cash dividends by subsidiary | (4) | (4) | ||||||
Aggregate of changes in ownership interests | (9) | (4,740) | (4,749) | 8,691 | 3,942 | |||
Balance at Dec. 31, 2020 | $ 107,010 | 107,293 | $ (6,516) | (548) | 272,937 | 480,176 | 5,023 | 485,199 |
Balance (in shares) at Dec. 31, 2020 | 356,700,000 | (9,166,000) | ||||||
Statement [line items] | ||||||||
Profit (loss) for the year | 436,896 | 436,896 | (2,961) | 433,935 | ||||
Other comprehensive income | (118) | (118) | 3 | (115) | ||||
Total comprehensive income for the year | (118) | 436,896 | 436,778 | (2,958) | 433,820 | |||
Contributions by and distributions to owners | ||||||||
Declaration of cash dividends | (47,404) | (47,404) | (47,404) | |||||
Share-based compensation expenses | 662 | 662 | 38 | 700 | ||||
Restricted stock vested | (10) | $ 10 | ||||||
Restricted stock vested (in shares) | 15,000 | |||||||
Employee stock options exercised | 499 | $ 745 | 1,244 | 1,244 | ||||
Employee stock options exercised (in shares) | 1,049,000 | |||||||
Aggregate of contribution by and distribution to owners | 1,151 | $ 755 | (47,404) | (45,498) | 38 | (45,460) | ||
Aggregate of contribution by and distribution to owners (in shares) | 1,064,000 | |||||||
Changes in ownership interests | ||||||||
Purchase of subsidiaries shares from noncontrolling interest | (1,789) | (1,789) | 175 | (1,614) | ||||
Dilution gain of equity method investment | 397 | (340) | 57 | 57 | ||||
Declaration of cash dividends by subsidiary | (20) | (20) | ||||||
Aggregate of changes in ownership interests | 397 | (2,129) | (1,732) | 155 | (1,577) | |||
Balance at Dec. 31, 2021 | $ 107,010 | 108,841 | $ (5,761) | (666) | 660,300 | 869,724 | 2,258 | 871,982 |
Balance (in shares) at Dec. 31, 2021 | 356,700,000 | (8,102,342) | ||||||
Statement [line items] | ||||||||
Profit (loss) for the year | 236,982 | 236,982 | (1,515) | 235,467 | ||||
Other comprehensive income | 448 | 448 | 124 | 572 | ||||
Total comprehensive income for the year | 448 | 236,982 | 237,430 | (1,391) | 236,039 | |||
Contributions by and distributions to owners | ||||||||
Declaration of cash dividends | (217,873) | (217,873) | (217,873) | |||||
Share-based compensation expenses | 2,664 | 2,664 | 140 | 2,804 | ||||
Restricted stock vested | (167) | $ 167 | ||||||
Restricted stock vested (in shares) | 236,000 | |||||||
Aggregate of contribution by and distribution to owners | 2,497 | $ 167 | (217,873) | (215,209) | 140 | (215,069) | ||
Aggregate of contribution by and distribution to owners (in shares) | 236,000 | |||||||
Changes in ownership interests | ||||||||
New shares issued by subsidiary | 115 | 115 | 445 | 560 | ||||
Dilution gain of equity method investment | 796 | 796 | 796 | |||||
Effect of Himax Media Solutions, Inc. merged into Himax Taiwan | (104) | (104) | (197) | (301) | ||||
Disposal of financial assets at fair value through other comprehensive income | (180) | (180) | (6) | (186) | ||||
Aggregate of changes in ownership interests | 911 | (284) | 627 | 242 | 869 | |||
Balance at Dec. 31, 2022 | $ 107,010 | $ 112,249 | $ (5,594) | $ (218) | $ 679,125 | $ 892,572 | $ 1,249 | $ 893,821 |
Balance (in shares) at Dec. 31, 2022 | 356,700,000 | (7,866,432) |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Equity (Parenthetical) - $ / shares | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Consolidated Statements of Changes in Equity | ||
Declaration of cash dividends per share | $ 0.625 | $ 0.136 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities: | |||
Profit for the year | $ 235,467 | $ 433,935 | $ 45,160 |
Adjustments for: | |||
Depreciation and amortization | 21,342 | 21,342 | 23,596 |
Reversal of credit losses recognized on accounts receivable | 0 | (190) | 0 |
Gain on disposal of subsidiary | (10,694) | 0 | 0 |
Share-based compensation expenses | 3,096 | 700 | 763 |
Gains on disposal of property, plant and equipment, net | 0 | (147) | (244) |
Changes in fair value of financial assets at fair value through profit or loss | (1,246) | 284 | (472) |
Interest income | (4,813) | (876) | (967) |
Finance costs | 2,783 | 1,074 | 1,705 |
Income tax expense | 41,098 | 110,657 | 11,712 |
Share of losses of associates | 743 | 1,392 | 638 |
Inventories write downs | 22,211 | 9,448 | 11,919 |
Unrealized foreign currency exchange gains | (2,883) | (953) | (239) |
cash flows from operating activities before changes in operating Capital | 307,104 | 576,666 | 93,571 |
Changes in: | |||
Accounts receivable (including related parties) | 146,870 | (166,395) | (78,297) |
Inventories | (194,544) | (99,341) | 24,772 |
Other receivable from related parties | (7) | (17) | 0 |
Other current assets | 10,099 | (7,633) | (2,881) |
Other non-current assets | 0 | (19,460) | 0 |
Accounts payable (including related parties) | (124,870) | 74,954 | 57,335 |
Other payable to related parties | 927 | (931) | 352 |
Contract liabilities | 1,283 | 41,262 | 4,720 |
Other current liabilities | 1,831 | 13,736 | 1,134 |
Other non-current liabilities | 3,972 | (4,697) | 5,350 |
Cash generated from operating activities | 152,665 | 408,144 | 106,056 |
Interest received | 4,525 | 852 | 1,066 |
Interest paid | (2,783) | (1,074) | (1,811) |
Income tax paid | (71,499) | (19,646) | (2,701) |
Net cash provided by operating activities | 82,908 | 388,276 | 102,610 |
Cash flows from investing activities: | |||
Acquisitions of property, plant and equipment | (11,797) | (7,562) | (5,786) |
Proceeds from disposal of property, plant and equipment | 0 | 0 | 249 |
Acquisitions of intangible assets | (331) | (468) | (87) |
Acquisitions of financial assets at amortized cost | (8,763) | (25,362) | (3,829) |
Proceeds from disposal of financial assets at amortized cost | 25,823 | 8,011 | 6,735 |
Acquisitions of financial assets at fair value through profit or loss | (108,374) | (23,417) | (19,743) |
Proceeds from disposal of financial assets at fair value through profit or loss | 110,283 | 29,141 | 12,068 |
Proceeds from disposal of subsidiary | 14,769 | 0 | 0 |
Proceeds from disposal of financial assets at fair value through other comprehensive income | 96 | 0 | 0 |
Acquisition of a subsidiary, net of cash acquired | 0 | 0 | 1,302 |
Proceeds from capital reduction of investment | 0 | 151 | 32 |
Acquisitions of equity method investments | (3,264) | (598) | (792) |
Increase in refundable deposits | (6,144) | (213,056) | (13,992) |
Releases (pledges) of restricted deposit | 2,700 | (2,595) | (8) |
Cash received in advance from disposal of land | 0 | 3,075 | 1,486 |
Net cash provided by (used in) investing activities | 14,998 | (232,680) | (22,365) |
Cash flows from financing activities: | |||
Payments of cash dividends | (217,873) | (47,424) | (4) |
Proceeds from issuance of new shares by subsidiaries | 487 | 0 | 884 |
Purchases of subsidiary shares from noncontrolling interests | (301) | (1,627) | 0 |
Proceeds from short-term unsecured borrowings | 0 | 15,000 | 208,137 |
Repayments of short-term unsecured borrowings | 0 | (15,000) | (265,355) |
Proceeds from long-term unsecured borrowings | 40,000 | 0 | 60,000 |
Repayments of long-term unsecured borrowings | (46,000) | (6,000) | (1,500) |
Proceeds from short-term secured borrowings | 1,212,700 | 611,600 | 278,000 |
Repayments of short-term secured borrowings | (994,800) | (564,200) | (338,000) |
Release (pledge) of restricted deposit | (217,900) | (47,400) | 60,000 |
Payment of lease liabilities | (4,294) | (4,668) | (2,608) |
Guarantee deposits received | 16,913 | 54,050 | 0 |
Proceeds from exercise of employee stock options | 0 | 1,182 | 3,707 |
Net cash provided by (used in) financing activities | (211,068) | (4,487) | 3,261 |
Effect of foreign currency exchange rate changes on cash and cash equivalents | (1,281) | (23) | 377 |
Net increase (decrease) in cash and cash equivalents | (114,443) | 151,086 | 83,883 |
Cash and cash equivalents at beginning of year | 336,024 | 184,938 | 101,055 |
Cash and cash equivalents at end of year | $ 221,581 | $ 336,024 | $ 184,938 |
Reporting entity
Reporting entity | 12 Months Ended |
Dec. 31, 2022 | |
Reporting entity | |
Reporting entity | Note 1. Reporting entity Himax Technologies Limited, an exempted company with limited liability under the Cayman Islands Companies Law, was incorporated on April 26, 2005 and changed the name to “Himax Technologies, Inc.” on September 26, 2005. Since March 2006, Himax Technologies, Inc.’s ordinary shares have been quoted on the NASDAQ Global Select Market under the symbol “HIMX” in the form of ADSs and two ordinary shares represent one ADS with effect from August 10, 2009. The registered office in the Cayman Islands is located at Cricket Square, Hutchins Drive, P.O. Box 2681, Grand Cayman KY1-1111, Cayman Islands. The principal executive office is located at No. 26, Zih Lian Road, Sinshih District, Tainan City 74148, Taiwan, Republic of China. The principal operating activities of Himax Technologies, Inc. and subsidiaries (collectively, the Company) are described in Note 4(b). |
Basis of preparation
Basis of preparation | 12 Months Ended |
Dec. 31, 2022 | |
Basis of preparation | |
Basis of preparation | Note 2. Basis of preparation (a) Statement of compliance The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) as issued by the International Accounting Standards Board (“IASB”). The consolidated financial statements were authorized for issuance by the Board of Directors on April 6, 2023. (b) Basis of measurement The consolidated financial statements have been prepared on the historical cost basis except for the following material items in the statement of financial position: 1. Financial assets at fair value through profit or loss; 2. Financial assets at fair value through other comprehensive income; 3. The defined benefit liability (asset) is recognized as the fair value of the plan assets less the present value of the defined benefit obligation. |
Application of new and revised
Application of new and revised IFRS as issued by the IASB | 12 Months Ended |
Dec. 31, 2022 | |
Application of new and revised IFRS as issued by the IASB | |
Application of new and revised IFRS as issued by the IASB | Note 3. Application of new and revised IFRS as issued by the IASB a. Amendments to IFRSs and the new interpretation that are mandatorily effective for the current year Effective Date New, Revised or Amended Standards and Interpretations Announced by IASB Amendments to IFRS 3 "Reference to the Conceptual Framework" January 1, 2022 Amendments to IAS 16 "Property, Plant and Equipment-Proceeds before Intended Use" January 1, 2022 Amendments to IAS 37 "Onerous Contracts-Cost of Fulfilling a Contract" January 1, 2022 Annual Improvements to IFRS Standards 2018-2020 January 1, 2022 The Company believes that the adoption of the above IFRSs did not have a material impact on its consolidated financial statements. b. New and revised standards, amendments and interpretations in issue but not yet effective In preparing the accompanying consolidated financial statements, the Company has not adopted the following International Financial Reporting Standards (“IFRS”), International Accounting Standards (“IAS”), Interpretations developed by the International Financial Reporting Interpretations Committee (“IFRIC”) or the former Standing Interpretations Committee (“SIC”) issued by the International Accounting Standards Board (“IASB”) (collectively, “IFRSs”). Effective Date New, Revised or Amended Standards and Interpretations Announced by IASB Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture” Effective date to be determined by IASB IFRS16 "Requirements for Sale and Leaseback Transactions" January 1, 2024 Amendments to IAS 1 “Classification of Liabilities as Current or Non-current” January 1, 2024 Amendments to IAS 1 "Non-current Liabilities with Covenants" January 1, 2024 IFRS 17 "Insurance Contracts" January 1, 2023 Amendments to IFRS 17 “Insurance Contracts” January 1, 2023 Amendments to IFRS 17 "Initial Application of IFRS 17 and IFRS 9 - Comparative Information" January 1, 2023 Amendments to IAS 1 “Disclosure of Accounting Policies” January 1, 2023 Amendments to IAS 8 “Definition of Accounting Estimates” January 1, 2023 Amendments to IAS 12 “Deferred Tax related to Assets and Liabilities arising from a Single Transaction” January 1, 2023 As of the date of the consolidated financial statements were authorized for issue, the Company continues in assessing other possible impacts that application of the abovementioned amendments will have on the Company’s financial position and financial performance and will disclose these other impacts when the assessment is completed. |
Significant accounting policies
Significant accounting policies | 12 Months Ended |
Dec. 31, 2022 | |
Significant accounting policies | |
Significant accounting policies | Note 4. Significant accounting policies The significant accounting policies applied in the preparation of these consolidated financial statements are set out as below. The accounting policies set out below have been applied consistently to all periods presented in these consolidated financial statements, except if mentioned otherwise. The accounting policies have been applied consistently by consolidated entities. (a) Basis of Consolidation The accompanying consolidated financial statements include the accounts and operations of Himax Technologies, Inc. and its majority owned subsidiaries and entities that it has a controlling financial interest. All significant intercompany balances and transactions have been eliminated in consolidation. (b) List of Subsidiaries in the Consolidated Financial Statements Following is general information about Himax Technologies, Inc.’s subsidiaries: Percentage of Ownership Jurisdiction of December 31, December 31, Investor Subsidiary Main activities Incorporation 2021 2022 Himax Technologies, Inc. Himax Technologies Limited ("Himax Taiwan") IC design and sales ROC 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Korea Ltd. IC design and sales South Korea 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Japan Ltd. Sales Japan 100.00 % 100.00 % Himax Technologies, Inc. Himax Semiconductor (Hong Kong) Limited Investments Hong Kong 100.00 % 100.00 % Himax Technologies Limited Himax Technologies (Samoa), Inc. Investments Samoa 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Suzhou) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Shenzhen) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies Limited Himax Display, Inc. LCoS and MEMS design, manufacturing and sales ROC 83.54 % 83.54 % Himax Display, Inc. Integrated Microdisplays Limited LCoS design Hong Kong 83.54 % 83.54 % Himax Display, Inc. Himax Display (USA) Inc. LCoS and MEMS design, sales and technical support Delaware, USA 83.54 % 83.54 % Himax Technologies Limited Himax Analogic, Inc. IC design and sales ROC 98.62 % 98.62 % Himax Technologies, Inc. Himax Imaging, Inc. Investments Cayman Islands 100.00 % 100.00 % Himax Technologies Limited Himax Imaging, Ltd. ("Imaging Taiwan") IC design and sales ROC 98.42 % 98.42 % Himax Imaging, Ltd. Himax Imaging Corp. IC design California, USA 98.42 % 98.42 % Himax Technologies Limited Himax Media Solutions, Inc. (1) ASIC service ROC 99.22 % — Himax Technologies Limited Harvest Investment Limited Investments ROC 100.00 % 100.00 % Himax Technologies Limited Liqxtal Technology Inc. LC Lens design and sales ROC 67.49 % 62.26 % Himax Technologies Limited Himax IGI Precision Ltd. 3D micro and nano structure mastering and prototype replication Delaware, USA 100.00 % 100.00 % Himax Technologies Limited Emza Visual Sense Ltd. (2) Visual sensors and efficient machine vision algorithm Israel 100.00 % — Himax Technologies Limited CM Visual Technology Corp. Omniwide film products design and sales ROC 66.71 % 66.71 % Note (1): For management purpose, Himax Media Solutions, Inc. was merged into Himax Technologies Limited on May 3, 2022. Note (2): On October 25, 2022, Himax Technologies Limited disposed its 100% shareholdings in Emza Visual Sense Ltd. (“EMZA”). Refer to Note 6 for further details. Principal Activities The Company is a fabless semiconductor solution provider dedicated to display imaging processing technologies. The Company is a worldwide market leader in display driver ICs and timing controllers used in TVs, laptops, monitors, mobile phones, tablets, automotive, digital cameras, car navigation, virtual reality (VR) devices and many other consumer electronics devices. Additionally, the Company designs and provides controllers for touch sensor displays, in-cell Touch and Display Driver Integration (TDDI) single-chip solutions, AMOLED ICs, LED driver ICs, power management ICs and LCoS micro-displays for augmented reality (AR) devices and heads-up displays (HUD) for automotive. The Company also offers CMOS image sensors, wafer level optics for AR devices, 3D sensing and ultralow power WiseEye smart image sensing, which are used in a wide variety of applications such as mobile phone, tablet, laptop, TV, PC camera, automobile, security, medical devices, home appliance, AIoT, etc. (c) Foreign Currency The reporting currency of the Company is the United States dollar (USD). The functional currency for the Company and its major operating subsidiaries is the USD. Accordingly, the assets and liabilities of subsidiaries whose functional currency is other than the USD are included in the consolidation by translating the assets and liabilities into the reporting currency (the USD) at the exchange rates applicable at the end of the reporting period. Equity accounts are translated at historical rates. The statements of profit or loss and cash flows are translated at the average exchange rates at the date of transaction. Translation gains or losses are accumulated as a separate component of equity in accumulated other comprehensive income. (d) Classification of Current and Noncurrent Assets and Liabilities Current assets are assets held for trading purposes and assets expected to be converted to cash, sold or consumed within one year from the end of the reporting period. Current liabilities are obligations incurred for trading purposes and obligations expected to be settled within one year from the end of the reporting period. Assets and liabilities that are not classified as current are noncurrent assets and liabilities, respectively. (e) Cash and Cash Equivalents Cash comprise cash balances and demand deposits. Cash equivalents comprise short-term highly liquid investments that are readily convertible into known amounts of cash and are subject to an insignificant risk of changes in their fair value. Deposits with an original maturity of three months or less at the time of purchase but not for investments and other purposes and are qualified with the aforementioned criteria are classified as cash equivalent. (f) Financial Instruments The Company shall recognize a financial asset or a financial liability in its statement of financial position when, and only when, the Company becomes party to the contractual provisions of the instrument. A regular way purchase or sale of financial assets shall be recognized and derecognized, as applicable, using trade date accounting. 1. Financial Assets (i) Classification of financial assets The classification of financial assets depends on the nature and purpose of the financial assets and is determined at the time of initial recognition. Financial assets are classified into the following categories: measured at amortized cost, measured at fair value through other comprehensive income (FVTOCI) and measured at fair value through profit or loss (FVTPL). The classification of financial assets is generally based on the business model in which a financial asset is managed and its contractual cash flow characteristics. When, and only when, the Company changes its business model for managing financial assets it shall reclassify all affected financial assets. i. Financial assets measured at amortized cost A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as measured at fair value through profit or loss: (i) the asset held within a business model whose objective is to hold assets to collect contractual cash flows; and (ii) the contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Financial assets measured at amortized cost are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. ii. Financial assets measured at fair value through other comprehensive income (FVTOCI) On initial recognition of an equity investment that is not held for trading, the Company may irrevocably elect to present subsequent changes in the investment’s fair value in OCI. This election is made on an investment-by-investment basis. Equity investments at FVTOCI are subsequently measured at fair value. Dividends are recognized as income in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment. Other net gains and losses are recognized in OCI. When an investment is derecognized, the cumulative gain or loss in equity will not be reclassified to profit or loss, instead, is reclassified to retained earnings. iii. Financial assets measured at fair value through profit or loss (FVTPL) All financial assets not classified as measured at amortized cost or at fair value through other comprehensive income as described above are measured at fair value through profit or loss. Such financial assets are initially recognized at fair value, and attributable transaction costs are recognized in profit or loss as incurred. Subsequent to initial recognition, they are measured at fair value and changes therein are recognized in profit or loss. (ii) Impairment of financial assets The Company recognizes loss allowances for expected credit loss on financial assets measured at amortized cost (including accounts receivable). The loss allowance for accounts receivable is measured at an amount equal to lifetime expected credit losses. For financial assets at amortized cost and contract assets, when the credit risk on the financial instrument has not increased significantly since initial recognition, a loss allowance is recognized at an amount equal to expected credit loss resulting from possible default events of a financial instrument within 12 months after the reporting date. If, on the other hand, there has been a significant increase in credit risk since initial recognition, a loss allowance is recognized at an amount equal to expected credit loss resulting from all possible default events over the expected life of a financial instrument. When determining whether the credit risk of a financial instrument has increased significantly since initial recognition, the Company considers reasonable and supportable information that is relevant. This includes both qualitative and quantitative information and analysis, based on the Company’s historical experience and credit assessment as well as forward-looking information. The Company recognizes an impairment gain or loss in profit or loss for all financial instruments with a corresponding adjustment to their carrying amount through a loss allowance account. (iii) Derecognition of financial assets The Company derecognizes a financial asset only when the contractual rights to the cash flows from the financial asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the financial asset to another entity. On derecognition of a financial asset at amortized cost in its entirety, the difference between the asset’s carrying amount and the sum of the consideration received and receivable is recognized in profit or loss. However, on derecognition of an investment in an equity instrument at FVTOCI, the cumulative gain or loss that had been recognized in other comprehensive income is transferred directly to retained earnings, without recycling through profit or loss. 2. Financial Liabilities (i) Classification of financial liability The Company classify all financial liabilities as measured at amortized cost, except for financial liabilities measured at fair value through profit or loss. Such liabilities, including derivatives that are liabilities, shall be subsequently measured at fair value. (ii) Derecognition of financial liability The Company removes a financial liability from its statement of financial position when, and only when, it is extinguished-when the obligation specified in the contract is discharged or cancelled or expires. On derecognition of a financial liability at amortized cost in its entirety, the difference between the carrying amount of a financial liability extinguished or transferred to another party and the consideration paid, including any non-cash assets transferred or liabilities assumed, shall be recognized in profit or loss. (g) Inventories Inventories primarily consist of raw materials, work-in-process and finished goods awaiting final assembly and test and are stated at the lower of cost and net realizable value. Cost is determined using the weighted-average method. For work-in-process and manufactured inventories, cost consists of the cost of raw materials (primarily fabricated wafer and processed tape), direct labor and an appropriate proportion of production overheads. Net realizable value for raw materials is based on replacement cost. Net realizable value for finished goods and work in process is calculated based on the estimated selling price less all estimated costs of completion and necessary selling costs. (h) Equity Method Investments Equity investments in entities where the Company has the ability to exercise significant influence over the operating and financial policy decisions of the investee but does not have a controlling financial interest in the investee, are accounted for using the equity method. The Company’s share of the net income or net loss of an investee is recognized in earnings from the date the significant influence commences until the date that significant influence ceases. The difference between the cost of an investment and the amount of underlying equity in net assets of an investee at investment date is allocated to related assets which are amortized over their useful lives. Any unallocated difference is treated as investor-level goodwill and is not amortized. The Company discontinues the use of the equity method from the date when the Company ceases to have significant influence over an associate, and then measures the retained interests at fair value at that date. The difference between the carrying amount of the investment at the date the equity method was discontinued and the fair value of the retained interests along with any proceeds from disposing of a part of the interest in the associate is recognized in profit or loss. When the Company discontinues the use of the equity method, the Company shall account for all amounts previously recognized in other comprehensive income in relation to that investment on the same basis as would have been required if the investee had directly disposed of the related assets or liabilities. At the end of each reporting period, if there is any indication of impairment, the entire carrying amount of the investment including goodwill is tested for impairment as a single asset, by comparing its recoverable amount with its carrying amount. An impairment loss recognized forms part of the carrying amount of the investment in associates. Accordingly, any reversal of that impairment loss is recognized to the extent that the recoverable amount of the investment subsequently increases. (i) Property, Plant and Equipment Property, plant and equipment consists primarily of land, building and machinery and equipment used in the design and development of products, and is stated at cost less accumulated depreciation and any accumulated impairment loss. Depreciation on building and machinery and equipment commences when the asset is ready for its intended use. Except for the following paragraph, depreciation is primarily calculated on the straight-line method over the estimated useful lives of related assets which range as follows: building 25 years, building improvements 4 to 16 years, machinery 4 to 10 years, research and development equipment 2 to 6 years, office furniture and equipment 3 to 8 years, others 2 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated useful life of the asset. Embedded software is amortized on a straight-line basis over the estimated useful lives ranging from 2 to 10 years. Land is not depreciated. If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items (major components) of property, plant and equipment. During the year 2017, certain new machinery and equipment have been acquired for specific project. The depreciation on these new assets is calculated on Fixed-Percentage-on-Declining-Base Method basis over the estimated useful lives of 3 years. The Company thinks that method would most closely reflect the expected pattern of consumption of the future economic benefits embodied in those assets. Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. (j) Leases a. Identifying a lease A contract is, or contains, a lease when all the following conditions are satisfied: (i) the contract involves the use of an identified asset, and the supplier does not have a substantive right to substitute the asset; and (ii) the Company has the right to obtain substantially all of the economic benefits from use of the identified asset throughout the period of use; and (iii) the Company has the right to direct the use of the identified asset throughout the period of use. b. As a lessee Payments for leases of low-value assets and short-term leases are recognized as expenses on a straight-line basis during the lease term for which the recognition exemption is applied. Except for leases described above, a right-of-use asset and a lease liability shall be recognized for all other leases at the lease commencement date. The Company recognizes a right-of-use asset and a lease liability at the lease commencement date. The lease liability is initially measured at the present value of the lease payments, discounted using the lessee's incremental borrowing rate. The Company determines its incremental borrowing rate by obtaining interest rates from various external financing sources. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability, adjusted for any lease payments made at or before the commencement date, less any lease incentives received, plus any initial direct costs incurred and an estimate of costs to be incurred in restoring the underlying asset. The right-of-use asset is subsequently depreciated using the straight-line method over the shorter of the useful life of the right-of-use asset or the lease term. The lease liability is subsequently measured at amortized cost using the effective interest method. It is remeasured (i) if there is a change in the lease term; (ii) if there is a change in future lease payments arising from a change in an index or a rate; (iii) if there is a change in the amounts expected to be payable under a residual value guarantee; or (iv) if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in the circumstances aforementioned, a corresponding adjustment is made to the carrying amount of the right-of-use asset. However, if the carrying amount of the right-of-use asset is reduced to zero, any remaining amount of the remeasurement is recognized in profit or loss. Lease payments included in the measurement of the lease liability comprise the following: (i) fixed payments, including in-substance fixed payments. (ii) the exercise price under a purchase option that the Company is reasonably certain to exercise and lease payments in an optional renewal period if the Company is reasonably certain to exercise an extension option. Moreover, the lease liability is remeasured when lease modifications occur that decrease the scope of the lease. The Company accounts for the remeasurement of the lease liability by decreasing the carrying amount of the right-of-use asset to reflect the partial or full termination of the lease and recognizes in profit or loss any gain or loss relating to the partial or full termination of the lease. c. As a lessor Lease income from an operating lease is recognized in profit or loss on a straight-line basis over the lease term. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the asset leased. (k) Goodwill Goodwill is recognized when the purchase price exceeds the fair value of identifiable net assets acquired in a business combination. Goodwill is measured at cost less accumulated impairment losses, if any. Goodwill from acquisition of Himax Semiconductor, Inc. (formerly Wisepal Technologies, Inc., merged into Himax Technologies Limited on July 2, 2018) in 2007 amounting $26,846 thousand has been assigned to Driver IC cash generating unit (“CGU”) and goodwill from acquisition of Himax Display (USA) Inc. in 2012 amounting $1,292 thousand has been assigned to WLO CGU because these CGUs are expected to benefit from the synergies of the business combinations. Goodwill is not amortized and instead is reviewed for impairment at least annually, or more frequently when there is an indication that the CGU may be impaired. For the purpose of impairment testing, goodwill is allocated to each of the Company’s CGU or groups of CGU that are expected to benefit from the synergies of the combination. If the recoverable amount of a cash-generating unit is less than its carrying amount, the difference is allocated first to reduce the carrying amount of any goodwill allocated to such CGU and then to the other assets of the CGU pro rata based on the carrying amount of each asset in the CGU. Any impairment loss for goodwill is recognized directly in profit or loss. An impairment loss recognized for goodwill is not reversed in subsequent periods. The recoverable amount is the higher of fair value less costs of disposal and value in use. In assessing value in use which was calculated based on the cash flow forecast from the financial budgets covering the future five-year period with the terminal growth rate. The annual discount rate was 8.05% and 11.98% in its test of Goodwill impairment for Driver IC CGU as of December 31, 2021 and 2022, respectively, based on industry weighted average cost of capital. The annual discount rate for WLO CGU was 13.33% and 15.34% as of December 31, 2021 and 2022, respectively. The terminal growth rate, based on following 5 years average Taiwan economic growth rate published by International Monetary Fund, was 2.46% and 2.18% used in the test for both CGUs as of December 31, 2021 and 2022, respectively. The key assumptions abovementioned represents the management’s forecast of the future for the related industry by considering the history information from internal and external sources. For the years ended December 31, 2020, 2021 and 2022, the Company did not recognize any impairment loss on goodwill. (l) Other Intangible Assets Acquired intangible assets include patents, intellectual property and developed technology acquired in a business combination. These intangible assets are amortized on a straight-line basis over the following estimated useful lives: software 2-10 years, patents 12-15 years, intellectual property 10 years and technology 7 years. Amortization methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. (m) Impairment of Non-Financial Assets The Company’s long-term non-financial assets, which consist of property, plant and equipment and intangible assets, are reviewed at the reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. Considering the terminal growth rate if non-financial assets with an indefinite useful life are allocated to the CGU in comparison with its carrying amount. For the purpose of impairment testing, assets that cannot be tested individually are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the “cash-generating unit, or CGU”). The annual discount rate was 11.40% in its test of non-financial assets impairment with an indefinite useful life for CMOS CGU as of December 31, 2021, based on industry weighted average cost of capital. The terminal growth rate, based on following 5 years average Taiwan economic growth rate published by International Monetary Fund, was 2.46% used in the test as of December 31, 2021. The key assumptions abovementioned represents the management's forecast of the future for the related industry by considering the history information from internal and external sources. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. When an impairment loss subsequently reverses, the carrying amount of the asset or a CGU is increased to the revised estimate of its recoverable amount, but the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized immediately in profit or loss. (n) Revenue Recognition IFRS 15 establishes principles for recognizing revenue that apply to all contracts with customers, using a five-step model framework to determine the method, timing and amount of revenue recognized. The Company generates revenue primarily from sale of goods or services. Revenue from contracts with customers is disaggregated by primarily geographical market and major products. Under IFRS 15, the Company identifies the contract with the customers and recognizes revenue when performance obligations are satisfied. Revenue is measured based on the consideration that the Company expects to be entitled in the transfer of goods or services to a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. Customers obtain control of the product when the goods are delivered and accepted by customers. Invoices are generated at that point in time. The Company's revenue recognition from product sales is measured at the amount that is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur. Revenue is reduced for estimated rebates and other similar allowances. Trade receivable is recognized when the Company is entitled for unconditional right to receive payment upon delivery of goods to customers. The consideration received in advance from the customer but without delivery of goods is recognized as a contract liability, for which revenue is recognized when the control over the goods is transferred to the customer. The Company expects that the length of time when the Company transfers the goods or services to the customer and when the customer pays for those goods or services will be less than one year. Therefore, the amount of consideration is not adjusted for the time value of money. (o) Employee Benefits 1. Short-term employee benefits Short-term employee benefits are expensed unless another policy allows or requires it to be capitalized. Liabilities recognized in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in exchange for service rendered by employees. 2. Share-based payment arrangements The cost of employee services received in exchange for share-based compensation is measured based on the grant-date fair value of the share-based instruments issued. The cost of employee services is equal to the grant-date fair value of shares issued to employees and is recognized in earnings with a corresponding increase in equity over the service period by graded vesting. Compensation cost also considers the number of awards management believes will eventually vest. As a result, compensation cost is reduced by the estimated forfeitures. The estimate is adjusted each period to reflect the current estimate of forfeitures, and finally, the actual number of awards that vest. 3. Defined contribution plans Obligations for contributions to defined contribution pension plans are recognized as an employee benefit expense in profit or loss in the periods during which services are rendered by employees. 4. Defined benefit plans The Company’s net obligation in respect of defined benefit pension plans is calculated separately for each benefit plan by estimating the amount of future benefit that employees have earned in the current and prior periods, discounting that amount and deducting the fair value of any plan assets. For defined benefit retirement benefit plans, the cost of providing benefit is recognized based on actuarial calculations. Defined benefit costs (including service cost, net interest and remeasurement) under the defined benefit retirement benefit plans are determined using the Projected Unit Credit Method. Service cost (including current service cost), and net interest on the net defined benefit liability (asset) are recognized as employee benefits expense in profit or loss in the period they occur. Remeasurement, comprising actuarial gains and losses and the return on plan assets (excluding interest), is recognized in other comprehensive income in the period in which they occur. Remeasurement recognized in other comprehensive income is reflected immediately in retained earnings and will not be reclassified to profit or loss. (p) Income Taxes Income tax expense comprises current and deferred taxes. It is recognized in profit or loss except to the extent that it relates to a business combination, or items recognized directly in equity or in other comprehensive income. 1. Current tax Current taxes comprise the expected tax payable or receivable on the taxable income or losses for the year and any adjustments to tax payable or receivable in respect of previous years. It is measured using tax rates enacted or substantively enacted tax rate at the reporting date. 2. Deferred tax Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities in the financial statements and their respective tax bases, and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized; such reductions are reversed when the probability of future taxable profits improves. (q) Business Combinations Acquisitions of businesses are accounted for using the acquisition method. Acquisition-related costs are generally recognized in profit or loss as incurred. Goodwill is measured as the excess of the sum of the consideration transferred, the amount of any non-controlling interests in the acquiree, and the fair value of the acquirer’s previously held equity interest in the acquiree over the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed. Non-controlling interests are initially measured at the non-controlling interests’ proportionate share of the fair value of the acquiree’s identifiable net assets. Any contingent consideration payable is measured at fair value at the acquisition date. If the contingent consideration is classified as equity, then it is not remeasured and settlement is accounted for within equity. Otherwise, subsequent changes in the fair value of contingent considerati |
Acquisition
Acquisition | 12 Months Ended |
Dec. 31, 2022 | |
Acquisition | |
Acquisition | Note 5. Acquisition On October 30, 2020, the Company infused cash of $6,680 thousand into CMVT in exchange for 66.71% of the outstanding common shares of CMVT. Acquisition-related costs, which were charged to expense as incurred, were insignificant. CMVT is a Taiwan company dedicated to the development and production of Omniwide film for display with its own technology: ultra view switching. As a result of the acquisition, the Company is expected to further strengthen the Company's competitiveness in the displays with the addition of technology resources. The results of CMVT's operations have been included in the Company's consolidated financial statements since that date. The amounts of CMVT's revenues and losses included in the consolidated statements of profit or loss from the acquisition date to the period ended December 31, 2020 were $1,231 thousand and $214 thousand, respectively. If the acquisition had occurred on January 1, 2020, management estimates that consolidated revenue would have been $891,038 thousand (unaudited), and consolidated profit for the year would have been $46,361 thousand (unaudited). In determining these amounts, management has assumed that the fair value adjustments that arose on the date of acquisition would have been the same if the acquisition had occurred on January 1, 2020. The following table summarizes the amounts of estimated fair value of the assets acquired and liabilities assumed at the date of acquisition. Fair value (in thousands) Recognized amounts of identifiable assets acquired and liabilities assumed: Cash $ 7,982 Current assets, other than cash 2,602 Property, plant and equipment 1,906 Other intangible assets 704 Other current liabilities (3,181) Total identifiable net assets acquired 10,013 Noncontrolling interests (3,333) Total consideration paid $ 6,680 Acquired assets were valued at estimates of their current fair values based on management’s estimates and consultation with an independent appraiser. |
Disposal of subsidiary
Disposal of subsidiary | 12 Months Ended |
Dec. 31, 2022 | |
Disposal of Subsidiary | |
Disposal of subsidiary | Note 6. Disposal of subsidiary The Company had disposed its 100% shareholdings in EMZA to a third party with a consideration of $15,092 thousand netting disposal related cost in October 2022. The Company derecognized EMZA from the date of disposal as its subsidiary. The Company derecognized the assets, liabilities and the related equity components of EMZA, and recognized a gain on disposal of $10,694 thousand, and recorded it as other income. The carrying amount of assets and liabilities of EMZA on the date of disposal was as follow: EMZA (in thousands) Cash $ 323 Current assets, other than cash 2,241 Property, plant and equipment 179 Other intangible assets 4,436 Other non-current assets 587 Other current and non-current liabilities (4,148) Net assets disposed of $ 3,618 |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2022 | |
Cash and Cash Equivalents | |
Cash and Cash Equivalents | Note 7. Cash and Cash Equivalents December 31, December 31, 2021 2022 (in thousands) Cash, demand deposits and checking accounts $ 333,524 217,181 Time deposits with less than three months maturity date 2,500 4,400 $ 336,024 221,581 Refer to Note 23 and Note 24 for the disclosure of credit risk, currency risk and sensitivity analysis of the financial assets and liabilities of the Company. As of December 31, 2021 and 2022, no cash and cash equivalents were pledged with banks as collaterals. |
Financial Assets at Amortized C
Financial Assets at Amortized Cost | 12 Months Ended |
Dec. 31, 2022 | |
Financial Assets at Amortized Cost | |
Financial Assets at Amortized Cost | Note 8. Financial Assets at Amortized Cost December 31, December 31, 2021 2022 (in thousands) Time deposit with original maturities more than three months $ 26,013 8,314 The financial assets at amortized cost are in China Yuan (CNY) and US dollar denominated time deposits with original maturities of more than three months and the expected holding period as of December 31, 2021 and 2022 is due in one year or less. As of December 31, 2021 and 2022, no financial assets at amortized cost were pledged with banks as collaterals. |
Financial Assets at Fair Value
Financial Assets at Fair Value Through Profit or Loss | 12 Months Ended |
Dec. 31, 2022 | |
Financial Assets at Fair Value Through Profit or Loss | |
Financial Assets at Fair Value Through Profit or Loss | Note 9. Financial Assets at Fair Value Through Profit or Loss Following is a summary of financial assets at fair value through profit or loss as of December 31, 2021 and 2022: December 31, December 31, 2021 2022 (in thousands) Money market fund $ 2,345 - Equity securities-unlisted company 13,668 15,350 $ 16,013 15,350 Current $ 2,345 - Non-current 13,668 15,350 $ 16,013 15,350 Net gain (loss) of $472 thousand, ($284) thousand and $1,246 thousand was recognized under changes in fair value of financial assets at fair value through profit or loss in the consolidated statement of profit or loss for the years ended December 31, 2020, 2021 and 2022, respectively. As of December 31, 2021 and 2022, no financial assets at fair value through profit or loss were pledged with banks as collaterals. |
Financial Assets at Fair Valu_2
Financial Assets at Fair Value Through Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2022 | |
Financial Assets at Fair Value Through Other Comprehensive Income | |
Financial Assets at Fair Value Through Other Comprehensive Income | Note 10. Financial Assets at Fair Value Through Other Comprehensive Income The equity securities are held for long-term strategies and therefore are accounted for as FVTOCI. Capital reduction from equity security investments designated as at FVTOCI recognized for the years ended December 31, 2020, 2021 and 2022, were $32 thousand, $151 thousand and $283 thousand, respectively, all related to investments held at the end of the reporting period. As of December 31, 2021 and 2022, no financial assets at fair value through other comprehensive income were pledged with banks as collaterals. |
Accounts Receivable, net
Accounts Receivable, net | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Receivable, net | |
Accounts Receivable, net | Note 11. Accounts Receivable, net (including related parties) December 31, December 31, 2021 2022 (in thousands) Accounts receivable $ 410,140 261,112 Accounts receivable from related parties 71 36 Less: Loss allowance - - $ 410,211 261,148 As of December 31, 2021 and 2022, the Company measures the loss allowance for accounts receivable using the simplified approach under IFRS 9 with the lifetime expected credit losses. To measure the expected credit losses, accounts receivable have been grouped based on the days past due, as well as incorporated forward looking information, including relevant industry information. Analysis of expected credit losses which was measured based on the aforementioned method, was as follows: December 31, 2021 Loss Carrying allowance amount of Weighted for lifetime accounts average loss expected receivable rate credit (in thousands) (in thousands) Not past due $ 408,415 0 % $ — Past due within 30 days 795 0 % — Past due 31‑60 days 924 0 % — Past due 61‑90 days 77 0 % — Past due 91‑120 days - 0 % — Past due over 121 days - 100.00 % — $ 410,211 $ — December 31, 2022 Loss Carrying allowance amount of Weighted for lifetime accounts average loss expected receivable rate credit (in thousands) (in thousands) Not past due $ 258,974 0 % $ - Past due within 30 days 1,884 0 % - Past due 31‑60 days 121 0-32.15 % - Past due 61‑90 days 75 0-47.02 % - Past due 91‑120 days 94 0-77.69 % - Past due over 121 days - 100.00 % - $ 261,148 $ - As of December 31, 2021, the Company recognized a reversal of credit losses amounting to $190 thousand for accounts receivable due to recovery. There were no changes in loss allowance as of December 31, 2022. The activity in the loss allowance is as follows: Loss Allowance Balance at Amounts Beginning Charges to utilized / Balance at Period of year earnings write-offs end of year (in thousands) Year 2020 $ 190 - - 190 Year 2021 $ 190 (190) - - Year 2022 $ - - - - |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventories | |
Inventories | Note 12. Inventories December 31, December 31, 2021 2022 (in thousands) Finished goods $ 53,884 63,425 Work in process 107,355 169,166 Raw materials 36,963 138,086 Supplies 398 256 $ 198,600 370,933 The amounts of inventories that were charged to cost of revenues were $654,582 thousand, $789,071 thousand and $692,022 thousand, for the years ended December 31, 2020, 2021 and 2022, respectively, and the charges for inventories written down to net realizable value amounted to $11,919 thousand, $9,448 thousand and $22,211 thousand, for the years ended December 31, 2020, 2021 and 2022, respectively, which were also included in cost of revenues. As of December 31, 2021 and 2022, none of the Company’s inventories was pledged as collateral. |
Equity Method Investments
Equity Method Investments | 12 Months Ended |
Dec. 31, 2022 | |
Equity Method Investments | |
Equity Method Investments | Note 13. Equity Method Investments Associates consisted of the following: December 31, 2021 December 31, 2022 Place of Incorporation Name of Principal and Carrying Holding Carrying Holding Associate Activities Operation amount % amount % (in thousands) (in thousands) Ganzin Technology Corp. Eye tracking chip and module Taipei, Taiwan $ - 42.01 $ - 35.72 Iris Optronics Co., Ltd. E-paper manufacturing and sales Tainan, Taiwan 174 6.25 315 4.93 Viewsil Microelectronics (Kunshan) Limited IC design and sales Kunshan, China 2,671 49.00 2,635 49.00 Guangzhou Pixtalks Information Technology Co., Ltd. 3D structured light module Guangzhou, China 457 22.50 285 29.50 Prilit Optronics, Inc. LCD panel components manufacturing Tainan, Taiwan - - 3,298 15.00 $ 3,302 $ 6,533 Prilit Optronics, Inc. was purchased with original investment amount of $3,264 thousand in October 2022. There is no individually significant associate for the Company. The following table summarized the amount recognized by the Company at its share of those associates: For the year ended December 31, 2020 2021 2022 (in thousands) The Company’s share of losses of associates $ (638) (1,392) (743) The Company’s share of other comprehensive income of associates $ 58 55 (86) The Company’s share of total comprehensive income of associates $ (580) (1,337) (829) The Company has not recognized losses of nil, $24 thousand and $302 thousand in relation to its interest in Ganzin Technology Corp. for the year ended December 31, 2020, 2021 and 2022, respectively, because the Company has no obligation in respect of the losses. As of December 31, 2022, the cumulative unrecognized losses in relation to the Company’s interest in Ganzin Technology Corp. was $326 thousand. As of December 31, 2021 and 2022, none of the Company’s equity method investments was pledged as collateral. |
Other Intangible Assets
Other Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Other Intangible Assets | |
Other Intangible Assets | Note 14. Other Intangible Assets Technology Software Others Total (in thousands) Cost Balance at January 1, 2021 $ 13,171 5,506 3,444 22,121 Additions - 468 - 468 Disposals - (332) - (332) Effect of exchange rate changes - 22 (21) 1 Balance at December 31, 2021 13,171 5,664 3,423 22,258 Additions - 331 - 331 Disposals - (8) - (8) Disposal of subsidiary (6,282) - (2,182) (8,464) Effect of exchange rate changes - (18) (69) (87) Balance at December 31, 2022 $ 6,889 5,969 1,172 14,030 Accumulated Amortization Balance at January 1, 2021 $ 8,786 5,092 367 14,245 Amortization for the year 1,105 452 181 1,738 Disposals - (332) — (332) Effect of exchange rate changes - 21 (31) (10) Balance at December 31, 2021 9,891 5,233 517 15,641 Amortization for the year 887 323 168 1,378 Disposals - (8) - (8) Disposal of subsidiary (3,889) - (139) (4,028) Effect of exchange rate changes - (17) (30) (47) Balance at December 31, 2022 $ 6,889 5,531 516 12,936 Carrying amounts At December 31, 2021 $ 3,280 431 2,906 6,617 At December 31, 2022 $ - 438 656 1,094 Others in other intangible assets includes the acquired trademark $1,800 thousand with an indefinite useful life. The Company derecognized the trademark $1,800 thousand with the disposal of subsidiary in October 2022. Other intangible assets were amortized on a straight-line basis over their estimated useful lives as follows: Technology 7 years Software 2-10 years Others (except for trademark) 7-15 years |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment | |
Property, Plant and Equipment | Note 15. Property, Plant and Equipment (a) Prepayments for purchase Research Office of equipment Building and furniture and and development and construction Land improvements Machinery equipment equipment Others in progress Total (in thousands) Cost Balance at January 1, 2021 $ 41,828 75,403 74,956 45,487 14,657 33,248 852 286,431 Additions - 60 1,705 4,565 731 13,307 447 20,815 Transfers - - 783 69 - - (852) - Disposals - (79) (5) (895) (2,286) (106) - (3,371) Effect of exchange rate changes - (1) 2 1 25 (7) - 20 Balance at December 31, 2021 41,828 75,383 77,441 49,227 13,127 46,442 447 303,895 Additions - 1,129 2,730 1,946 1,301 4,030 2,210 13,346 Transfers - — 335 112 - - (447) - Disposals - (37) (2) (1,861) (152) (2,163) - (4,215) Disposal of subsidiary - - - - (103) (225) - (328) Effect of exchange rate changes - - - - (168) (371) - (539) Balance at December 31, 2022 $ 41,828 76,475 80,504 49,424 14,005 47,713 2,210 312,159 Accumulated Depreciation Balance at January 1, 2021 $ - 24,647 57,576 39,283 12,076 20,775 - 154,357 Depreciation for the year - 4,232 5,824 2,551 1,048 5,949 - 19,604 Disposals - (79) (5) (895) (2,286) (89) - (3,354) Effect of exchange rate changes - - - 2 21 29 - 52 Balance at December 31, 2021 - 28,800 63,395 40,941 10,859 26,664 - 170,659 Depreciation for the year - 4,212 4,964 3,125 1,132 6,531 - 19,964 Disposals - (37) (2) (1,861) (152) (1,969) - (4,021) Disposal of subsidiary - - - - (57) (92) - (149) Effect of exchange rate changes - - - - (141) (291) - (432) Balance at December 31, 2022 $ - 32,975 68,357 42,205 11,641 30,843 - 186,021 Carrying amounts At December 31, 2021 $ 41,828 46,583 14,046 8,286 2,268 19,778 447 133,236 At December 31, 2022 $ 41,828 43,500 12,147 7,219 2,364 16,870 2,210 126,138 Others in property, plant and equipment includes mold equipment, leasehold improvements, right-of-use assets and other equipment. The Company incurred non-cash capital expenditures of $2,016 thousand, $3,608 thousand and $2,551 thousand in the years ended December 31, 2020, 2021 and 2022. The above items of property, plant and equipment, except certain machinery and equipment for specific project depreciated on Fixed-Percentage-on-Declining-Base Method basis mentioned in Note 4(i), are depreciated on a straight-line basis over their estimated useful lives as follows: Buildings 25 years Building improvements 4-16 years Machinery 4-10 years Research and development equipment 2-6 years Office furniture and equipment 3-8 years Others 2-15 years For the years ended December 31, 2020, 2021 and 2022, the Company did not recognize any impairment loss on property, plant and equipment. Information on property, plant and equipment that were pledged to bank as collateral is provided in Note 27. (b) Lease Arrangements (i) Right-of-use assets Addition to right-of-use assets during 2021 and 2022 were $11,247 thousand and $2,395 thousand, respectively. The carrying amounts of right-of-use assets for offices and buildings lease included in Others in property, plant and equipment was $16,660 thousand and $13,863 thousand as of December 31, 2021 and 2022, respectively. Depreciation expense of right-of-use assets amounted to $2,619 thousand, $4,554 thousand and $4,810 thousand in 2020, 2021 and 2022, respectively. (ii) Lease liabilities December 31, December 31, 2021 2022 (in thousands) Current portion (classified under other current liabilities) $ 4,602 4,218 Non-current portion (classified under other non-current liabilities) 11,258 7,457 $ 15,860 11,675 (iii) Additional lease information Year ended December 31, 2020 2021 2022 (in thousands) Expenses relating to short-term leases $ 258 162 364 Expenses relating to low-value asset leases $ 230 342 113 Expenses relating to variable lease payments not included in the measurement of lease liabilities $ 2,018 1,874 2,920 The reconciliation of lease liabilities to cash flows arising from financing activities was as follows: Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 10,454 15,860 Change from financing activities: Payment of lease liabilities (4,668) (4,294) Total change from financing activities (4,668) (4,294) Other changes: New lease 11,247 2,395 Interest expense 213 222 Interest paid (213) (222) Lease modifications - (194) Disposal of subsidiary - (138) Effect of exchange rate changes (1,173) (1,954) Total liability-related other changes 10,074 109 Balance at end of year $ 15,860 11,675 |
Other Current Liabilities
Other Current Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Other Current Liabilities | |
Other Current Liabilities | Note 16. Other Current Liabilities December 31, December 31, 2021 2022 (in thousands) Accrued payroll and related expenses $ 18,515 22,586 Guarantee deposit received - 14,251 Accrued mask, mold fees and other expenses for RD 13,379 10,330 Payable for purchases of building and equipment 3,481 2,670 Accrued software maintenance 4,359 3,850 Allowance for sales discounts 1,570 2,180 Lease liabilities 4,602 4,218 Provision on onerous inventory contract - 5,791 Accrued insurance, welfare expenses, professional fee and others 13,638 9,659 $ 59,544 75,535 The activity in the sales discounts is as follows: Allowance for sales discounts Balance at Balance at beginning Charges to Amounts end of Period of year earnings utilized year (in thousands) Year 2020 $ 896 8,791 (8,878) 809 Year 2021 $ 809 13,632 (12,871) 1,570 Year 2022 $ 1,570 26,830 (26,220) 2,180 |
Short-Term Borrowings
Short-Term Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Short-Term Borrowings | |
Short-Term Borrowings | Note 17. Short-Term Borrowings December 31, December 31, 2021 2022 (in thousands) Secured borrowings $ 151,400 369,300 Unused credit lines $ 277,362 323,212 Interest rate-secured borrowings 0.32% ~ 0.38 % 0.35% ~ 1.78 % As of December 31, 2021 and 2022, cash and time deposits totaling $151,400 thousand and $369,300 thousand are pledged as collateral, respectively. As of December 31, 2022, unused credit lines will expire between May 2023 and October 2023. Among the unused credit lines, $190,700 thousand belonging to the parent company, Himax Technologies, Inc., needs to be secured with equal amount of cash and time deposits when borrowing money from banks. The reconciliation of borrowings to cash flows arising from financing activities was as follows: Unsecured Secured borrowings borrowings (in thousands) January 1, 2021 $ - 104,000 Change from financing activities: Proceeds from borrowings 15,000 611,600 Repayments of borrowings (15,000) (564,200) Total changes from financing activities - 47,400 December 31,2021 - 151,400 Change from financing activities: Proceeds from borrowings - 1,212,700 Repayments of borrowings - (994,800) Total changes from financing activities - 217,900 December 31,2022 $ - 369,300 |
Long-Term Borrowings
Long-Term Borrowings | 12 Months Ended |
Dec. 31, 2022 | |
Long-Term Borrowings | |
Long-Term Borrowings | Note 18. Long-Term Borrowings December 31, December 31, 2021 2022 (in thousands) Unsecured borrowings $ 52,500 46,500 Less: current portion (6,000) (6,000) Total $ 46,500 40,500 Unused long-term credit lines $ 40,000 83,500 Interest rate 0.62467% ~ 0.73055% 5.48% Duration 2020/8/4~ 2030/9/2 2020/8/4~ 2030/9/2 The Company entered into unsecured borrowings with Chang Hwa Bank, in the amount of $40,000 thousand on August 4, 2020 and $20,000 thousand on September 2, 2020, respectively, with a term of ten years. Funding from long-term unsecured borrowings was used to repay the existing debts of financial institutions and broaden the Company’s working capital. As of December 31, 2021 and 2022, for enhancing the guaranty, land and building and improvements totaling $67,810 thousand and $65,571 thousand are pledged as collateral. Please refer to Note 27. The reconciliation of borrowings to cash flows arising from financing activities was as follows: Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 58,500 52,500 Change from financing activities: Proceeds from borrowings - 40,000 Repayments of borrowings (6,000) (46,000) Total changes from financing activities (6,000) (6,000) Balance at end of year $ 52,500 46,500 |
Employee benefits
Employee benefits | 12 Months Ended |
Dec. 31, 2022 | |
Employee benefits | |
Employee benefits | Note 19. Employee benefits 1. Defined benefit plans Pursuant to the ROC Labor Standards Law, the Company has established a defined benefit pension plan covering full-time employees in the ROC that provides retirement benefits to retiring employees based on years of service and the average salary for the six-month period before the employee’s retirement. Reconciliations of defined benefit obligation at present value and plan asset at fair value are as follows: December 31, December 31, 2021 2022 (in thousands) Present value of the defined benefit obligations $ 3,489 3,060 Fair value of plan assets (4,065) (4,307) Prepaid pension costs $ (576) (1,247) (i) Plan assets The Fund is administered by a pension fund monitoring committee (the “Committee”) and is deposited in the Committee’s name in the Bank of Taiwan. Under the ROC Labor Standards Law, the minimum return on the plan assets should not be lower than the average interest rate on two-year time deposits published by the local banks. As of December 31, 2022, the Funds deposited in the Committee’s name in the Bank of Taiwan amounted to $4,307 thousand. (ii) Movements in present value of the defined benefit obligations Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 3,562 3,489 Service costs - 4 Interest expense 15 27 Remeasurements loss (gain): Actuarial loss (gain) arising from: -Changes in demographic assumptions 32 24 -Experience adjustment 116 167 -Change in financial assumptions (253) (551) Effect of changes in exchange rates 17 (100) Balance at end of year $ 3,489 3,060 (iii) Movements in the fair value of plan assets Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 3,952 4,065 Interest income 17 31 Remeasurements gain : -Return on plan assets excluding interest income 60 305 Contributions paid by the employer 20 - Effect of changes in exchange rate 16 (94) Balance at end of year $ 4,065 4,307 (iv) Expenses recognized in profit or loss Year ended December 31, 2020 2021 2022 (in thousands) Current service costs $ 6 - 4 Interest income (4) (2) (4) $ 2 (2) - Cost of revenues $ 6 6 3 Research and development (5) (8) (3) General and administrative 1 - - Sales and marketing - - - $ 2 (2) - (v) Remeasurement of net defined benefit liability recognized in other comprehensive income Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 116 (22) Recognized during the period (138) (577) Balance at end of year $ (22) (599) (vi) Actuarial assumptions The principal actuarial assumptions were as follows: December 31, December 31, 2021 2022 Discount rate 0.82%-0.85 % 1.4%-1.41 % Rate of increase in compensation levels 3.00 % 3.00 % The Company expects to make contribution of $8 thousand to the defined benefit plans in the next year starting from January 1, 2023. As at December 31, 2022, the weighted average duration of the defined benefits obligation was between 16 years to 17 years. (vii) Sensitivity analysis Reasonably possible changes at December 31, 2021 and 2022 to one of the relevant actuarial assumptions, holding other assumptions constant, would have affected the defined benefit obligation by the amounts shown below. December 31, 2021 December 31, 2022 + 0.5% - 0.5% + 0.5% ‑ 0.5% (in thousands) Discount rate (290) 319 (238) 261 Rate of increase in compensation levels 310 (285) 255 (235) 2. Defined contribution plans Beginning July 1, 2005, pursuant to the newly effective ROC Labor Pension Act, the Company is required to make a monthly contribution for full-time employees in the ROC that elected to participate in the Defined Contribution Plan at a rate no less than 6% of the employee’s monthly wages to the employees’ individual pension fund accounts at the ROC Bureau of Labor Insurance. Expenses recognized in 2020, 2021 and 2022, based on the contribution called for were $3,330 thousand, $3,683 thousand and $3,828 thousand, respectively. The Company established a defined contribution plan in the United States that qualifies under Section 401(k) of the Internal Revenue Code. This plan covers substantially all employees who meet the service requirement. The Company’s contribution to the plan may be made at the discretion of the board of directors. Expenses recognized in 2020, 2021 and 2022, based on the contribution called for were nil, nil and $47 thousand, respectively. All PRC employees participate in employee social security plans, including pension and other welfare benefits, which are organized and administered by governmental authorities. The Company has no other substantial commitments to employees. The premiums and welfare benefit contributions that should be borne by the Company are calculated in accordance with relevant PRC regulations, and are paid to the labor and social welfare authorities. Expenses recognized based on this plan were $707 thousand, $1,695 thousand and $2,088 thousand for the years ended December 31, 2020, 2021 and 2022, respectively. Other foreign subsidiaries recognized pension expenses of $497 thousand, $617 thousand and $564 thousand for the years ended December 31, 2020, 2021 and 2022, respectively, for the defined contribution plans based on their respective local government regulations. 3. Cash award On September 28, 2021 and 2022, the Company’s compensation committee granted annual bonuses by cash payouts totaling $47,657 thousand and $19,346 thousand, respectively to the Company’s employees among which $1,582 thousand and $1,015 thousand, respectively was immediately vested on the grant date. The remainder will be equally vested at the first, second and third anniversaries of the grant date. The amounts of cash award expenses included in applicable costs of revenues and expense categories and related tax effects are summarized as follows: Year ended December 31, 2021 2022 (in thousands) Cost of revenues $ 511 505 Research and development 5,876 20,792 General and administrative 678 2,250 Sales and marketing 1,223 4,147 Total compensation $ 8,288 27,694 Income tax benefit $ 1,444 5,641 |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Compensation | |
Share-Based Compensation | Note 20. Share-Based Compensation The amounts of share-based compensation expenses included in applicable costs of revenues and expense categories and related tax effects are summarized as follows: Year ended December 31, 2020 2021 2022 (in thousands) Cost of revenues $ 87 682 481 Research and development 4,467 17,662 15,345 General and administrative 368 2,367 2,193 Sales and marketing 603 3,163 2,612 Total compensation $ 5,525 23,874 20,631 Income tax benefit $ 1,176 4,896 4,201 (a) Long-term Incentive Plan (i) Restricted share Units (RSUs) On September 7, 2011, the Company’s shareholders approved a long-term incentive plan. The amended and restated plan was amended and restated by extending its duration to September 6, 2025, which was approved by the Company’s shareholders at the annual general meeting held on August 16, 2022. The plan permits the grants of options or RSUs to the Company’s employees, directors and service providers where each unit of RSU represents two ordinary shares of the Company. On September 29, 2017, the Company’s compensation committee made grants of 580,235 RSUs to the Company’s employees. The vesting schedule for the RSUs is as follows: 96.91% of the RSUs grant vested immediately on the grant date which was settled by cash amounting to $6,147 thousand, a subsequent 1.03% will vest On September 26, 2018, the Company’s compensation committee made grants of 676,273 RSUs to the Company’s employees. The vesting schedule for the RSUs is as follows: 97.15% of the RSUs grant vested immediately on the grant date which was settled by cash amounting to $3,778 thousand, a subsequent 0.95% will vest On September 28, 2020, the Company’s compensation committee made grants of 1,402,714 RSUs to the Company’s employees. The vesting schedule for the RSUs is as follows: 98.68% of the RSUs grant vested immediately on the grant date which was settled by cash amounting to $4,762 thousand, a subsequent 0.44% will vest On September 28, 2021, the Company’s compensation committee made grants of 2,604,545 RSUs to the Company’s employees. The vesting schedule for the RSUs is as follows: 85.63% of the RSUs grant vested immediately on the grant date which was settled by cash amounting to $23,174 thousand, a subsequent 4.79% will vest On September 28, 2022, the Company's compensation committee made grants of 3,987,509 RSUs to the Company's employees. The vesting schedule for the RSUs is as follows: 86.41% of the RSUs grant vested immediately on the grant date which was settled by cash amounting to $17,535 thousand, a subsequent 4.53% will vest On November 9, 2022, the Company's compensation committee made the unvested RSUs generally include forfeitable dividend-equivalent rights, which entitle holders of RSUs to the same dividend value per share as holders of common stock. The dividend-equivalent rights are subject to the same vesting and other terms and conditions as the underlying RSUs. The amount of compensation expense from the long-term incentive plan was determined based on the estimated fair value and the market price of ADS (one ADS represents two ordinary shares) underlying the RSUs granted on the date of grant, which were $10.93 per ADS, $5.76 per ADS, $3.44 per ADS, $10.39 per ADS and $5.09 per ADS on September 29, 2017, September 26, 2018, September 28, 2020, September 28, 2021 and September 28, 2022, respectively. RSUs activity under the long-term incentive plan during the periods indicated is as follows: Number of Weighted Underlying Average Grant Shares for RSUs Date Fair Value Balance at January 1, 2020 18,493 $ 7.34 Granted 1,402,714 3.44 Vested (1,392,355) 3.47 Forfeited (5,963) 6.57 Balance at December 31, 2020 22,889 3.88 Granted 2,604,545 10.39 Vested (2,237,499) 10.37 Forfeited (3,415) 4.38 Balance at December 31, 2021 386,520 10.17 Granted 3,987,509 5.09 Vested (3,563,177) 5.25 Forfeited (18,643) 10.15 Balance at December 31, 2022 792,209 6.71 As of December 31, 2022, the total compensation cost related to the unvested RSUs not yet recognized was $3,506 thousand. The weighted-average period over which it is expected to be recognized is 2.43 years. In 2020, 2021 and 2022, the Company settled RSUs release with shares buyback of 16,302 shares, 14,264 shares and 235,910 shares, respectively. The allocation of compensation expenses and related tax effects from the RSUs granted to employees under the long-term incentive plan are summarized as follows: Year ended December 31, 2020 2021 2022 (in thousands) Cost of revenues $ 70 676 472 Research and development 3,924 17,592 15,097 General and administrative 319 2,343 1,934 Sales and marketing 520 3,149 2,497 Total compensation $ 4,833 23,760 20,000 Income tax benefit $ 1,044 4,896 4,201 (ii) Employee stock options On September 23, 2019, the Company's compensation committee approved a plan to grant stock options, the 2019 plan, to certain employees. The 2019 plan authorizes grants to purchase up to 3,000,000 units ADS, representing 6,000,000 shares of the Company's ordinary share. 2,226,690 units of stock option to purchase 2,226,690 units ADS were grant to certain employees at an exercise price of $2.27 on September 30, 2019. The 2019 plan has two years contractual life and one year vesting period. Based on the vesting schedule, 50% of the options vest half year after the date of grant and 50% of the options vest one year after the date of grant. The Company recognized compensation expenses of $570 thousand in 2020. Such compensation expense was recorded as cost of revenues, sales and marketing expenses, general and administrative expenses and research and development expenses in the consolidated statements of profit or loss. Income tax benefits of $103 thousand are realized in the consolidated statements of profit or loss for employee stock options for the year ended December 31, 2020. During 2020, 114,500 units, 39,000 units and 10,000 units of stock option to purchase 114,500 units, 39,000 units and 10,000 units ADS were grant to certain employees at an exercise price of $2.74, $3.9 and $3.35 on March 31, 2020, August 11, 2020 and September 25, 2020, respectively. The options granted in 2020 were fully vested on October 1, 2020. The Company recognized compensation expenses of $122 thousand and recorded income tax benefits of $29 thousand for employee stock options in the consolidated statements of profit or loss for the year ended December 31, 2020. The calculated value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model that used the weighted average assumptions in the following table. The Company uses the simplified method to estimate the expected term of the options as it does not have sufficient historical share option exercise experience and the exercise data relating to employees of other companies is not easily obtainable. The risk-free rates for the expected term of the options are based on the interest rates of 1 years and 1.5 years U.S. Treasury yield at the time of grant. 2019 plan Valuation assumptions: Expected dividend yield 3.5 % Expected volatility 51.96%-57.79 % Expected term (years) 1-1.5 Risk-free interest rate 1.69%-1.75 % Stock option activity during the periods indicated is as follows: Weighted Weighted average average remaining Number exercise contractual of Units price term Balance at January 1, 2020 2,226,690 $ 2.27 1.5 Granted 163,500 3.05 0.88 Exercised (1,574,869) 2.32 Forfeited (236,853) 2.30 Balance at December 31, 2020 578,468 2.36 0.54 Exercised (524,387) 2.37 Expired (54,081) 2.27 Balance at December 31, 2021 - - - Exercisable at December 31, 2021 - - - (b) Employee stock options (i) On March 19, 2021, board of directors of CM Visual Technology Corp. approved a plan to grant stock options, the 2021 plan, to certain employees. This plan authorizes grants to purchase up to 3,000,000 shares of CM Visual Technology Corp.’ authorized but unissued ordinary shares. The exercise price was NT $10 (US$ 0.36 ). The 2021 plan has four years contractual life and three years vesting period. Based on the vesting schedule, 50% of the options vest one and half years after the date of grant and 50% of the options vest three years after the date of grant. The Company recognized compensation expenses of $71 thousand and $76 thousand in 2021 and 2022, respectively. Such compensation expense was recorded as cost of revenues, sales and marketing expenses, general and administrative expense and research and development expenses in the consolidated statements of income. There was no income tax benefit realized in the consolidated statements of income for employee stock options for the years ended December 31, 2021 and 2022, respectively. The calculated value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model that used the weighted average assumptions in the following table. CM Visual Technology Corp. uses the simplified method to estimate the expected term of the options as it does not have sufficient historical share option exercise experience and the exercise data relating to employees of other companies is not easily obtainable. Since CM Visual Technology Corp.’ shares are not publicly traded and its shares are rarely traded privately, expected volatility is computed based on the average historical volatility of similar entities with publicly traded shares. The risk-free rate for the expected term of the options is based on the interest rates of 2 years and 5 years ROC central government bond at the time of grant. 2021 plan Valuation assumptions: Expected dividend yield 0% Expected volatility 43.82% Expected term (years) 3.125 Risk-free interest rate 0.223% Stock option activity during the periods indicated is as follows: Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2021 - $ - Granted 2,791,000 0.36 Exercised - - Forfeited (120,000) 0.36 Balance at December 31, 2021 2,671,000 0.36 3.5 Forfeited (380,000) 0.36 Balance at December 31, 2022 2,291,000 0.36 2.5 Exercisable at December 31, 2022 - - - (ii) On June 28, 2021, board of directors of Liqxtal Technology Inc. approved a plan to grant stock options, the 2021 plan, to certain employees. This plan authorizes grants to purchase up to 1,000,000 shares of Liqxtal Technology Inc.’ authorized but unissued ordinary shares. The exercise price was NT$ 18 (US$ 0.65 ). The 2021 plan has one and half years contractual life and one year vesting period. Based on the vesting schedule, 100% of the options vest one year after the date of grant. The Company recognized compensation expenses of $43 thousand and $33 thousand in 2021 and 2022, respectively. Such compensation expense was recorded as sales and marketing expenses, general and administrative expense and research and development expenses in the consolidated statements of income. There was no income tax benefit realized in the consolidated statements of income for employee stock options for the years ended December 31, 2021 and 2022, respectively. The calculated value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model that used the weighted average assumptions in the following table. Liqxtal Technology Inc. uses the simplified method to estimate the expected term of the options as it does not have sufficient historical share option exercise experience and the exercise data relating to employees of other companies is not easily obtainable. Since Liqxtal Technology Inc.’ shares are not publicly traded and its shares are rarely traded privately, expected volatility is computed based on the average historical volatility of similar entities with publicly traded shares. The risk-free rate for the expected term of the options is based on the interest rates of 2 years ROC central government bond at the time of grant. 2021 plan Valuation assumptions: Expected dividend yield 0% Expected volatility 30.06% Expected term (years) 1.25 Risk-free interest rate 0.107% Stock option activity during the periods indicated is as follows: Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2021 - $ - Granted 1,000,000 0.65 Exercised - - Forfeited (90,000) 0.65 Balance at December 31, 2021 910,000 0.65 1.0 Exercised (840,000) 0.65 Forfeited (70,000) 0.65 Balance at December 31, 2022 - - - Exercisable at December 31, 2022 - - - (iii) All Options granted under this 2022 Option Plan shall vest over a 4-year period, with 25% thereof vesting on the end of a 12-month period following the date of grant, and the remaining 75% thereof vesting in 12 equal portions at the end of each 3-month period thereafter. The Company recognized compensation expenses of $522 thousand in 2022, including 2022 Option Plan cancelled and recognized compensation expenses of $219 thousand. Such compensation expense was recorded as sales and marketing expenses, general and administrative expense and research and development expenses in the consolidated statements of income. There was no income tax benefit realized in the consolidated statements of income for employee stock options for the years ended December 31, 2022. The calculated value of each option award is estimated on the date of grant using the Black-Scholes option-pricing model that used the weighted average assumptions in the following table. EMZA uses the simplified method to estimate the expected term of the options as it does not have sufficient historical share option exercise experience and the exercise data relating to employees of other companies is not easily obtainable. Since EMZA's shares are not publicly traded and its shares are rarely traded privately, expected volatility is computed based on the average historical volatility of similar entities with publicly traded shares. The risk-free rate for the expected term of the options is based on the interest rates of 5 years Israel non-indexed government bond at the time of grant. 2022 Option Plan Valuation assumptions: Expected dividend yield 0 % Expected volatility 54.05 % Expected term (years) 6.11 Risk-free interest rate 0.65 % Stock option activity during the periods indicated is as follows: Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2022 — $ — Granted 150,940 20.49 6.11 Exercised — — Forfeited (1,797) 20.49 Cancelled (149,143) 20.49 Balance at December 31, 2022 — — — Exercisable at December 31, 2022 — — — |
Equity
Equity | 12 Months Ended |
Dec. 31, 2022 | |
Equity | |
Equity | Note 21. Equity (a) Ordinary Shares The Company’s authorized ordinary shares, with par value of $0.3 per share, were 1,000,000,000 shares at December 31, 2021 and 2022. The Company’s issued and fully paid ordinary shares, with par value of $0.3 per share, were 356,699,482 shares at December 31, 2021 and 2022. The outstanding ordinary shares were 348,597,140 shares and 348,833,050 shares at December 31, 2021 and 2022, respectively. 8,102,342 treasury shares and 7,866,432 treasury shares were held by the Company as of December 31, 2021 and 2022, respectively. The Company’s ordinary shares have been quoted on the NASDAQ Global Select Market under the symbol “HIMX” in the form of ADSs and two ordinary shares represent one ADS with effect from August 10, 2009. (b) Additional Paid-in Capital Balance of additional paid-in capital as of December 31, 2021 and 2022 were as follows: December 31, December 31, 2021 2022 (in thousands) From ordinary shares $ 93,341 93,341 From treasury shares 6,911 6,744 From share-based compensation 8,051 10,715 From share of changes in equities of associates 538 1,449 $ 108,841 112,249 (c) Earnings distribution As a holding company, the major asset of the Company is the 100% ownership interest in Himax Taiwan. Dividends received from the Company’s subsidiaries in Taiwan, if any, will be subjected to withholding tax under ROC law. The ability of the Company’s subsidiaries to pay dividends, repay intercompany loans from the Company or make other distributions to the Company may be restricted by the availability of funds, the terms of various credit arrangements entered into by the Company’s subsidiaries, as well as statutory and other legal restrictions. The Company’s subsidiaries in Taiwan are generally not permitted to distribute dividends or to make any other distributions to shareholders for any year in which it did not have either earnings or retained earnings (excluding reserve). In addition, before distributing a dividend to shareholders following the end of a fiscal year, a Taiwan company must recover any past losses, pay all outstanding taxes and set aside 10% of its annual net income (less prior years’ losses and outstanding taxes) as a legal reserve until the accumulated legal reserve equals its paid-in capital, and may set aside a special reserve. The accumulated legal and special reserve provided by Himax Taiwan as of December 31, 2021 and 2022 amounted to $85,200 thousand and $131,490 thousand, respectively. For the year ended December 31, 2022, the Company declared the cash dividend of $0.625 per share, totaling $217,873 thousand, and was paid on July 12, 2022. (d) Accumulated other comprehensive income Changes in accumulated other comprehensive income, net of tax, are as follows: Unrealized Defined Accumulated Foreign gains benefit other currency (losses) on pension comprehensive translation securities plans income (in thousands) Beginning balance, January 1, 2020 $ (296) (936) 280 (952) Exchange differences arising on translation of foreign operations 512 - - 512 Changes in fair value of financial assets - 67 - 67 Remeasurement of defined benefit pension plans - - (175) (175) Ending balance, December 31, 2020 216 (869) 105 (548) Exchange differences arising on translation of foreign operations (72) - - (72) Changes in fair value of financial assets - (179) - (179) Remeasurement of defined benefit pension plans - - 133 133 Ending balance, December 31, 2021 144 (1,048) 238 (666) Exchange differences arising on translation of foreign operations (245) - - (245) Changes in fair value of financial assets - 142 - 142 Remeasurement of defined benefit pension plans - - 551 551 Ending balance, December 31, 2022 $ (101) (906) 789 (218) (e) Noncontrolling interest Year ended December 31, 2020 2021 2022 (in thousands) Balance at the beginning of year $ (1,743) 5,023 2,258 Equity attributable to non-controlling interests Loss for the year (1,974) (2,961) (1,515) Changes in fair value of financial assets (2) (2) 10 Remeasurement of defined benefit pension plans (1) 5 26 Share-based compensation expenses 8 38 140 New shares issued by subsidiaries 8,695 - 445 Purchase of subsidiaries shares from noncontrolling interest - 175 - Effect of Himax Media Solutions, Inc. merged into Himax Taiwan - - (197) Disposal of financial assets at fair value through other comprehensive income - - (6) Exchange differences arising on translation of foreign operations 44 - 88 Declaration of cash dividends (4) (20) - Balance at the end of year $ 5,023 2,258 1,249 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes | |
Income Taxes | Note 22. Income Taxes The Company is incorporated in the Cayman Islands, a tax-free country; accordingly, pretax income generated by the group parent company is not subject to local income tax. Substantially all of the Company’s taxable income is derived from the operations in the ROC and, therefore, substantially all of the Company’s income tax expense attributable to income from continuing operations is incurred in the ROC. Other foreign subsidiary companies calculate income tax in accordance with local tax law and regulations. According to the amendments to the ROC Statute for Industrial Innovation in July 2022, in addition to providing 3 year extension for the existing tax credits for smart machinery and 5G system expenditures, tax credit for cyber security expenditures was added as new incentive items. Tax credit for investment amount eligible for smart machinery and cyber security limited to 5% of expenditure for the current year or 3% of expenditure within 3 consecutive years. Tax credit for smart machinery and cyber security combined with R&D tax credit shall not exceed 50% of current year corporate income tax plus undistributed earnings tax payable. (a) Income tax expense (benefit) recognized in profit or loss for the years ended December 31, 2020, 2021 and 2022 consists of the following: Year ended December 31, 2020 2021 2022 (in thousands) Current tax expense Current period $ 13,599 102,297 48,808 Adjustment for prior periods (363) 12 (2,723) 13,236 102,309 46,085 Deferred tax expense Origination and reversal of temporary differences 370 310 (5,742) Investment tax credits and operating loss carryforward (1,894) 8,038 755 (1,524) 8,348 (4,987) Total income tax expense $ 11,712 110,657 41,098 (b) Income taxes expense (benefit) recognized directly in other comprehensive income for the years ended December 31, 2020, 2021 and 2022 consist of the following: Year ended December 31, 2020 2021 2022 (in thousands) Items that will not be reclassified to profit or loss: Remeasurements of defined benefit pension plans $ (38) 27 107 (c) Reconciliation of the expected income tax expense computed based on the ROC statutory income tax rate of 20% compared with the actual income tax expense as reported in the consolidated statements of profit or loss for the years ended December 31, 2020, 2021 and 2022 are summarized as follows: Years ended December 31, 2020 2021 2022 Rate Amount Rate Amount Rate Amount (in thousands) (in thousands) (in thousands) Profit before income taxes $ 56,872 $ 544,592 $ 276,565 Income tax expense calculated at the statutory rate 20.0 % 11,374 20.0 % 108,919 20.0 % 55,313 Tax on undistributed earnings 3.0 % 1,727 4.2 % 22,648 3.9 % 10,668 Tax benefit resulting from setting aside legal reserve from prior year’s income - - - (267) (0.8) % (2,215) Tax benefit resulting from actual investment from prior year’s undistributed earnings - - - (161) (0.1) % (303) Increase in tax credits (12.1) % (6,895) (3.3) % (17,934) (5.6) % (15,556) Effect of change of unrecognized deductible temporary differences, tax losses carryforwards and investment tax credits 8.7 % 4,954 0.7 % 3,668 1.7 % 4,706 Net of non-taxable income and non-deductible expense 0.2 % 129 (2.0) % (10,680) (5.0) % (13,728) Changes in unrecognized tax benefits related to prior year tax positions (1.2) % (709) 0.5 % 2,763 1.1 % 3,003 Foreign tax rate differential 1.5 % 881 0.2 % 837 0.5 % 1,370 Variance from audits, amendments and examinations of prior years’ income tax filings (0.6) % (363) - 440 (0.1) % (205) Others 1.1 % 614 - 424 (0.7) % (1,955) Income tax expense $ 11,712 $ 110,657 $ 41,098 Effective tax rate 20.6 % 20.3 % 14.9 % (d) As of December 31, 2021 and 2022, the components of deferred tax assets and deferred tax liabilities were as follows: December 31, December 31, 2021 2022 (in thousands) Deferred tax assets: Inventory $ 2,955 5,335 Operating loss carryforward-statutory tax 755 - Accrued compensated absences 901 926 Allowance for sales discounts 720 1,465 Depreciation 601 641 Unrealized foreign exchange loss - - Others 1,259 3,430 $ 7,191 11,797 Deferred tax liabilities: Acquired intangible assets $ (756) - Remeasurement of defined benefit plans (138) (250) Unrealized foreign exchange gain (71) (364) Others - (77) $ (965) (691) As of December 31, 2022, the Company has not provided for income taxes on undistributed earnings of approximately $1,282,075 thousand of its foreign subsidiaries since the Company has specific plans to reinvest these earnings indefinitely. A deferred tax liability will be recognized when the Company can no longer demonstrate that it plans to indefinitely reinvest these undistributed earnings. This amount becomes taxable when the ultimate parent company, Himax Technologies, Inc., executes other investments, share buybacks or shareholder dividends to be funded by cash distribution by its foreign subsidiaries. It is not practicable to estimate the amount of additional taxes that might be payable on such undistributed earnings because of the complexities of the hypothetical calculation. (e) Changes in deferred tax assets and liabilities were as follows: Recognized Recognized Recognized in other Recognized in other January 1, in profit or comprehensive December in profit or comprehensive December 2021 loss income 31, 2021 loss income 31, 2022 (in thousands) Inventory $ 4,426 (1,471) - 2,955 2,380 - 5,335 Tax credit carryforwards 7,780 (7,780) - - - - - Operating loss carryforward 1,013 (258) - 755 (755) - - Accrued compensated absences 735 166 - 901 25 - 926 Allowance for sales discounts 411 309 - 720 745 - 1,465 Depreciation 561 40 - 601 40 - 641 Unrealized foreign exchange loss 162 (233) - (71) (293) - (364) Remeasurement of defined benefit plans (107) (4) (27) (138) (5) (107) (250) Acquired intangible assets (1,014) 258 - (756) 756 - - Others 634 625 - 1,259 2,094 - 3,353 Total $ 14,601 (8,348) (27) 6,226 4,987 (107) 11,106 (f) Unrecognized Deferred Tax Assets Gross amount of deferred tax assets have not been recognized in respect of the following items. December 31, December 31, 2021 2022 (in thousands) Unused tax credits $ 1,560 1,560 Unused operating loss carryforwards-statutory tax 246,023 206,259 Unused operating loss carryforwards-undistributed earnings tax 283,578 271,093 Others 30,364 29,413 $ 561,525 508,325 As of December 31, 2022, the unused investment tax credits with its expiration year from 2023 to 2034 from US operations were $1,560 thousand. Tax loss carryforwards is utilized in accordance with the relevant jurisdictional tax laws and regulations. Net losses from foreign subsidiaries are approved by tax authorities in respective jurisdiction to offset future taxable profits. Under ROC Income Tax Acts, the tax loss carryforward in the preceding ten years is available to be deducted from tax income for Taiwan operations. The statutory losses would be deducted for undistributed earnings tax and were not subject to expiration for Taiwan operations. As of December 31, 2022, the expiration period for abovementioned unrecognized deferred tax assets of unused operating loss carryforwards for statutory tax were as follows: Unrecognized Deductible amount deferred tax assets Expiration year (in thousands) Taiwan operations $ 101,704 $ 20,341 2023~2027 90,417 18,083 2028~2032 Hong Kong operations 1,815 150 Indefinitely US operations 12,323 3,497 2024~Indefinitely $ 42,071 (g) Assessments by the tax authorities The Company’s major taxing jurisdiction is Taiwan. All Taiwan subsidiaries’ income tax returns have been examined and assessed by the ROC tax authorities through 2020. The income tax returns of 2021 for all Taiwan subsidiaries are open to examination by the ROC tax authorities. Taiwanese entities are customarily examined by the tax authorities and it is possible that a future examination will result in a positive or negative adjustment to the Company’s unrecognized tax benefits within the next 12 months; however, management is unable to estimate a range of the tax benefits or detriment as of December 31, 2022. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Financial Instruments | |
Financial Instruments | Note 23. Financial Instruments (a) Categories of financial instruments (i) Financial assets December 31, December 31, 2021 2022 (in thousands) Financial assets measured at fair value through profit or loss (including current and noncurrent) $ 16,013 15,350 Financial assets measured at fair value through other comprehensive income 410 279 Measured at amortized cost: Cash and cash equivalents 336,024 221,581 Financial assets at amortized cost 26,013 8,314 Accounts receivable and other receivables (including related parties) 423,357 268,418 Restricted deposit (including current and noncurrent) 154,136 369,332 Refundable deposits (including current and noncurrent) 231,415 237,475 Subtotal 1,170,945 1,105,120 Total $ 1,187,368 1,120,749 (ii) Financial liabilities December 31, December 31, 2021 2022 (in thousands) Measured at amortized cost: Short-term secured borrowings $ 151,400 369,300 Accounts payables and other payables (including related parties) 305,755 177,593 Long-term unsecured borrowings (including current portion) 52,500 46,500 Lease liabilities (including current and noncurrent) 15,860 11,675 Guarantee deposits 55,215 66,631 Total $ 580,730 671,699 (b) Liquidity risk The following, except for payables (including related parties) that are repayable within a year, are the contractual maturities of financial liabilities, including estimated interest payments of unsecured borrowings, secured borrowings and lease liabilities. Contractual Within 6 6 ‑ 12 Over 5 (in thousands) cash flows months months 1 ‑ 2 years 2 ‑ 5 years years December 31, 2021 Non-derivative financial liabilities Short-term secured borrowings $ 151,601 111,582 40,019 — — — Long-term unsecured borrowings (including current portion) 54,015 3,167 3,159 6,287 18,624 22,778 Lease liabilities 16,174 2,460 2,298 3,881 7,513 22 Guarantee deposits 55,215 1,165 — 5,840 48,210 — $ 277,005 118,374 45,476 16,008 74,347 22,800 December 31, 2022 Non-derivative financial liabilities Short-term secured borrowings $ 369,658 369,658 — — — — Long-term unsecured borrowings (including current portion) 56,434 4,290 4,159 8,059 22,186 17,740 Lease liabilities 11,915 2,188 2,166 4,868 2,693 — Guarantee deposits 66,631 14,532 — 52,099 — — $ 504,638 390,668 6,325 65,026 24,879 17,740 The Company does not expect the cash flows included in the maturity analysis to occur significantly earlier or at significantly different amounts. (c) Currency risk i. Exposure to foreign currency risk The Company’s significant exposure to foreign currency risk was as follows: (in thousands) December 31, 2021 December 31, 2022 Foreign Exchange Functional Foreign Exchange Functional currency rate currency currency rate currency Financial assets Monetary items NTD 447,596 27.68 16,170 333,733 30.71 10,867 CNY 36,450 6.3941 5,701 37,346 6.9669 5,360 JPY 29,279 115.0936 254 1,110,308 132.1429 8,402 Financial liabilities Monetary items NTD 3,450,959 27.68 124,672 2,900,734 30.71 94,456 JPY 1,459,700 115.0936 12,683 1,080,956 132.1429 8,180 ii. Sensitivity analysis The Company’s exposure to foreign currency risk arises from the translation of the foreign currency exchange gains and losses on cash and cash equivalents, accounts receivable, other receivable, accounts payable, other payable and lease liabilities that are denominated in foreign currency. Depreciation or appreciation of the USD by 10% against the New Taiwan Dollars (NTD), CNY and JPY at December 31, 2021 and 2022, while all other variables were remained constant, would have increased or (decreased) the net profit before tax of $11,523 thousand and $7,801 thousand, respectively. iii. Interest rate risk The Company’s short-term secured borrowings and long-term unsecured borrowings carried floating interest rates and fixed interest rates. The Company’s exposure to changes in interest rates is mainly from floating-rate borrowings. Any change in interest rates will cause the effective interest rates of borrowings to change and thus cause the future cash flows to fluctuate over time. The following sensitivity analysis is determined based on the exposure to interest rate risk. For floating-rate debts, the analysis assumes that the balances of outstanding debts at the end of the reporting period had been outstanding for the entire year. For the Company’s floating-rate debts, assuming all other variables were remained constant, an increase or a decrease in the interest rate by 0.25% would have resulted in a decrease or an increase in the net profit before tax for the years ended December 31, 2021 and 2022 by $131 thousand and $116 thousand, respectively. (d) Fair value information i. Financial instruments not measured at fair value The Company considers that the carrying amounts of financial assets and financial liabilities measured at amortized cost approximate their fair values. ii. Financial instruments measured at fair value (1) Fair value hierarchy December 31, 2021 Carrying Fair Value (in thousands) Amount Level 1 Level 2 Level 3 Total Financial assets measured at fair value through profit or loss Money market fund $ 2,345 2,345 — — 2,345 Equity securities-unlisted company 13,668 — — 13,668 13,668 Subtotal 16,013 2,345 — 13,668 16,013 Financial assets measured at fair value through other comprehensive income Equity securities-unlisted company 410 — — 410 410 Total $ 16,423 2,345 — 14,078 16,423 December 31, 2022 Carrying Fair Value (in thousands) Amount Level 1 Level 2 Level 3 Total Financial assets measured at fair value through profit or loss Equity securities-unlisted company $ 15,350 - - 15,350 15,350 Subtotal 15,350 - - 15,350 15,350 Financial assets measured at fair value through other comprehensive income Equity securities-unlisted company 279 - - 279 279 Total $ 15,629 - - 15,629 15,629 (2) Valuation techniques and assumptions used in fair value measurement The fair value of financial instruments traded in active markets is determined with reference to quoted market prices. The fair value of financial instruments is based on the valuation techniques. The fair value using valuation techniques refers to the current fair value of other financial instruments with similar conditions and characteristics, or using a discounted cash flow method, or other valuation techniques which include model calculating with observable market data at the reporting date. The fair value of equity securities-unlisted company is determined by reference to market valuations for similar operating entities quoted in an active market based on the net assets value of investees. The significant unobservable input is primarily the liquidity discounts, 28% for 2022. The estimated fair value would increase (decrease) if the liquidity discount rate were lower (higher). (3) Transfer between levels of the fair value hierarchy There were no transfers between levels for the years ended December 31, 2021 and 2022. (4) Movement in financial assets included in Level 3 of fair value hierarchy Financial assets Financial assets at fair value at fair value through other through profit or comprehensive (in thousands) Loss Income Total January 1, 2021 $ 13,966 742 14,708 Disposal-capital reduction of investment — (151) (151) Recognized in other comprehensive income — (181) (181) Recognized in profit or loss (298) — (298) December 31, 2021 $ 13,668 410 14,078 Financial assets Financial assets at fair value at fair value through other through profit or comprehensive (in thousands) loss income Total January 1, 2022 $ 13,668 410 14,078 Addition 500 — 500 Disposal — (283) (283) Recognized in other comprehensive income — 152 152 Recognized in profit or loss 1,182 — 1,182 December 31, 2022 $ 15,350 279 15,629 |
Financial Risk Management
Financial Risk Management | 12 Months Ended |
Dec. 31, 2022 | |
Financial Risk Management | |
Financial Risk Management | Note 24. Financial Risk Management (a) Overview The Company is exposed to the following risks due to usage of financial instruments: (1) Credit risk (2) Liquidity risk (3) Market risk Hereinafter discloses information about the Company’s exposure to variable risks, and the goals, policies and procedures of the Company’s risk measurement and risk management. (b) Risk management framework Management of related divisions are appointed to review, control, trace and monitor the strategic risks, financial risks and operational risks faced by the Company. Management reports to executive officers the progress of risk controls from time to time and, if necessary, report to the board of directors, depending on the extent of impact of risks. (c) Credit risk Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations. The Company’s exposures to credit risk are primarily from cash and cash equivalents, financial assets at amortized cost and accounts receivable. The Company deposits its cash and cash equivalents with various reputable financial institutions. Financial assets at amortized cost are time deposits with original maturities of greater than three months. The Company has not experienced any material losses on deposits of the Company’s cash and cash equivalents and financial assets at amortized cost. Management performs periodic evaluations of the relative credit standing of these financial institutions and limits the amount of credit exposure with any one institution. Management believes that there is a limited concentration of credit risk in cash and cash equivalent and financial assets at amortized cost. The Company derived substantially all of its revenues from sales of display drivers that are incorporated into TFT-LCD panels. The TFT-LCD panel industry is intensely competitive and is vulnerable to cyclical market conditions and subject to price fluctuations. Management continuously evaluates and controls the credit quality, credit limit and financial strength of its customers to ensure any overdue receivables are taken necessary procedures. The Company depends on two customers for majority of its revenues. The Company’s sales to these two customers as a percentage of revenues are as follows: Year Ended December 31, 2020 2021 2022 Customer A and its affiliates 32.6% 32.1% 32.3% Customer C 12.7% 19.1% 9.4% The percentage of the Company’s accounts receivable accounted by customers, those representing more than 10% of total accounts receivable balance, is summarized as follows: December 31, December 31, 2021 2022 Customer A and its affiliates 39.0% 31.5% Customer C 12.1% 10.3% Refer to Note 11 for aging analysis of accounts receivable and the movement in the loss allowance. In addition, the Company has at times agreed to extend the payment terms for certain of its customers. Other customers have also requested extension of payment terms, and the Company may grant such requests for extension in the future. As a result, a default by any such customer, a prolonged delay in the payment of accounts receivable, or the extension of payment terms for the Company’s customers could adversely affect the Company’s cash flow, liquidity and operating results. Management performs ongoing credit evaluations of each customer and adjusts credit policy based upon payment history and the customer’s credit worthiness, as determined by the review of their current credit information. (d) Liquidity risk The objective of liquidity risk management is to ensure the Company has sufficient liquidity to fund its business requirements associated with existing operations over the next 12 months. The Company manages its liquidity risk by maintaining adequate working capital and unused credit facilities. At December 31, 2022, the Company’s working capital together with existing unused credit facilities under its existing loan agreements will be sufficient to fulfill all of its contractual obligations. Therefore, management believes that there is no liquidity risk resulting from incapable of financing to fulfill the contractual obligations. (e) Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates, will affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return. (1) Currency risk The Company is exposed to currency risk on operating activities that are denominated in a currency other than the respective functional currency of the Company, the USD. The currencies used in these transactions are the NTD, CNY and JPY. (2) Interest rate risk The Company is exposed to interest rate risk primarily related to its outstanding borrowings. The Company’s borrowings carried floating interest rates. To manage the interest rate risk, the Company periodically assesses the interest rates of bank loans and maintains good relationships with financial institutions to obtain lower financing costs. The Company also strengthens the management of working capital to reduce the dependence on bank loans as well as the risk arising from fluctuation of interest rates. |
Capital management
Capital management | 12 Months Ended |
Dec. 31, 2022 | |
Capital management | |
Capital management | Note 25. Capital management Through clear understanding and managing of significant changes in external environment, related industry characteristics, and corporate growth plan, the Company manages its capital structure in a manner to ensure it has sufficient financial resources to fund its working capital needs, capital expenditures, research and development activities, dividend payments and other business requirements associated with its existing operations over the next 12 months. There were no changes in the Company’s approach to capital management during the year ended December 31,2022. Neither the Company nor its subsidiaries are subject to externally imposed capital managements. December 31, December 31, 2021 2022 (in thousands) Total liabilities $ 731,212 807,937 Less: cash and cash equivalents 336,024 221,581 $ 395,188 586,356 Equity attributable to owners of Himax Technologies, Inc. $ 869,724 892,572 |
Related-party Transactions
Related-party Transactions | 12 Months Ended |
Dec. 31, 2022 | |
Related-party Transactions | |
Related-party Transactions | Note 26. Related-party Transactions (a) Name and relationship Name of related parties Relationship Viewsil Microelectronics (Kunshan) Limited (Viewsil) Associates Viewsil Technology Limited (VST) Associates Ganzin Technology Corp. Associates Prilit Optronics, Inc. (1) Associates Iris Optronics Co., Ltd. Associates Cheng Mei Materials Technology Corporation (CMMT) (2) Other related parties Ningbo Cheng Mei Materials Technology Co., Ltd. (2) Other related parties Note 1: It became equity method investee of the Company in October 2022. Note 2: It became related parties from acquisition date of CMVT, October 30, 2020. (b) Significant transactions with related parties (i) Sales and accounts receivable Year ended December 31, 2020 2021 2022 (in thousands) Sales of goods Other related parties $ — 125 215 December 31, 2021 2022 (in thousands) Accounts receivable Other related parties $ 71 36 (ii) Purchase and accounts payable Year ended December 31, 2020 2021 2022 (in thousands) Purchase of raw materials CMMT $ 663 3,469 1,079 Other related parties 26 63 — $ 689 3,532 1,079 December 31, 2021 2022 (in thousands) Accounts payable CMMT $ 233 263 Other related parties 32 — $ 265 263 (iii) The Company made an interest-free loan of $1,200 thousand and $1,200 thousand as of December 31, 2021 and 2022, respectively, to VST for its short-term funding needs. The loan is repayable on demand and the Company expects it will be repaid in full during 2023. The Company may consider providing further future loans to VST. (iv) Others Year ended December 31, 2020 2021 2022 (in thousands) Revenue from miscellaneous service Associates $ — 63 181 Other related parties — 3 9 $ — 66 190 Technical service fee Viewsil $ 1,400 1,400 1,050 Miscellaneous fee CMMT $ 84 791 496 Associates — 4 — $ 84 795 496 December 31, 2021 2022 (in thousands) Other receivable Associates $ 14 24 Other related parties 3 — $ 17 24 Other payable Viewsil $ 1,400 2,450 Other related parties 241 118 $ 1,641 2,568 (c) Compensation of key management personnel For the years ended December 31, 2021 and 2022, the aggregate cash compensation that the Company paid to the independent directors was $150 thousand and $150 thousand, respectively. The aggregate share-based compensation that the Company paid to the independent directors was nil. The compensation to key management personnel for the years ended December 31, 2020, 2021 and 2022 were as follows: Year ended December 31, 2020 2021 2022 (in thousands) Short-term employee benefits $ 884 1,068 1,721 Post-employment benefits 9 12 11 Share-based compensation 41 671 363 $ 934 1,751 2,095 |
Pledged assets
Pledged assets | 12 Months Ended |
Dec. 31, 2022 | |
Pledged assets | |
Pledged assets | Note 27. Pledged assets December 31, December 31, Pledged assets Pledged to secure 2021 2022 (in thousands) Restricted cash and time deposit (1) Short-term secured borrowings $ 151,400 369,300 Restricted time deposits (1) For foundry capacities 2,700 — Restricted time deposits (1) For customs duties 36 32 Land (2) Long-term unsecured borrowings 27,500 27,500 Building and improvements (2) Long-term unsecured borrowings 40,310 38,071 $ 221,946 434,903 Note (1): The pledged assets are booked as restricted deposits and classified as current or noncurrent by its liquidity. Note (2): Guarantee and collateral for long-term unsecured borrowings. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies | |
Commitments and Contingencies | Note 28. Commitments and Contingencies (a) As of December 31, 2021 and 2022, the Company had entered into several contracts for the acquisition of equipment and computer software. Total contract prices amounted to $ 2,377 thousand and $ 24,525 thousand, respectively. As of December 31, 2021 and 2022, the remaining commitments were $2,030 thousand and $22,682 thousand, respectively. (b) As of December 31, 2022, amount of outstanding letters of credit for the purchase of machinery and equipment was $3,254 thousand. (c) The Company from time to time is subject to claims regarding the proprietary use of certain technologies. Currently, management is not aware of any such claims that it believes could have a material adverse effect on the Company’s financial position or results of operations. (d) Since Himax Taiwan is not a listed company, it will depend on Himax Technologies, Inc. to meet its equity financing requirements in the future. Any capital contribution by Himax Technologies, Inc. to Himax Taiwan may require the approval of the relevant ROC authorities. The Company may not be able to obtain any such approval in the future in a timely manner, or at all. If Himax Taiwan is unable to receive the equity financing it requires, its ability to grow and fund its operations may be materially and adversely affected. (e) The Company has entered into several wafer fabrication or assembly and testing service arrangements or multi-year purchase agreements with suppliers. The Company may be obligated to make payments for purchase orders entered into pursuant to these arrangements. The Company’s purchase obligations also include agreements to purchase goods or services, primarily inventory, that are enforceable and legally binding on us and that specify all significant terms, including fixed or minimum quantities to be purchased, fixed or variable price provisions, and the approximate timing of the transaction. Among all these purchase agreements, the longest termination term shall expire in 2028. Purchase obligations exclude agreements that are cancelable without penalty. Contractual obligations resulting from above purchase orders and agreements with known amounts approximate $2,655 million and $2,088 million as of December 31, 2021 and 2022, respectively. Of obligations under above purchase orders and agreements, at December 31, 2022, $625 million is expected to be paid in the next 12 months. The refundable deposits of the long term contract for purchase agreements with suppliers amounts approximate $230 million and $237 million as of December 31, 2021 and 2022, respectively. (f) The Company is involved in various claims arising in the ordinary course of business. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Company’s consolidated financial position, results of operations, or liquidity. As of December 31, 2022, management is not aware of any pending litigation against the Company. |
Segment, Product and Geographic
Segment, Product and Geographic Information | 12 Months Ended |
Dec. 31, 2022 | |
Segment, Product and Geographic Information | |
Segment, Product and Geographic Information | Note 29. Segment, Product and Geographic Information The Company has two operating segments: Driver IC and Non-driver Products. The Driver IC segment generally is engaged in the design, research, development and sale of displays driver for large-sized TFT-LCD panels, which are used in televisions and desktop monitors, and displays driver for small and medium-sized TFT-LCD panels, which are used in mobile handsets and consumer electronics products. The Non-driver segment primarily is engaged in the design, research, manufacturing and sale of non-driver products, such as timing controllers, 3D Sensing Solution, LCoS, CMOS Image Sensors and WLO. Year Ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 756,522 130,760 887,282 Segment operating income (loss) $ 98,687 (40,761) 57,926 Non operating loss, net (1,054) Consolidated profit before income taxes $ 56,872 Significant noncash items: Share-based compensation $ 481 282 763 Depreciation and amortization $ 5,959 17,637 23,596 Year Ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 1,361,442 185,655 1,547,097 Segment operating income (loss) $ 551,943 (6,922) 545,021 Non operating loss, net (429) Consolidated profit before income taxes $ 544,592 Significant noncash items: Share-based compensation $ 424 276 700 Depreciation and amortization $ 5,598 15,744 21,342 Year Ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 1,042,938 158,401 1,201,339 Segment operating income (loss) $ 275,275 (17,688) 257,587 Non operating income, net 18,978 Consolidated profit before income taxes $ 276,565 Significant noncash items: Share-based compensation $ 1,655 1,441 3,096 Depreciation and amortization $ 8,261 13,081 21,342 The following tables summarize information pertaining to the segment revenues from customers in different geographic region (based on customer’s headquarter location): For the year ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) China $ 643,527 63,475 707,002 Taiwan 88,001 35,179 123,180 Other Asia Pacific (Philippines, Korea and Japan) 24,964 31,231 56,195 Europe and America 30 875 905 $ 756,522 130,760 887,282 For the year ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) China $ 1,149,442 111,656 1,261,098 Taiwan 167,728 51,378 219,106 Other Asia Pacific (Philippines, Korea and Japan) 44,272 21,912 66,184 Europe and America — 709 709 $ 1,361,442 185,655 1,547,097 For the year ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) China $ 828,754 96,675 925,429 Taiwan 149,037 26,507 175,544 Other Asia Pacific (Philippines, Korea, Japan and Israel) 64,523 25,735 90,258 Europe and America 624 9,484 10,108 $ 1,042,938 158,401 1,201,339 The following tables summarize information pertaining to the segment revenues from major product lines: For the year ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 240,789 — 240,789 Display drivers for small and medium-sized applications 515,733 — 515,733 Non-driver products — 130,760 130,760 $ 756,522 130,760 887,282 For the year ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 397,905 — 397,905 Display drivers for small and medium-sized applications 963,537 — 963,537 Non-driver products — 185,655 185,655 $ 1,361,442 185,655 1,547,097 For the year ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 263,992 — 263,992 Display drivers for small and medium-sized applications 778,946 — 778,946 Non-driver products — 158,401 158,401 $ 1,042,938 158,401 1,201,339 The carrying values of the Company’s property, plant and equipment are located in the following countries: December 31, December 31, 2021 2022 (in thousands) Taiwan $ 130,951 123,361 U.S. 1,163 1,595 China 662 834 Korea 343 245 Israel 65 — Japan 52 103 $ 133,236 126,138 Revenues from significant customers, those representing 10% or more of total revenue for the respective periods, are summarized as follows: Year ended December 31, 2020 2021 2022 (in thousands) Driver IC segment: Customer A and its affiliates $ 264,700 443,930 347,794 Customer C 109,911 290,578 112,231 $ 374,611 734,508 460,025 Non-driver products segment: Customer A and its affiliates $ 24,963 53,153 40,400 Customer C 2,593 4,639 1,165 $ 27,556 57,792 41,565 Accounts receivable from significant customers, those representing 10% or more of total accounts receivable for the respective dates, is summarized as follows: December 31, December 31, 2021 2022 (in thousands) Customer A and its affiliates $ 160,107 82,144 Customer C 49,806 26,838 $ 209,913 108,982 The Company has recognized the following contract liabilities in relation to revenue from contracts with customers: December 31, December 31, 2021 2022 (in thousands) Contract liabilities-current $ 37,663 49,167 Contract liabilities-non-current $ 10,221 — Revenue recognized in the current reporting period amounted to $30,759 thousand was related to carried-forward contract liabilities for performance obligations not satisfied in prior year. All of the service contracts are for periods of one year or less. As permitted under IFRS 15, the transaction price allocated to these unsatisfied contracts is not disclosed. As of December 31, 2022, the Company did not recognize an asset in relation to costs to fulfill a service contract. |
The Nature of Expenses
The Nature of Expenses | 12 Months Ended |
Dec. 31, 2022 | |
The Nature of Expenses | |
The Nature of Expenses | Note 30. The Nature of Expenses (a) Depreciation of property, plant and equipment Year ended December 31, 2020 2021 2022 (in thousands) Recognized in cost of revenues $ 6,935 6,093 5,586 Recognized in operating expenses 14,938 13,511 14,378 $ 21,873 19,604 19,964 (b) Amortization of intangible assets Year ended December 31, 2020 2021 2022 (in thousands) Recognized in cost of revenues $ 57 78 93 Recognized in operating expenses 1,666 1,660 1,285 $ 1,723 1,738 1,378 (c) Employee benefits expense Year ended December 31, 2020 2021 2022 (in thousands) Salary $ 88,149 126,976 142,564 Labor and health insurance 5,805 7,232 7,421 Pension 4,536 5,993 6,527 Others 4,867 6,608 6,431 $ 103,357 146,809 162,943 Employee benefits expense summarized by function Recognized in cost of revenues $ 5,579 7,856 6,273 Recognized in operating expenses 97,778 138,953 156,670 $ 103,357 146,809 162,943 |
Himax Technologies, Inc. (the P
Himax Technologies, Inc. (the Parent Company only) | 12 Months Ended |
Dec. 31, 2022 | |
Equity attributable to owners of parent [member] | |
Statement [line items] | |
Himax Technologies, Inc. (the Parent Company only) | Note 31. Himax Technologies, Inc. (the Parent Company only) As a holding company, dividends received from Himax Technologies, Inc.’s subsidiaries in Taiwan, if any, will be subjected to withholding tax under ROC law as well as statutory and other legal restrictions. The condensed separate financial information of Himax Technologies, Inc. is presented as follows: Condensed Statements of Financial Position December 31, December 31, 2021 2022 (in thousands) Cash $ 972 2,946 Financial asset at amortized cost 5,659 5,330 Other current assets 516 529 Financial asset at fair value through profit or loss 12,269 13,290 Investments in subsidiaries and affiliates 1,228,969 1,473,234 Total assets $ 1,248,385 1,495,329 Current liabilities $ 885 132 Current portion of long-term unsecured borrowings 6,000 6,000 Short-term secured borrowings 151,400 369,300 Debt borrowing from a subsidiary 173,876 186,825 Long-term unsecured borrowings 46,500 40,500 Total equity 869,724 892,572 Total liabilities and equity $ 1,248,385 1,495,329 Himax Technologies, Inc. had no guarantees as of December 31, 2021 and 2022. Condensed Statements of Profit or Loss Year ended December 31, 2020 2021 2022 (in thousands) Revenues $ — — — Costs and expenses 704 1,037 486 Operating loss (704) (1,037) (486) Interest income 126 148 166 Changes in fair value of financial assets at fair value through profit or loss 427 (143) 1,021 Foreign currency exchange gains (losses), net 356 115 (487) Finance costs (3,629) (1,320) (4,944) Share of profits of subsidiaries and affiliates 50,558 439,133 241,712 Profit before income taxes 47,134 436,896 236,982 Income tax expense — — — Profit for the year $ 47,134 436,896 236,982 Condensed Statements of Other Comprehensive Income Year Ended December 31, 2020 2021 2022 (in thousands) Profit for the year $ 47,134 436,896 236,982 Other comprehensive income: Items that will not be reclassified to profit or loss: Remeasurements of defined benefit pension plans (213) 160 658 Unrealized gain (loss) on financial assets at fair value through other comprehensive income 67 (179) 142 Income tax related to items that will not be reclassified subsequently 38 (27) (107) Items that may be reclassified subsequently to profit or loss: Foreign operations - foreign currency translation differences 512 (72) (245) Other comprehensive income for the year, net of tax 404 (118) 448 Total comprehensive income for the year $ 47,538 436,778 237,430 Condensed Statements of Cash Flows Year ended December 31, 2020 2021 2022 (in thousands) Cash flows from operating activities: Profit for the year $ 47,134 436,896 236,982 Adjustments for: Changes in fair value of financial assets at fair value through profit or loss (427) 143 (1,021) Interest income (126) (148) (166) Finance costs 3,629 1,320 4,944 Share of profits of subsidiaries and affiliates (50,558) (439,133) (241,712) Unrealized foreign currency exchange losses (gains) (356) (115) 493 (704) (1,037) (480) Changes in: Other current assets (267) (72) (19) Other current liabilities (71) 750 (689) Cash generated from operating activities (1,042) (359) (1,188) Interest received 130 139 172 Interest paid (730) (858) (2,561) Net cash used in operating activities (1,642) (1,078) (3,577) Cash flows from investing activities: Acquisitions of financial asset at amortized cost (129) (139) (163) Acquisitions of equity method investment (758) — — Net cash used in investing activities (887) (139) (163) Cash flows from financing activities: Payments of cash dividends — (47,404) (217,873) Proceeds from long-term unsecured borrowings 60,000 — — Repayments of long-term unsecured borrowings (1,500) (6,000) (6,000) Proceeds from short-term secured borrowings 278,000 611,600 1,212,700 Repayments of short-term secured borrowings (338,000) (564,200) (994,800) Proceeds from issue of RSUs from subsidiaries — 31 1,187 Proceeds from exercise of employee stock options 3,707 1,182 — Proceeds from debt from a subsidiary 151,730 159,205 197,955 Repayments of debt from a subsidiary (150,430) (154,205) (187,455) Net cash provided by financing activities 3,507 209 5,714 Net increase (decrease) in cash 978 (1,008) 1,974 Cash at beginning of year 1,002 1,980 972 Cash at end of year $ 1,980 972 2,946 |
Significant accounting polici_2
Significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Significant accounting policies | |
Basis of Consolidation | (a) Basis of Consolidation The accompanying consolidated financial statements include the accounts and operations of Himax Technologies, Inc. and its majority owned subsidiaries and entities that it has a controlling financial interest. All significant intercompany balances and transactions have been eliminated in consolidation. |
List of Subsidiaries in the Consolidated Financial Statements | (b) List of Subsidiaries in the Consolidated Financial Statements Following is general information about Himax Technologies, Inc.’s subsidiaries: Percentage of Ownership Jurisdiction of December 31, December 31, Investor Subsidiary Main activities Incorporation 2021 2022 Himax Technologies, Inc. Himax Technologies Limited ("Himax Taiwan") IC design and sales ROC 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Korea Ltd. IC design and sales South Korea 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Japan Ltd. Sales Japan 100.00 % 100.00 % Himax Technologies, Inc. Himax Semiconductor (Hong Kong) Limited Investments Hong Kong 100.00 % 100.00 % Himax Technologies Limited Himax Technologies (Samoa), Inc. Investments Samoa 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Suzhou) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Shenzhen) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies Limited Himax Display, Inc. LCoS and MEMS design, manufacturing and sales ROC 83.54 % 83.54 % Himax Display, Inc. Integrated Microdisplays Limited LCoS design Hong Kong 83.54 % 83.54 % Himax Display, Inc. Himax Display (USA) Inc. LCoS and MEMS design, sales and technical support Delaware, USA 83.54 % 83.54 % Himax Technologies Limited Himax Analogic, Inc. IC design and sales ROC 98.62 % 98.62 % Himax Technologies, Inc. Himax Imaging, Inc. Investments Cayman Islands 100.00 % 100.00 % Himax Technologies Limited Himax Imaging, Ltd. ("Imaging Taiwan") IC design and sales ROC 98.42 % 98.42 % Himax Imaging, Ltd. Himax Imaging Corp. IC design California, USA 98.42 % 98.42 % Himax Technologies Limited Himax Media Solutions, Inc. (1) ASIC service ROC 99.22 % — Himax Technologies Limited Harvest Investment Limited Investments ROC 100.00 % 100.00 % Himax Technologies Limited Liqxtal Technology Inc. LC Lens design and sales ROC 67.49 % 62.26 % Himax Technologies Limited Himax IGI Precision Ltd. 3D micro and nano structure mastering and prototype replication Delaware, USA 100.00 % 100.00 % Himax Technologies Limited Emza Visual Sense Ltd. (2) Visual sensors and efficient machine vision algorithm Israel 100.00 % — Himax Technologies Limited CM Visual Technology Corp. Omniwide film products design and sales ROC 66.71 % 66.71 % Note (1): For management purpose, Himax Media Solutions, Inc. was merged into Himax Technologies Limited on May 3, 2022. Note (2): On October 25, 2022, Himax Technologies Limited disposed its 100% shareholdings in Emza Visual Sense Ltd. (“EMZA”). Refer to Note 6 for further details. Principal Activities The Company is a fabless semiconductor solution provider dedicated to display imaging processing technologies. The Company is a worldwide market leader in display driver ICs and timing controllers used in TVs, laptops, monitors, mobile phones, tablets, automotive, digital cameras, car navigation, virtual reality (VR) devices and many other consumer electronics devices. Additionally, the Company designs and provides controllers for touch sensor displays, in-cell Touch and Display Driver Integration (TDDI) single-chip solutions, AMOLED ICs, LED driver ICs, power management ICs and LCoS micro-displays for augmented reality (AR) devices and heads-up displays (HUD) for automotive. The Company also offers CMOS image sensors, wafer level optics for AR devices, 3D sensing and ultralow power WiseEye smart image sensing, which are used in a wide variety of applications such as mobile phone, tablet, laptop, TV, PC camera, automobile, security, medical devices, home appliance, AIoT, etc. |
Foreign Currency | (c) Foreign Currency The reporting currency of the Company is the United States dollar (USD). The functional currency for the Company and its major operating subsidiaries is the USD. Accordingly, the assets and liabilities of subsidiaries whose functional currency is other than the USD are included in the consolidation by translating the assets and liabilities into the reporting currency (the USD) at the exchange rates applicable at the end of the reporting period. Equity accounts are translated at historical rates. The statements of profit or loss and cash flows are translated at the average exchange rates at the date of transaction. Translation gains or losses are accumulated as a separate component of equity in accumulated other comprehensive income. |
Classification of Current and Noncurrent Assets and Liabilities | (d) Classification of Current and Noncurrent Assets and Liabilities Current assets are assets held for trading purposes and assets expected to be converted to cash, sold or consumed within one year from the end of the reporting period. Current liabilities are obligations incurred for trading purposes and obligations expected to be settled within one year from the end of the reporting period. Assets and liabilities that are not classified as current are noncurrent assets and liabilities, respectively. |
Cash and Cash Equivalents | (e) Cash and Cash Equivalents Cash comprise cash balances and demand deposits. Cash equivalents comprise short-term highly liquid investments that are readily convertible into known amounts of cash and are subject to an insignificant risk of changes in their fair value. Deposits with an original maturity of three months or less at the time of purchase but not for investments and other purposes and are qualified with the aforementioned criteria are classified as cash equivalent. |
Financial Instruments | (f) Financial Instruments The Company shall recognize a financial asset or a financial liability in its statement of financial position when, and only when, the Company becomes party to the contractual provisions of the instrument. A regular way purchase or sale of financial assets shall be recognized and derecognized, as applicable, using trade date accounting. 1. Financial Assets (i) Classification of financial assets The classification of financial assets depends on the nature and purpose of the financial assets and is determined at the time of initial recognition. Financial assets are classified into the following categories: measured at amortized cost, measured at fair value through other comprehensive income (FVTOCI) and measured at fair value through profit or loss (FVTPL). The classification of financial assets is generally based on the business model in which a financial asset is managed and its contractual cash flow characteristics. When, and only when, the Company changes its business model for managing financial assets it shall reclassify all affected financial assets. i. Financial assets measured at amortized cost A financial asset is measured at amortized cost if it meets both of the following conditions and is not designated as measured at fair value through profit or loss: (i) the asset held within a business model whose objective is to hold assets to collect contractual cash flows; and (ii) the contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Financial assets measured at amortized cost are subsequently measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses. Interest income, foreign exchange gains and losses and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or loss. ii. Financial assets measured at fair value through other comprehensive income (FVTOCI) On initial recognition of an equity investment that is not held for trading, the Company may irrevocably elect to present subsequent changes in the investment’s fair value in OCI. This election is made on an investment-by-investment basis. Equity investments at FVTOCI are subsequently measured at fair value. Dividends are recognized as income in profit or loss unless the dividend clearly represents a recovery of part of the cost of the investment. Other net gains and losses are recognized in OCI. When an investment is derecognized, the cumulative gain or loss in equity will not be reclassified to profit or loss, instead, is reclassified to retained earnings. iii. Financial assets measured at fair value through profit or loss (FVTPL) All financial assets not classified as measured at amortized cost or at fair value through other comprehensive income as described above are measured at fair value through profit or loss. Such financial assets are initially recognized at fair value, and attributable transaction costs are recognized in profit or loss as incurred. Subsequent to initial recognition, they are measured at fair value and changes therein are recognized in profit or loss. (ii) Impairment of financial assets The Company recognizes loss allowances for expected credit loss on financial assets measured at amortized cost (including accounts receivable). The loss allowance for accounts receivable is measured at an amount equal to lifetime expected credit losses. For financial assets at amortized cost and contract assets, when the credit risk on the financial instrument has not increased significantly since initial recognition, a loss allowance is recognized at an amount equal to expected credit loss resulting from possible default events of a financial instrument within 12 months after the reporting date. If, on the other hand, there has been a significant increase in credit risk since initial recognition, a loss allowance is recognized at an amount equal to expected credit loss resulting from all possible default events over the expected life of a financial instrument. When determining whether the credit risk of a financial instrument has increased significantly since initial recognition, the Company considers reasonable and supportable information that is relevant. This includes both qualitative and quantitative information and analysis, based on the Company’s historical experience and credit assessment as well as forward-looking information. The Company recognizes an impairment gain or loss in profit or loss for all financial instruments with a corresponding adjustment to their carrying amount through a loss allowance account. (iii) Derecognition of financial assets The Company derecognizes a financial asset only when the contractual rights to the cash flows from the financial asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the financial asset to another entity. On derecognition of a financial asset at amortized cost in its entirety, the difference between the asset’s carrying amount and the sum of the consideration received and receivable is recognized in profit or loss. However, on derecognition of an investment in an equity instrument at FVTOCI, the cumulative gain or loss that had been recognized in other comprehensive income is transferred directly to retained earnings, without recycling through profit or loss. 2. Financial Liabilities (i) Classification of financial liability The Company classify all financial liabilities as measured at amortized cost, except for financial liabilities measured at fair value through profit or loss. Such liabilities, including derivatives that are liabilities, shall be subsequently measured at fair value. (ii) Derecognition of financial liability The Company removes a financial liability from its statement of financial position when, and only when, it is extinguished-when the obligation specified in the contract is discharged or cancelled or expires. On derecognition of a financial liability at amortized cost in its entirety, the difference between the carrying amount of a financial liability extinguished or transferred to another party and the consideration paid, including any non-cash assets transferred or liabilities assumed, shall be recognized in profit or loss. |
Inventories | (g) Inventories Inventories primarily consist of raw materials, work-in-process and finished goods awaiting final assembly and test and are stated at the lower of cost and net realizable value. Cost is determined using the weighted-average method. For work-in-process and manufactured inventories, cost consists of the cost of raw materials (primarily fabricated wafer and processed tape), direct labor and an appropriate proportion of production overheads. Net realizable value for raw materials is based on replacement cost. Net realizable value for finished goods and work in process is calculated based on the estimated selling price less all estimated costs of completion and necessary selling costs. |
Equity Method Investments | (h) Equity Method Investments Equity investments in entities where the Company has the ability to exercise significant influence over the operating and financial policy decisions of the investee but does not have a controlling financial interest in the investee, are accounted for using the equity method. The Company’s share of the net income or net loss of an investee is recognized in earnings from the date the significant influence commences until the date that significant influence ceases. The difference between the cost of an investment and the amount of underlying equity in net assets of an investee at investment date is allocated to related assets which are amortized over their useful lives. Any unallocated difference is treated as investor-level goodwill and is not amortized. The Company discontinues the use of the equity method from the date when the Company ceases to have significant influence over an associate, and then measures the retained interests at fair value at that date. The difference between the carrying amount of the investment at the date the equity method was discontinued and the fair value of the retained interests along with any proceeds from disposing of a part of the interest in the associate is recognized in profit or loss. When the Company discontinues the use of the equity method, the Company shall account for all amounts previously recognized in other comprehensive income in relation to that investment on the same basis as would have been required if the investee had directly disposed of the related assets or liabilities. At the end of each reporting period, if there is any indication of impairment, the entire carrying amount of the investment including goodwill is tested for impairment as a single asset, by comparing its recoverable amount with its carrying amount. An impairment loss recognized forms part of the carrying amount of the investment in associates. Accordingly, any reversal of that impairment loss is recognized to the extent that the recoverable amount of the investment subsequently increases. |
Property, Plant and Equipment | (i) Property, Plant and Equipment Property, plant and equipment consists primarily of land, building and machinery and equipment used in the design and development of products, and is stated at cost less accumulated depreciation and any accumulated impairment loss. Depreciation on building and machinery and equipment commences when the asset is ready for its intended use. Except for the following paragraph, depreciation is primarily calculated on the straight-line method over the estimated useful lives of related assets which range as follows: building 25 years, building improvements 4 to 16 years, machinery 4 to 10 years, research and development equipment 2 to 6 years, office furniture and equipment 3 to 8 years, others 2 to 10 years. Leasehold improvements are amortized on a straight-line basis over the shorter of the lease term or the estimated useful life of the asset. Embedded software is amortized on a straight-line basis over the estimated useful lives ranging from 2 to 10 years. Land is not depreciated. If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items (major components) of property, plant and equipment. During the year 2017, certain new machinery and equipment have been acquired for specific project. The depreciation on these new assets is calculated on Fixed-Percentage-on-Declining-Base Method basis over the estimated useful lives of 3 years. The Company thinks that method would most closely reflect the expected pattern of consumption of the future economic benefits embodied in those assets. Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. |
Leases | (j) Leases a. Identifying a lease A contract is, or contains, a lease when all the following conditions are satisfied: (i) the contract involves the use of an identified asset, and the supplier does not have a substantive right to substitute the asset; and (ii) the Company has the right to obtain substantially all of the economic benefits from use of the identified asset throughout the period of use; and (iii) the Company has the right to direct the use of the identified asset throughout the period of use. b. As a lessee Payments for leases of low-value assets and short-term leases are recognized as expenses on a straight-line basis during the lease term for which the recognition exemption is applied. Except for leases described above, a right-of-use asset and a lease liability shall be recognized for all other leases at the lease commencement date. The Company recognizes a right-of-use asset and a lease liability at the lease commencement date. The lease liability is initially measured at the present value of the lease payments, discounted using the lessee's incremental borrowing rate. The Company determines its incremental borrowing rate by obtaining interest rates from various external financing sources. The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability, adjusted for any lease payments made at or before the commencement date, less any lease incentives received, plus any initial direct costs incurred and an estimate of costs to be incurred in restoring the underlying asset. The right-of-use asset is subsequently depreciated using the straight-line method over the shorter of the useful life of the right-of-use asset or the lease term. The lease liability is subsequently measured at amortized cost using the effective interest method. It is remeasured (i) if there is a change in the lease term; (ii) if there is a change in future lease payments arising from a change in an index or a rate; (iii) if there is a change in the amounts expected to be payable under a residual value guarantee; or (iv) if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in the circumstances aforementioned, a corresponding adjustment is made to the carrying amount of the right-of-use asset. However, if the carrying amount of the right-of-use asset is reduced to zero, any remaining amount of the remeasurement is recognized in profit or loss. Lease payments included in the measurement of the lease liability comprise the following: (i) fixed payments, including in-substance fixed payments. (ii) the exercise price under a purchase option that the Company is reasonably certain to exercise and lease payments in an optional renewal period if the Company is reasonably certain to exercise an extension option. Moreover, the lease liability is remeasured when lease modifications occur that decrease the scope of the lease. The Company accounts for the remeasurement of the lease liability by decreasing the carrying amount of the right-of-use asset to reflect the partial or full termination of the lease and recognizes in profit or loss any gain or loss relating to the partial or full termination of the lease. c. As a lessor Lease income from an operating lease is recognized in profit or loss on a straight-line basis over the lease term. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the asset leased. |
Goodwill | (k) Goodwill Goodwill is recognized when the purchase price exceeds the fair value of identifiable net assets acquired in a business combination. Goodwill is measured at cost less accumulated impairment losses, if any. Goodwill from acquisition of Himax Semiconductor, Inc. (formerly Wisepal Technologies, Inc., merged into Himax Technologies Limited on July 2, 2018) in 2007 amounting $26,846 thousand has been assigned to Driver IC cash generating unit (“CGU”) and goodwill from acquisition of Himax Display (USA) Inc. in 2012 amounting $1,292 thousand has been assigned to WLO CGU because these CGUs are expected to benefit from the synergies of the business combinations. Goodwill is not amortized and instead is reviewed for impairment at least annually, or more frequently when there is an indication that the CGU may be impaired. For the purpose of impairment testing, goodwill is allocated to each of the Company’s CGU or groups of CGU that are expected to benefit from the synergies of the combination. If the recoverable amount of a cash-generating unit is less than its carrying amount, the difference is allocated first to reduce the carrying amount of any goodwill allocated to such CGU and then to the other assets of the CGU pro rata based on the carrying amount of each asset in the CGU. Any impairment loss for goodwill is recognized directly in profit or loss. An impairment loss recognized for goodwill is not reversed in subsequent periods. The recoverable amount is the higher of fair value less costs of disposal and value in use. In assessing value in use which was calculated based on the cash flow forecast from the financial budgets covering the future five-year period with the terminal growth rate. The annual discount rate was 8.05% and 11.98% in its test of Goodwill impairment for Driver IC CGU as of December 31, 2021 and 2022, respectively, based on industry weighted average cost of capital. The annual discount rate for WLO CGU was 13.33% and 15.34% as of December 31, 2021 and 2022, respectively. The terminal growth rate, based on following 5 years average Taiwan economic growth rate published by International Monetary Fund, was 2.46% and 2.18% used in the test for both CGUs as of December 31, 2021 and 2022, respectively. The key assumptions abovementioned represents the management’s forecast of the future for the related industry by considering the history information from internal and external sources. For the years ended December 31, 2020, 2021 and 2022, the Company did not recognize any impairment loss on goodwill. |
Other Intangible Assets | (l) Other Intangible Assets Acquired intangible assets include patents, intellectual property and developed technology acquired in a business combination. These intangible assets are amortized on a straight-line basis over the following estimated useful lives: software 2-10 years, patents 12-15 years, intellectual property 10 years and technology 7 years. Amortization methods, useful lives and residual values are reviewed at each reporting date and adjusted if appropriate. |
Impairment of Non-Financial Assets | (m) Impairment of Non-Financial Assets The Company’s long-term non-financial assets, which consist of property, plant and equipment and intangible assets, are reviewed at the reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. The recoverable amount of an asset or cash-generating unit is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. Considering the terminal growth rate if non-financial assets with an indefinite useful life are allocated to the CGU in comparison with its carrying amount. For the purpose of impairment testing, assets that cannot be tested individually are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the “cash-generating unit, or CGU”). The annual discount rate was 11.40% in its test of non-financial assets impairment with an indefinite useful life for CMOS CGU as of December 31, 2021, based on industry weighted average cost of capital. The terminal growth rate, based on following 5 years average Taiwan economic growth rate published by International Monetary Fund, was 2.46% used in the test as of December 31, 2021. The key assumptions abovementioned represents the management's forecast of the future for the related industry by considering the history information from internal and external sources. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. When an impairment loss subsequently reverses, the carrying amount of the asset or a CGU is increased to the revised estimate of its recoverable amount, but the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset or CGU in prior years. A reversal of an impairment loss is recognized immediately in profit or loss. |
Revenue Recognition | (n) Revenue Recognition IFRS 15 establishes principles for recognizing revenue that apply to all contracts with customers, using a five-step model framework to determine the method, timing and amount of revenue recognized. The Company generates revenue primarily from sale of goods or services. Revenue from contracts with customers is disaggregated by primarily geographical market and major products. Under IFRS 15, the Company identifies the contract with the customers and recognizes revenue when performance obligations are satisfied. Revenue is measured based on the consideration that the Company expects to be entitled in the transfer of goods or services to a customer. The Company recognizes revenue when it satisfies a performance obligation by transferring control over a product or service to a customer. Customers obtain control of the product when the goods are delivered and accepted by customers. Invoices are generated at that point in time. The Company's revenue recognition from product sales is measured at the amount that is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur. Revenue is reduced for estimated rebates and other similar allowances. Trade receivable is recognized when the Company is entitled for unconditional right to receive payment upon delivery of goods to customers. The consideration received in advance from the customer but without delivery of goods is recognized as a contract liability, for which revenue is recognized when the control over the goods is transferred to the customer. The Company expects that the length of time when the Company transfers the goods or services to the customer and when the customer pays for those goods or services will be less than one year. Therefore, the amount of consideration is not adjusted for the time value of money. |
Employee Benefits | (o) Employee Benefits 1. Short-term employee benefits Short-term employee benefits are expensed unless another policy allows or requires it to be capitalized. Liabilities recognized in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be paid in exchange for service rendered by employees. 2. Share-based payment arrangements The cost of employee services received in exchange for share-based compensation is measured based on the grant-date fair value of the share-based instruments issued. The cost of employee services is equal to the grant-date fair value of shares issued to employees and is recognized in earnings with a corresponding increase in equity over the service period by graded vesting. Compensation cost also considers the number of awards management believes will eventually vest. As a result, compensation cost is reduced by the estimated forfeitures. The estimate is adjusted each period to reflect the current estimate of forfeitures, and finally, the actual number of awards that vest. 3. Defined contribution plans Obligations for contributions to defined contribution pension plans are recognized as an employee benefit expense in profit or loss in the periods during which services are rendered by employees. 4. Defined benefit plans The Company’s net obligation in respect of defined benefit pension plans is calculated separately for each benefit plan by estimating the amount of future benefit that employees have earned in the current and prior periods, discounting that amount and deducting the fair value of any plan assets. For defined benefit retirement benefit plans, the cost of providing benefit is recognized based on actuarial calculations. Defined benefit costs (including service cost, net interest and remeasurement) under the defined benefit retirement benefit plans are determined using the Projected Unit Credit Method. Service cost (including current service cost), and net interest on the net defined benefit liability (asset) are recognized as employee benefits expense in profit or loss in the period they occur. Remeasurement, comprising actuarial gains and losses and the return on plan assets (excluding interest), is recognized in other comprehensive income in the period in which they occur. Remeasurement recognized in other comprehensive income is reflected immediately in retained earnings and will not be reclassified to profit or loss. |
Income Taxes | (p) Income Taxes Income tax expense comprises current and deferred taxes. It is recognized in profit or loss except to the extent that it relates to a business combination, or items recognized directly in equity or in other comprehensive income. 1. Current tax Current taxes comprise the expected tax payable or receivable on the taxable income or losses for the year and any adjustments to tax payable or receivable in respect of previous years. It is measured using tax rates enacted or substantively enacted tax rate at the reporting date. 2. Deferred tax Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities in the financial statements and their respective tax bases, and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized; such reductions are reversed when the probability of future taxable profits improves. |
Business Combinations | (q) Business Combinations Acquisitions of businesses are accounted for using the acquisition method. Acquisition-related costs are generally recognized in profit or loss as incurred. Goodwill is measured as the excess of the sum of the consideration transferred, the amount of any non-controlling interests in the acquiree, and the fair value of the acquirer’s previously held equity interest in the acquiree over the net of the acquisition-date amounts of the identifiable assets acquired and the liabilities assumed. Non-controlling interests are initially measured at the non-controlling interests’ proportionate share of the fair value of the acquiree’s identifiable net assets. Any contingent consideration payable is measured at fair value at the acquisition date. If the contingent consideration is classified as equity, then it is not remeasured and settlement is accounted for within equity. Otherwise, subsequent changes in the fair value of contingent consideration are recognized in profit or loss. When a business combination is achieved in stages, the Company’s previously held equity interest in the acquiree is remeasured to fair value at the acquisition date, and the resulting gain or loss is recognized in profit or loss. |
Earnings Per Ordinary Share | (r) Earnings Per Ordinary Share Basic earnings per ordinary share is computed using profit or loss attributable to the shareholders and weighted average number of ordinary shares outstanding during the period. Diluted earnings per ordinary share is computed using the weighted average number of ordinary and diluted ordinary equivalent shares outstanding during the period. Ordinary equivalent shares are ordinary shares that are contingently issuable upon the vesting of unvested restricted share units (RSUs) and employee stock options granted to employees. Basic and diluted earnings per ordinary share have been calculated as follows: Year Ended December 31, 2020 2021 2022 Profits attributable to Himax Technologies, Inc. stockholders (in thousands) $ 47,134 436,896 236,982 Denominator for basic earnings per ordinary share: Weighted average number of ordinary shares outstanding (in thousands) 345,708 349,228 349,448 Basic earnings per ordinary share attributable to Himax Technologies, Inc. stockholders $ 0.14 1.25 0.68 Basic earnings per ADS attributable to Himax Technologies, Inc. stockholders (1) $ 0.27 2.50 1.36 Contingently issuable ordinary shares underlying the unvested RSUs and employee stock options granted to employees are included in the calculation of diluted earnings per ordinary share based on treasury stock method. Year Ended December 31, 2020 2021 2022 Profits attributable to Himax Technologies, Inc. stockholders (in thousands) $ 47,134 436,896 236,982 Denominator for diluted earnings per ordinary share: Weighted average number of ordinary shares outstanding (in thousands) 345,708 349,228 349,448 Unvested RSUs (in thousands) - 505 187 Employee stock options (in thousands) 1,058 - - 346,766 349,733 349,635 Diluted earnings per ordinary share attributable to Himax Technologies, Inc. stockholders $ 0.14 1.25 0.68 Diluted earnings per ADS attributable to Himax Technologies, Inc. stockholders (1) $ 0.27 2.50 1.36 Note (1): As the Company’s ordinary shares have been quoted on the NASDAQ Global Select Market under the symbol “HIMX” in the form of ADSs and two ordinary shares represent one ADS with effect from August 10, 2009. The number of ADS equivalent outstanding is determined by dividing the number of ordinary shares by two. Therefore, the weighted average number of ADS equivalent outstanding used in basic earnings per ADS for 2020, 2021 and 2022 is 172,854 thousand, 174,614 thousand and 174,724 thousand, respectively. Additionally, the weighted average number of ADS equivalent outstanding used in diluted earnings per ADS for 2020, 2021 and 2022 is 173,383 thousand, 174,867 thousand and 174,817 thousand, respectively. The earnings per ADS is presented solely for the convenience of the reader and does not represent a measure under IFRS. |
Segment Reporting | (s) Segment Reporting An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses. All operating segments’ operating results are reviewed regularly by the Company’s chief operating decision maker (“CODM”) to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. The Company’s CODM has been identified as the Chief Executive Officer, who regularly reviews operating results to make decisions about allocating resources and assessing performance for the Company. Management has determined that the Company has two operating segments: Driver IC and Non-driver products. The CODM assesses the performance of the operating segments based on segment sales and segment profit and loss. There are no intersegment sales in the segment revenues reported to the CODM. Segment profit and loss is determined on a basis that is consistent with how the Company reports operating income (loss) in its consolidated statements of operations. Segment profit (loss) excludes income taxes and items in non-operating income (loss). The Company does not report segment asset information to the Company’s CODM. Consequently, no asset information by segment is presented. |
Noncontrolling Interests | (t) Noncontrolling Interests Noncontrolling interests are classified in the consolidated statements of profit or loss as part of profit (loss) for the period and the accumulated amount of noncontrolling interests as part of equity in the consolidated statements of financial position. If a change in ownership of a consolidated subsidiary results in loss of control and deconsolidation, any retained ownership interests are re-measured with the gain or loss reported in net earnings. |
Use of Judgments and Estimates | (u) Use of Judgments and Estimates The preparation of the consolidated financial statements in conformity with IFRS requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. Information about critical judgments, estimates and assumptions in applying accounting policies that have the most significant effect on the amounts recognized in the consolidated financial statements is included in the following notes: 1. Valuation of inventory Inventories are stated at the lower of cost or net realizable value, and the Company uses judgment and estimate to determine the net realizable value of inventory at the end of each reporting period. Due to the rapid technological changes, the Company estimates the net realizable value of inventory for obsolescence and unmarketable items at the end of reporting period and then writes down the cost of inventories to net realizable value. The net realizable value of the inventory is mainly determined based on assumptions of future demand within a specific time horizon. 2. Impairment of non-financial assets other than goodwill In the process of evaluating the potential impairment of non-financial assets other than goodwill, the Company is required to make subjective judgments in determining the independent cash flows, useful lives, expected future revenue and expenses related to the specific asset groups. Any changes in these estimates based on changed economic conditions or business strategies could result in significant impairment charges or reversal in future years. 3. Recognition of deferred tax assets Deferred tax assets are recognized to the extent that it is probable that future taxable profits will be available against which those deferred tax assets can be utilized. Assessment of the realization of the deferred tax assets requires the Company’s subjective judgment and estimate, including the future revenue growth and profitability, the sources of taxable income, the amount of tax credits that can be utilized and feasible tax planning strategies. Changes in the economic environment, the industry trends and relevant laws and regulations may result in adjustments to the deferred tax assets. 4. Impairment of goodwill The assessment of impairment of goodwill requires the Company to make subjective judgment to determine the identified CGU, allocate the goodwill to relevant CGU and estimate the recoverable amount of relevant CGU. In the process of estimating the recoverable amount of relevant CGU, the Company is required to make subjective judgments in determining the discounted rate, the terminal growth rate, the independent cash flows, useful lives, expected future revenue and expenses related to the CGU. |
Application of new and revise_2
Application of new and revised IFRS as issued by the IASB (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Application of new and revised IFRS as issued by the IASB | |
Schedule of amendments to IFRS and new interpretations issued by the IASB effective for current year | Effective Date New, Revised or Amended Standards and Interpretations Announced by IASB Amendments to IFRS 3 "Reference to the Conceptual Framework" January 1, 2022 Amendments to IAS 16 "Property, Plant and Equipment-Proceeds before Intended Use" January 1, 2022 Amendments to IAS 37 "Onerous Contracts-Cost of Fulfilling a Contract" January 1, 2022 Annual Improvements to IFRS Standards 2018-2020 January 1, 2022 |
Schedule of new and revised standards, amendments and interpretations in issue but not yet effective | Effective Date New, Revised or Amended Standards and Interpretations Announced by IASB Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture” Effective date to be determined by IASB IFRS16 "Requirements for Sale and Leaseback Transactions" January 1, 2024 Amendments to IAS 1 “Classification of Liabilities as Current or Non-current” January 1, 2024 Amendments to IAS 1 "Non-current Liabilities with Covenants" January 1, 2024 IFRS 17 "Insurance Contracts" January 1, 2023 Amendments to IFRS 17 “Insurance Contracts” January 1, 2023 Amendments to IFRS 17 "Initial Application of IFRS 17 and IFRS 9 - Comparative Information" January 1, 2023 Amendments to IAS 1 “Disclosure of Accounting Policies” January 1, 2023 Amendments to IAS 8 “Definition of Accounting Estimates” January 1, 2023 Amendments to IAS 12 “Deferred Tax related to Assets and Liabilities arising from a Single Transaction” January 1, 2023 |
Significant accounting polici_3
Significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Significant accounting policies | |
Schedule of general information about Himax Technologies, Inc.'s subsidiaries | Following is general information about Himax Technologies, Inc.’s subsidiaries: Percentage of Ownership Jurisdiction of December 31, December 31, Investor Subsidiary Main activities Incorporation 2021 2022 Himax Technologies, Inc. Himax Technologies Limited ("Himax Taiwan") IC design and sales ROC 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Korea Ltd. IC design and sales South Korea 100.00 % 100.00 % Himax Technologies, Inc. Himax Technologies Japan Ltd. Sales Japan 100.00 % 100.00 % Himax Technologies, Inc. Himax Semiconductor (Hong Kong) Limited Investments Hong Kong 100.00 % 100.00 % Himax Technologies Limited Himax Technologies (Samoa), Inc. Investments Samoa 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Suzhou) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies (Samoa), Inc. Himax Technologies (Shenzhen) Co., Ltd. Sales and technical support PRC 100.00 % 100.00 % Himax Technologies Limited Himax Display, Inc. LCoS and MEMS design, manufacturing and sales ROC 83.54 % 83.54 % Himax Display, Inc. Integrated Microdisplays Limited LCoS design Hong Kong 83.54 % 83.54 % Himax Display, Inc. Himax Display (USA) Inc. LCoS and MEMS design, sales and technical support Delaware, USA 83.54 % 83.54 % Himax Technologies Limited Himax Analogic, Inc. IC design and sales ROC 98.62 % 98.62 % Himax Technologies, Inc. Himax Imaging, Inc. Investments Cayman Islands 100.00 % 100.00 % Himax Technologies Limited Himax Imaging, Ltd. ("Imaging Taiwan") IC design and sales ROC 98.42 % 98.42 % Himax Imaging, Ltd. Himax Imaging Corp. IC design California, USA 98.42 % 98.42 % Himax Technologies Limited Himax Media Solutions, Inc. (1) ASIC service ROC 99.22 % — Himax Technologies Limited Harvest Investment Limited Investments ROC 100.00 % 100.00 % Himax Technologies Limited Liqxtal Technology Inc. LC Lens design and sales ROC 67.49 % 62.26 % Himax Technologies Limited Himax IGI Precision Ltd. 3D micro and nano structure mastering and prototype replication Delaware, USA 100.00 % 100.00 % Himax Technologies Limited Emza Visual Sense Ltd. (2) Visual sensors and efficient machine vision algorithm Israel 100.00 % — Himax Technologies Limited CM Visual Technology Corp. Omniwide film products design and sales ROC 66.71 % 66.71 % Note (1): For management purpose, Himax Media Solutions, Inc. was merged into Himax Technologies Limited on May 3, 2022. Note (2): On October 25, 2022, Himax Technologies Limited disposed its 100% shareholdings in Emza Visual Sense Ltd. (“EMZA”). Refer to Note 6 for further details. |
Schedule of basic and diluted earnings per ordinary share | Basic and diluted earnings per ordinary share have been calculated as follows: Year Ended December 31, 2020 2021 2022 Profits attributable to Himax Technologies, Inc. stockholders (in thousands) $ 47,134 436,896 236,982 Denominator for basic earnings per ordinary share: Weighted average number of ordinary shares outstanding (in thousands) 345,708 349,228 349,448 Basic earnings per ordinary share attributable to Himax Technologies, Inc. stockholders $ 0.14 1.25 0.68 Basic earnings per ADS attributable to Himax Technologies, Inc. stockholders (1) $ 0.27 2.50 1.36 Contingently issuable ordinary shares underlying the unvested RSUs and employee stock options granted to employees are included in the calculation of diluted earnings per ordinary share based on treasury stock method. Year Ended December 31, 2020 2021 2022 Profits attributable to Himax Technologies, Inc. stockholders (in thousands) $ 47,134 436,896 236,982 Denominator for diluted earnings per ordinary share: Weighted average number of ordinary shares outstanding (in thousands) 345,708 349,228 349,448 Unvested RSUs (in thousands) - 505 187 Employee stock options (in thousands) 1,058 - - 346,766 349,733 349,635 Diluted earnings per ordinary share attributable to Himax Technologies, Inc. stockholders $ 0.14 1.25 0.68 Diluted earnings per ADS attributable to Himax Technologies, Inc. stockholders (1) $ 0.27 2.50 1.36 Note (1): As the Company’s ordinary shares have been quoted on the NASDAQ Global Select Market under the symbol “HIMX” in the form of ADSs and two ordinary shares represent one ADS with effect from August 10, 2009. The number of ADS equivalent outstanding is determined by dividing the number of ordinary shares by two. Therefore, the weighted average number of ADS equivalent outstanding used in basic earnings per ADS for 2020, 2021 and 2022 is 172,854 thousand, 174,614 thousand and 174,724 thousand, respectively. Additionally, the weighted average number of ADS equivalent outstanding used in diluted earnings per ADS for 2020, 2021 and 2022 is 173,383 thousand, 174,867 thousand and 174,817 thousand, respectively. The earnings per ADS is presented solely for the convenience of the reader and does not represent a measure under IFRS. |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
CM Visual Technology Corp | |
Disclosure of detailed information about business combination [line items] | |
Schedule of estimated fair value of the assets acquired and liabilities assumed at the date of acquisition | Fair value (in thousands) Recognized amounts of identifiable assets acquired and liabilities assumed: Cash $ 7,982 Current assets, other than cash 2,602 Property, plant and equipment 1,906 Other intangible assets 704 Other current liabilities (3,181) Total identifiable net assets acquired 10,013 Noncontrolling interests (3,333) Total consideration paid $ 6,680 |
Disposal of subsidiary (Tables)
Disposal of subsidiary (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disposal of Subsidiary | |
Schedule of disposal of subsidiary | EMZA (in thousands) Cash $ 323 Current assets, other than cash 2,241 Property, plant and equipment 179 Other intangible assets 4,436 Other non-current assets 587 Other current and non-current liabilities (4,148) Net assets disposed of $ 3,618 |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Cash and Cash Equivalents | |
Schedule of cash and cash equivalents | December 31, December 31, 2021 2022 (in thousands) Cash, demand deposits and checking accounts $ 333,524 217,181 Time deposits with less than three months maturity date 2,500 4,400 $ 336,024 221,581 |
Financial Assets at Amortized_2
Financial Assets at Amortized Cost (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial Assets at Amortized Cost | |
Schedule of financial assets at amortized cost | December 31, December 31, 2021 2022 (in thousands) Time deposit with original maturities more than three months $ 26,013 8,314 |
Financial Assets at Fair Valu_3
Financial Assets at Fair Value Through Profit or Loss (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial Assets at Fair Value Through Profit or Loss | |
Summary of financial assets at fair value through profit or loss | December 31, December 31, 2021 2022 (in thousands) Money market fund $ 2,345 - Equity securities-unlisted company 13,668 15,350 $ 16,013 15,350 Current $ 2,345 - Non-current 13,668 15,350 $ 16,013 15,350 |
Accounts Receivable, net (Table
Accounts Receivable, net (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounts Receivable, net | |
Schedule of accounts receivable, net | December 31, December 31, 2021 2022 (in thousands) Accounts receivable $ 410,140 261,112 Accounts receivable from related parties 71 36 Less: Loss allowance - - $ 410,211 261,148 |
Schedule of analysis of expected credit losses | December 31, 2021 Loss Carrying allowance amount of Weighted for lifetime accounts average loss expected receivable rate credit (in thousands) (in thousands) Not past due $ 408,415 0 % $ — Past due within 30 days 795 0 % — Past due 31‑60 days 924 0 % — Past due 61‑90 days 77 0 % — Past due 91‑120 days - 0 % — Past due over 121 days - 100.00 % — $ 410,211 $ — December 31, 2022 Loss Carrying allowance amount of Weighted for lifetime accounts average loss expected receivable rate credit (in thousands) (in thousands) Not past due $ 258,974 0 % $ - Past due within 30 days 1,884 0 % - Past due 31‑60 days 121 0-32.15 % - Past due 61‑90 days 75 0-47.02 % - Past due 91‑120 days 94 0-77.69 % - Past due over 121 days - 100.00 % - $ 261,148 $ - |
Summary of activity in the loss allowance | The activity in the loss allowance is as follows: Loss Allowance Balance at Amounts Beginning Charges to utilized / Balance at Period of year earnings write-offs end of year (in thousands) Year 2020 $ 190 - - 190 Year 2021 $ 190 (190) - - Year 2022 $ - - - - |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventories | |
Schedule of inventories | December 31, December 31, 2021 2022 (in thousands) Finished goods $ 53,884 63,425 Work in process 107,355 169,166 Raw materials 36,963 138,086 Supplies 398 256 $ 198,600 370,933 |
Equity Method Investments (Tabl
Equity Method Investments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity Method Investments | |
Schedule of equity method investments in associates | Associates consisted of the following: December 31, 2021 December 31, 2022 Place of Incorporation Name of Principal and Carrying Holding Carrying Holding Associate Activities Operation amount % amount % (in thousands) (in thousands) Ganzin Technology Corp. Eye tracking chip and module Taipei, Taiwan $ - 42.01 $ - 35.72 Iris Optronics Co., Ltd. E-paper manufacturing and sales Tainan, Taiwan 174 6.25 315 4.93 Viewsil Microelectronics (Kunshan) Limited IC design and sales Kunshan, China 2,671 49.00 2,635 49.00 Guangzhou Pixtalks Information Technology Co., Ltd. 3D structured light module Guangzhou, China 457 22.50 285 29.50 Prilit Optronics, Inc. LCD panel components manufacturing Tainan, Taiwan - - 3,298 15.00 $ 3,302 $ 6,533 |
Schedule of amount recognized by the Company at its share of those associates | There is no individually significant associate for the Company. The following table summarized the amount recognized by the Company at its share of those associates: For the year ended December 31, 2020 2021 2022 (in thousands) The Company’s share of losses of associates $ (638) (1,392) (743) The Company’s share of other comprehensive income of associates $ 58 55 (86) The Company’s share of total comprehensive income of associates $ (580) (1,337) (829) |
Other Intangible Assets (Tables
Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Intangible Assets | |
Schedule of other intangible assets | Technology Software Others Total (in thousands) Cost Balance at January 1, 2021 $ 13,171 5,506 3,444 22,121 Additions - 468 - 468 Disposals - (332) - (332) Effect of exchange rate changes - 22 (21) 1 Balance at December 31, 2021 13,171 5,664 3,423 22,258 Additions - 331 - 331 Disposals - (8) - (8) Disposal of subsidiary (6,282) - (2,182) (8,464) Effect of exchange rate changes - (18) (69) (87) Balance at December 31, 2022 $ 6,889 5,969 1,172 14,030 Accumulated Amortization Balance at January 1, 2021 $ 8,786 5,092 367 14,245 Amortization for the year 1,105 452 181 1,738 Disposals - (332) — (332) Effect of exchange rate changes - 21 (31) (10) Balance at December 31, 2021 9,891 5,233 517 15,641 Amortization for the year 887 323 168 1,378 Disposals - (8) - (8) Disposal of subsidiary (3,889) - (139) (4,028) Effect of exchange rate changes - (17) (30) (47) Balance at December 31, 2022 $ 6,889 5,531 516 12,936 Carrying amounts At December 31, 2021 $ 3,280 431 2,906 6,617 At December 31, 2022 $ - 438 656 1,094 |
Schedule of estimated useful lives of other intangible assets | Other intangible assets were amortized on a straight-line basis over their estimated useful lives as follows: Technology 7 years Software 2-10 years Others (except for trademark) 7-15 years |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment | |
Schedule of property, plant and equipment | (a) Prepayments for purchase Research Office of equipment Building and furniture and and development and construction Land improvements Machinery equipment equipment Others in progress Total (in thousands) Cost Balance at January 1, 2021 $ 41,828 75,403 74,956 45,487 14,657 33,248 852 286,431 Additions - 60 1,705 4,565 731 13,307 447 20,815 Transfers - - 783 69 - - (852) - Disposals - (79) (5) (895) (2,286) (106) - (3,371) Effect of exchange rate changes - (1) 2 1 25 (7) - 20 Balance at December 31, 2021 41,828 75,383 77,441 49,227 13,127 46,442 447 303,895 Additions - 1,129 2,730 1,946 1,301 4,030 2,210 13,346 Transfers - — 335 112 - - (447) - Disposals - (37) (2) (1,861) (152) (2,163) - (4,215) Disposal of subsidiary - - - - (103) (225) - (328) Effect of exchange rate changes - - - - (168) (371) - (539) Balance at December 31, 2022 $ 41,828 76,475 80,504 49,424 14,005 47,713 2,210 312,159 Accumulated Depreciation Balance at January 1, 2021 $ - 24,647 57,576 39,283 12,076 20,775 - 154,357 Depreciation for the year - 4,232 5,824 2,551 1,048 5,949 - 19,604 Disposals - (79) (5) (895) (2,286) (89) - (3,354) Effect of exchange rate changes - - - 2 21 29 - 52 Balance at December 31, 2021 - 28,800 63,395 40,941 10,859 26,664 - 170,659 Depreciation for the year - 4,212 4,964 3,125 1,132 6,531 - 19,964 Disposals - (37) (2) (1,861) (152) (1,969) - (4,021) Disposal of subsidiary - - - - (57) (92) - (149) Effect of exchange rate changes - - - - (141) (291) - (432) Balance at December 31, 2022 $ - 32,975 68,357 42,205 11,641 30,843 - 186,021 Carrying amounts At December 31, 2021 $ 41,828 46,583 14,046 8,286 2,268 19,778 447 133,236 At December 31, 2022 $ 41,828 43,500 12,147 7,219 2,364 16,870 2,210 126,138 |
Schedule of estimated useful lives of property plant and equipment | Buildings 25 years Building improvements 4-16 years Machinery 4-10 years Research and development equipment 2-6 years Office furniture and equipment 3-8 years Others 2-15 years |
Schedule of lease liabilities | December 31, December 31, 2021 2022 (in thousands) Current portion (classified under other current liabilities) $ 4,602 4,218 Non-current portion (classified under other non-current liabilities) 11,258 7,457 $ 15,860 11,675 |
Schedule of additional lease information | Year ended December 31, 2020 2021 2022 (in thousands) Expenses relating to short-term leases $ 258 162 364 Expenses relating to low-value asset leases $ 230 342 113 Expenses relating to variable lease payments not included in the measurement of lease liabilities $ 2,018 1,874 2,920 |
Schedule of reconciliation of lease liabilities to cash flows arising from financing activities | The reconciliation of lease liabilities to cash flows arising from financing activities was as follows: Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 10,454 15,860 Change from financing activities: Payment of lease liabilities (4,668) (4,294) Total change from financing activities (4,668) (4,294) Other changes: New lease 11,247 2,395 Interest expense 213 222 Interest paid (213) (222) Lease modifications - (194) Disposal of subsidiary - (138) Effect of exchange rate changes (1,173) (1,954) Total liability-related other changes 10,074 109 Balance at end of year $ 15,860 11,675 |
Other Current Liabilities (Tabl
Other Current Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Other Current Liabilities | |
Schedule of other current liabilities | December 31, December 31, 2021 2022 (in thousands) Accrued payroll and related expenses $ 18,515 22,586 Guarantee deposit received - 14,251 Accrued mask, mold fees and other expenses for RD 13,379 10,330 Payable for purchases of building and equipment 3,481 2,670 Accrued software maintenance 4,359 3,850 Allowance for sales discounts 1,570 2,180 Lease liabilities 4,602 4,218 Provision on onerous inventory contract - 5,791 Accrued insurance, welfare expenses, professional fee and others 13,638 9,659 $ 59,544 75,535 |
Schedule of activity in the sales discounts | The activity in the sales discounts is as follows: Allowance for sales discounts Balance at Balance at beginning Charges to Amounts end of Period of year earnings utilized year (in thousands) Year 2020 $ 896 8,791 (8,878) 809 Year 2021 $ 809 13,632 (12,871) 1,570 Year 2022 $ 1,570 26,830 (26,220) 2,180 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Short-Term Borrowings | |
Schedule of short-term borrowing | December 31, December 31, 2021 2022 (in thousands) Secured borrowings $ 151,400 369,300 Unused credit lines $ 277,362 323,212 Interest rate-secured borrowings 0.32% ~ 0.38 % 0.35% ~ 1.78 % |
Schedule of reconciliation of liabilities to cash flows arising from financing activities | Unsecured Secured borrowings borrowings (in thousands) January 1, 2021 $ - 104,000 Change from financing activities: Proceeds from borrowings 15,000 611,600 Repayments of borrowings (15,000) (564,200) Total changes from financing activities - 47,400 December 31,2021 - 151,400 Change from financing activities: Proceeds from borrowings - 1,212,700 Repayments of borrowings - (994,800) Total changes from financing activities - 217,900 December 31,2022 $ - 369,300 |
Long-Term Borrowings (Tables)
Long-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Long-Term Borrowings | |
Schedule of long-term borrowings | December 31, December 31, 2021 2022 (in thousands) Unsecured borrowings $ 52,500 46,500 Less: current portion (6,000) (6,000) Total $ 46,500 40,500 Unused long-term credit lines $ 40,000 83,500 Interest rate 0.62467% ~ 0.73055% 5.48% Duration 2020/8/4~ 2030/9/2 2020/8/4~ 2030/9/2 |
Schedule of reconciliation of borrowings to cash flows arising from financing activities | Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 58,500 52,500 Change from financing activities: Proceeds from borrowings - 40,000 Repayments of borrowings (6,000) (46,000) Total changes from financing activities (6,000) (6,000) Balance at end of year $ 52,500 46,500 |
Employee benefits (Tables)
Employee benefits (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Employee benefits | |
Schedule of reconciliations of defined benefit obligation at present value and plan asset at fair value | December 31, December 31, 2021 2022 (in thousands) Present value of the defined benefit obligations $ 3,489 3,060 Fair value of plan assets (4,065) (4,307) Prepaid pension costs $ (576) (1,247) |
Schedule of movements in present value of the defined benefit obligations | Year ended December 31, 2021 2022 (in thousands) Balance at beginning of year $ 3,562 3,489 Service costs - 4 Interest expense 15 27 Remeasurements loss (gain): Actuarial loss (gain) arising from: -Changes in demographic assumptions 32 24 -Experience adjustment 116 167 -Change in financial assumptions (253) (551) Effect of changes in exchange rates 17 (100) Balance at end of year $ 3,489 3,060 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |
Schedule of share-based compensation expenses | Year ended December 31, 2020 2021 2022 (in thousands) Cost of revenues $ 87 682 481 Research and development 4,467 17,662 15,345 General and administrative 368 2,367 2,193 Sales and marketing 603 3,163 2,612 Total compensation $ 5,525 23,874 20,631 Income tax benefit $ 1,176 4,896 4,201 |
Schedule of RSUs activity under the long-term incentive plan | Number of Weighted Underlying Average Grant Shares for RSUs Date Fair Value Balance at January 1, 2020 18,493 $ 7.34 Granted 1,402,714 3.44 Vested (1,392,355) 3.47 Forfeited (5,963) 6.57 Balance at December 31, 2020 22,889 3.88 Granted 2,604,545 10.39 Vested (2,237,499) 10.37 Forfeited (3,415) 4.38 Balance at December 31, 2021 386,520 10.17 Granted 3,987,509 5.09 Vested (3,563,177) 5.25 Forfeited (18,643) 10.15 Balance at December 31, 2022 792,209 6.71 |
Schedule of allocation of compensation expenses and related tax effects from the RSUs granted to employees under the long-term incentive plan | Year ended December 31, 2020 2021 2022 (in thousands) Cost of revenues $ 70 676 472 Research and development 3,924 17,592 15,097 General and administrative 319 2,343 1,934 Sales and marketing 520 3,149 2,497 Total compensation $ 4,833 23,760 20,000 Income tax benefit $ 1,044 4,896 4,201 |
Schedule of valuation assumptions | 2019 plan Valuation assumptions: Expected dividend yield 3.5 % Expected volatility 51.96%-57.79 % Expected term (years) 1-1.5 Risk-free interest rate 1.69%-1.75 % |
Schedule of stock option activity | Weighted Weighted average average remaining Number exercise contractual of Units price term Balance at January 1, 2020 2,226,690 $ 2.27 1.5 Granted 163,500 3.05 0.88 Exercised (1,574,869) 2.32 Forfeited (236,853) 2.30 Balance at December 31, 2020 578,468 2.36 0.54 Exercised (524,387) 2.37 Expired (54,081) 2.27 Balance at December 31, 2021 - - - Exercisable at December 31, 2021 - - - (b) Employee stock options (i) On March 19, 2021, board of directors of CM Visual Technology Corp. approved a plan to grant stock options, the 2021 plan, to certain employees. This plan authorizes grants to purchase up to 3,000,000 shares of CM Visual Technology Corp.’ authorized but unissued ordinary shares. The exercise price was NT $10 (US$ 0.36 ). |
CM Visual Technology Corp | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |
Schedule of valuation assumptions | 2021 plan Valuation assumptions: Expected dividend yield 0% Expected volatility 43.82% Expected term (years) 3.125 Risk-free interest rate 0.223% |
Schedule of stock option activity | Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2021 - $ - Granted 2,791,000 0.36 Exercised - - Forfeited (120,000) 0.36 Balance at December 31, 2021 2,671,000 0.36 3.5 Forfeited (380,000) 0.36 Balance at December 31, 2022 2,291,000 0.36 2.5 Exercisable at December 31, 2022 - - - |
Liqxtal Technology Inc | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |
Schedule of valuation assumptions | 2021 plan Valuation assumptions: Expected dividend yield 0% Expected volatility 30.06% Expected term (years) 1.25 Risk-free interest rate 0.107% |
Schedule of stock option activity | Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2021 - $ - Granted 1,000,000 0.65 Exercised - - Forfeited (90,000) 0.65 Balance at December 31, 2021 910,000 0.65 1.0 Exercised (840,000) 0.65 Forfeited (70,000) 0.65 Balance at December 31, 2022 - - - Exercisable at December 31, 2022 - - - |
Emza | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |
Schedule of valuation assumptions | 2022 Option Plan Valuation assumptions: Expected dividend yield 0 % Expected volatility 54.05 % Expected term (years) 6.11 Risk-free interest rate 0.65 % |
Schedule of stock option activity | Weighted Weighted average average remaining Number exercise contractual of shares price term Balance at January 1, 2022 — $ — Granted 150,940 20.49 6.11 Exercised — — Forfeited (1,797) 20.49 Cancelled (149,143) 20.49 Balance at December 31, 2022 — — — Exercisable at December 31, 2022 — — — |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity | |
Schedule of balance of additional paid-in capital | Balance of additional paid-in capital as of December 31, 2021 and 2022 were as follows: December 31, December 31, 2021 2022 (in thousands) From ordinary shares $ 93,341 93,341 From treasury shares 6,911 6,744 From share-based compensation 8,051 10,715 From share of changes in equities of associates 538 1,449 $ 108,841 112,249 |
Schedule of changes in accumulated other comprehensive income, net of tax | Changes in accumulated other comprehensive income, net of tax, are as follows: Unrealized Defined Accumulated Foreign gains benefit other currency (losses) on pension comprehensive translation securities plans income (in thousands) Beginning balance, January 1, 2020 $ (296) (936) 280 (952) Exchange differences arising on translation of foreign operations 512 - - 512 Changes in fair value of financial assets - 67 - 67 Remeasurement of defined benefit pension plans - - (175) (175) Ending balance, December 31, 2020 216 (869) 105 (548) Exchange differences arising on translation of foreign operations (72) - - (72) Changes in fair value of financial assets - (179) - (179) Remeasurement of defined benefit pension plans - - 133 133 Ending balance, December 31, 2021 144 (1,048) 238 (666) Exchange differences arising on translation of foreign operations (245) - - (245) Changes in fair value of financial assets - 142 - 142 Remeasurement of defined benefit pension plans - - 551 551 Ending balance, December 31, 2022 $ (101) (906) 789 (218) |
Schedule of noncontrolling interest | (e) Noncontrolling interest Year ended December 31, 2020 2021 2022 (in thousands) Balance at the beginning of year $ (1,743) 5,023 2,258 Equity attributable to non-controlling interests Loss for the year (1,974) (2,961) (1,515) Changes in fair value of financial assets (2) (2) 10 Remeasurement of defined benefit pension plans (1) 5 26 Share-based compensation expenses 8 38 140 New shares issued by subsidiaries 8,695 - 445 Purchase of subsidiaries shares from noncontrolling interest - 175 - Effect of Himax Media Solutions, Inc. merged into Himax Taiwan - - (197) Disposal of financial assets at fair value through other comprehensive income - - (6) Exchange differences arising on translation of foreign operations 44 - 88 Declaration of cash dividends (4) (20) - Balance at the end of year $ 5,023 2,258 1,249 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Taxes | |
Schedule of income tax expense (benefit) recognized in profit or loss | (a) Income tax expense (benefit) recognized in profit or loss for the years ended December 31, 2020, 2021 and 2022 consists of the following: Year ended December 31, 2020 2021 2022 (in thousands) Current tax expense Current period $ 13,599 102,297 48,808 Adjustment for prior periods (363) 12 (2,723) 13,236 102,309 46,085 Deferred tax expense Origination and reversal of temporary differences 370 310 (5,742) Investment tax credits and operating loss carryforward (1,894) 8,038 755 (1,524) 8,348 (4,987) Total income tax expense $ 11,712 110,657 41,098 |
Schedule of income taxes expense (benefit) recognized directly in other comprehensive income | (b) Income taxes expense (benefit) recognized directly in other comprehensive income for the years ended December 31, 2020, 2021 and 2022 consist of the following: Year ended December 31, 2020 2021 2022 (in thousands) Items that will not be reclassified to profit or loss: Remeasurements of defined benefit pension plans $ (38) 27 107 |
Schedule of reconciliation of the expected income tax expense computed based on the ROC statutory income tax rate, compared with the actual income tax expense as reported in the consolidated statements of profit or loss | (c) Reconciliation of the expected income tax expense computed based on the ROC statutory income tax rate of 20% compared with the actual income tax expense as reported in the consolidated statements of profit or loss for the years ended December 31, 2020, 2021 and 2022 are summarized as follows: Years ended December 31, 2020 2021 2022 Rate Amount Rate Amount Rate Amount (in thousands) (in thousands) (in thousands) Profit before income taxes $ 56,872 $ 544,592 $ 276,565 Income tax expense calculated at the statutory rate 20.0 % 11,374 20.0 % 108,919 20.0 % 55,313 Tax on undistributed earnings 3.0 % 1,727 4.2 % 22,648 3.9 % 10,668 Tax benefit resulting from setting aside legal reserve from prior year’s income - - - (267) (0.8) % (2,215) Tax benefit resulting from actual investment from prior year’s undistributed earnings - - - (161) (0.1) % (303) Increase in tax credits (12.1) % (6,895) (3.3) % (17,934) (5.6) % (15,556) Effect of change of unrecognized deductible temporary differences, tax losses carryforwards and investment tax credits 8.7 % 4,954 0.7 % 3,668 1.7 % 4,706 Net of non-taxable income and non-deductible expense 0.2 % 129 (2.0) % (10,680) (5.0) % (13,728) Changes in unrecognized tax benefits related to prior year tax positions (1.2) % (709) 0.5 % 2,763 1.1 % 3,003 Foreign tax rate differential 1.5 % 881 0.2 % 837 0.5 % 1,370 Variance from audits, amendments and examinations of prior years’ income tax filings (0.6) % (363) - 440 (0.1) % (205) Others 1.1 % 614 - 424 (0.7) % (1,955) Income tax expense $ 11,712 $ 110,657 $ 41,098 Effective tax rate 20.6 % 20.3 % 14.9 % |
Schedule of components of deferred tax assets and deferred tax liabilities | (d) As of December 31, 2021 and 2022, the components of deferred tax assets and deferred tax liabilities were as follows: December 31, December 31, 2021 2022 (in thousands) Deferred tax assets: Inventory $ 2,955 5,335 Operating loss carryforward-statutory tax 755 - Accrued compensated absences 901 926 Allowance for sales discounts 720 1,465 Depreciation 601 641 Unrealized foreign exchange loss - - Others 1,259 3,430 $ 7,191 11,797 Deferred tax liabilities: Acquired intangible assets $ (756) - Remeasurement of defined benefit plans (138) (250) Unrealized foreign exchange gain (71) (364) Others - (77) $ (965) (691) |
Schedule of changes in deferred tax assets and liabilities | (e) Changes in deferred tax assets and liabilities were as follows: Recognized Recognized Recognized in other Recognized in other January 1, in profit or comprehensive December in profit or comprehensive December 2021 loss income 31, 2021 loss income 31, 2022 (in thousands) Inventory $ 4,426 (1,471) - 2,955 2,380 - 5,335 Tax credit carryforwards 7,780 (7,780) - - - - - Operating loss carryforward 1,013 (258) - 755 (755) - - Accrued compensated absences 735 166 - 901 25 - 926 Allowance for sales discounts 411 309 - 720 745 - 1,465 Depreciation 561 40 - 601 40 - 641 Unrealized foreign exchange loss 162 (233) - (71) (293) - (364) Remeasurement of defined benefit plans (107) (4) (27) (138) (5) (107) (250) Acquired intangible assets (1,014) 258 - (756) 756 - - Others 634 625 - 1,259 2,094 - 3,353 Total $ 14,601 (8,348) (27) 6,226 4,987 (107) 11,106 |
Schedule of unrecognized deferred tax assets | (f) Unrecognized Deferred Tax Assets Gross amount of deferred tax assets have not been recognized in respect of the following items. December 31, December 31, 2021 2022 (in thousands) Unused tax credits $ 1,560 1,560 Unused operating loss carryforwards-statutory tax 246,023 206,259 Unused operating loss carryforwards-undistributed earnings tax 283,578 271,093 Others 30,364 29,413 $ 561,525 508,325 |
Schedule of unrecognized deferred tax assets of unused operating loss carry forwards | As of December 31, 2022, the expiration period for abovementioned unrecognized deferred tax assets of unused operating loss carryforwards for statutory tax were as follows: Unrecognized Deductible amount deferred tax assets Expiration year (in thousands) Taiwan operations $ 101,704 $ 20,341 2023~2027 90,417 18,083 2028~2032 Hong Kong operations 1,815 150 Indefinitely US operations 12,323 3,497 2024~Indefinitely $ 42,071 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial Instruments | |
Schedule of financial assets | (i) Financial assets December 31, December 31, 2021 2022 (in thousands) Financial assets measured at fair value through profit or loss (including current and noncurrent) $ 16,013 15,350 Financial assets measured at fair value through other comprehensive income 410 279 Measured at amortized cost: Cash and cash equivalents 336,024 221,581 Financial assets at amortized cost 26,013 8,314 Accounts receivable and other receivables (including related parties) 423,357 268,418 Restricted deposit (including current and noncurrent) 154,136 369,332 Refundable deposits (including current and noncurrent) 231,415 237,475 Subtotal 1,170,945 1,105,120 Total $ 1,187,368 1,120,749 |
Schedule of financial liabilities | (ii) Financial liabilities December 31, December 31, 2021 2022 (in thousands) Measured at amortized cost: Short-term secured borrowings $ 151,400 369,300 Accounts payables and other payables (including related parties) 305,755 177,593 Long-term unsecured borrowings (including current portion) 52,500 46,500 Lease liabilities (including current and noncurrent) 15,860 11,675 Guarantee deposits 55,215 66,631 Total $ 580,730 671,699 |
Schedule of contractual maturities of financial liabilities, including estimated interest payments of short-term borrowings. | The following, except for payables (including related parties) that are repayable within a year, are the contractual maturities of financial liabilities, including estimated interest payments of unsecured borrowings, secured borrowings and lease liabilities. Contractual Within 6 6 ‑ 12 Over 5 (in thousands) cash flows months months 1 ‑ 2 years 2 ‑ 5 years years December 31, 2021 Non-derivative financial liabilities Short-term secured borrowings $ 151,601 111,582 40,019 — — — Long-term unsecured borrowings (including current portion) 54,015 3,167 3,159 6,287 18,624 22,778 Lease liabilities 16,174 2,460 2,298 3,881 7,513 22 Guarantee deposits 55,215 1,165 — 5,840 48,210 — $ 277,005 118,374 45,476 16,008 74,347 22,800 December 31, 2022 Non-derivative financial liabilities Short-term secured borrowings $ 369,658 369,658 — — — — Long-term unsecured borrowings (including current portion) 56,434 4,290 4,159 8,059 22,186 17,740 Lease liabilities 11,915 2,188 2,166 4,868 2,693 — Guarantee deposits 66,631 14,532 — 52,099 — — $ 504,638 390,668 6,325 65,026 24,879 17,740 |
Schedule of company's significant exposure to foreign currency risk | The Company’s significant exposure to foreign currency risk was as follows: (in thousands) December 31, 2021 December 31, 2022 Foreign Exchange Functional Foreign Exchange Functional currency rate currency currency rate currency Financial assets Monetary items NTD 447,596 27.68 16,170 333,733 30.71 10,867 CNY 36,450 6.3941 5,701 37,346 6.9669 5,360 JPY 29,279 115.0936 254 1,110,308 132.1429 8,402 Financial liabilities Monetary items NTD 3,450,959 27.68 124,672 2,900,734 30.71 94,456 JPY 1,459,700 115.0936 12,683 1,080,956 132.1429 8,180 |
Schedule of fair value hierarchy | December 31, 2021 Carrying Fair Value (in thousands) Amount Level 1 Level 2 Level 3 Total Financial assets measured at fair value through profit or loss Money market fund $ 2,345 2,345 — — 2,345 Equity securities-unlisted company 13,668 — — 13,668 13,668 Subtotal 16,013 2,345 — 13,668 16,013 Financial assets measured at fair value through other comprehensive income Equity securities-unlisted company 410 — — 410 410 Total $ 16,423 2,345 — 14,078 16,423 December 31, 2022 Carrying Fair Value (in thousands) Amount Level 1 Level 2 Level 3 Total Financial assets measured at fair value through profit or loss Equity securities-unlisted company $ 15,350 - - 15,350 15,350 Subtotal 15,350 - - 15,350 15,350 Financial assets measured at fair value through other comprehensive income Equity securities-unlisted company 279 - - 279 279 Total $ 15,629 - - 15,629 15,629 |
Schedule of movement in financial assets included in Level 3 of fair value hierarchy | Financial assets Financial assets at fair value at fair value through other through profit or comprehensive (in thousands) Loss Income Total January 1, 2021 $ 13,966 742 14,708 Disposal-capital reduction of investment — (151) (151) Recognized in other comprehensive income — (181) (181) Recognized in profit or loss (298) — (298) December 31, 2021 $ 13,668 410 14,078 Financial assets Financial assets at fair value at fair value through other through profit or comprehensive (in thousands) loss income Total January 1, 2022 $ 13,668 410 14,078 Addition 500 — 500 Disposal — (283) (283) Recognized in other comprehensive income — 152 152 Recognized in profit or loss 1,182 — 1,182 December 31, 2022 $ 15,350 279 15,629 |
Financial Risk Management (Tabl
Financial Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Financial Risk Management | |
Schedule of sales percentage from significant customer | The Company depends on two customers for majority of its revenues. The Company’s sales to these two customers as a percentage of revenues are as follows: Year Ended December 31, 2020 2021 2022 Customer A and its affiliates 32.6% 32.1% 32.3% Customer C 12.7% 19.1% 9.4% |
Schedule of accounts receivable percentage from significant customers | The percentage of the Company’s accounts receivable accounted by customers, those representing more than 10% of total accounts receivable balance, is summarized as follows: December 31, December 31, 2021 2022 Customer A and its affiliates 39.0% 31.5% Customer C 12.1% 10.3% |
Capital management (Tables)
Capital management (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Capital management | |
Schedule of capital management | There were no changes in the Company’s approach to capital management during the year ended December 31,2022. Neither the Company nor its subsidiaries are subject to externally imposed capital managements. December 31, December 31, 2021 2022 (in thousands) Total liabilities $ 731,212 807,937 Less: cash and cash equivalents 336,024 221,581 $ 395,188 586,356 Equity attributable to owners of Himax Technologies, Inc. $ 869,724 892,572 |
Related-party Transactions (Tab
Related-party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Related-party Transactions | |
Schedule of transactions between related parties | Sales and accounts receivable Year ended December 31, 2020 2021 2022 (in thousands) Sales of goods Other related parties $ — 125 215 December 31, 2021 2022 (in thousands) Accounts receivable Other related parties $ 71 36 Year ended December 31, 2020 2021 2022 (in thousands) Purchase of raw materials CMMT $ 663 3,469 1,079 Other related parties 26 63 — $ 689 3,532 1,079 December 31, 2021 2022 (in thousands) Accounts payable CMMT $ 233 263 Other related parties 32 — $ 265 263 Year ended December 31, 2020 2021 2022 (in thousands) Revenue from miscellaneous service Associates $ — 63 181 Other related parties — 3 9 $ — 66 190 Technical service fee Viewsil $ 1,400 1,400 1,050 Miscellaneous fee CMMT $ 84 791 496 Associates — 4 — $ 84 795 496 December 31, 2021 2022 (in thousands) Other receivable Associates $ 14 24 Other related parties 3 — $ 17 24 Other payable Viewsil $ 1,400 2,450 Other related parties 241 118 $ 1,641 2,568 (c) Compensation of key management personnel |
Schedule of compensation to key management personnel | The compensation to key management personnel for the years ended December 31, 2020, 2021 and 2022 were as follows: Year ended December 31, 2020 2021 2022 (in thousands) Short-term employee benefits $ 884 1,068 1,721 Post-employment benefits 9 12 11 Share-based compensation 41 671 363 $ 934 1,751 2,095 |
Pledged assets (Tables)
Pledged assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Pledged assets | |
Schedule of pledged assets | December 31, December 31, Pledged assets Pledged to secure 2021 2022 (in thousands) Restricted cash and time deposit (1) Short-term secured borrowings $ 151,400 369,300 Restricted time deposits (1) For foundry capacities 2,700 — Restricted time deposits (1) For customs duties 36 32 Land (2) Long-term unsecured borrowings 27,500 27,500 Building and improvements (2) Long-term unsecured borrowings 40,310 38,071 $ 221,946 434,903 Note (1): The pledged assets are booked as restricted deposits and classified as current or noncurrent by its liquidity. Note (2): Guarantee and collateral for long-term unsecured borrowings. |
Segment, Product and Geograph_2
Segment, Product and Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment, Product and Geographic Information | |
Schedule of segment reporting | Year Ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 756,522 130,760 887,282 Segment operating income (loss) $ 98,687 (40,761) 57,926 Non operating loss, net (1,054) Consolidated profit before income taxes $ 56,872 Significant noncash items: Share-based compensation $ 481 282 763 Depreciation and amortization $ 5,959 17,637 23,596 Year Ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 1,361,442 185,655 1,547,097 Segment operating income (loss) $ 551,943 (6,922) 545,021 Non operating loss, net (429) Consolidated profit before income taxes $ 544,592 Significant noncash items: Share-based compensation $ 424 276 700 Depreciation and amortization $ 5,598 15,744 21,342 Year Ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) Segment revenues $ 1,042,938 158,401 1,201,339 Segment operating income (loss) $ 275,275 (17,688) 257,587 Non operating income, net 18,978 Consolidated profit before income taxes $ 276,565 Significant noncash items: Share-based compensation $ 1,655 1,441 3,096 Depreciation and amortization $ 8,261 13,081 21,342 |
Schedule of segment revenues in geographic region | The following tables summarize information pertaining to the segment revenues from customers in different geographic region (based on customer’s headquarter location): For the year ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) China $ 643,527 63,475 707,002 Taiwan 88,001 35,179 123,180 Other Asia Pacific (Philippines, Korea and Japan) 24,964 31,231 56,195 Europe and America 30 875 905 $ 756,522 130,760 887,282 For the year ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) China $ 1,149,442 111,656 1,261,098 Taiwan 167,728 51,378 219,106 Other Asia Pacific (Philippines, Korea and Japan) 44,272 21,912 66,184 Europe and America — 709 709 $ 1,361,442 185,655 1,547,097 For the year ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) China $ 828,754 96,675 925,429 Taiwan 149,037 26,507 175,544 Other Asia Pacific (Philippines, Korea, Japan and Israel) 64,523 25,735 90,258 Europe and America 624 9,484 10,108 $ 1,042,938 158,401 1,201,339 |
Schedule of segment revenues from major product lines | The following tables summarize information pertaining to the segment revenues from major product lines: For the year ended December 31, 2020 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 240,789 — 240,789 Display drivers for small and medium-sized applications 515,733 — 515,733 Non-driver products — 130,760 130,760 $ 756,522 130,760 887,282 For the year ended December 31, 2021 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 397,905 — 397,905 Display drivers for small and medium-sized applications 963,537 — 963,537 Non-driver products — 185,655 185,655 $ 1,361,442 185,655 1,547,097 For the year ended December 31, 2022 Non-driver Consolidated Driver IC products Total (in thousands) Display drivers for large-sized applications $ 263,992 — 263,992 Display drivers for small and medium-sized applications 778,946 — 778,946 Non-driver products — 158,401 158,401 $ 1,042,938 158,401 1,201,339 |
Schedule of carrying values of company's tangible long-lived assets | The carrying values of the Company’s property, plant and equipment are located in the following countries: December 31, December 31, 2021 2022 (in thousands) Taiwan $ 130,951 123,361 U.S. 1,163 1,595 China 662 834 Korea 343 245 Israel 65 — Japan 52 103 $ 133,236 126,138 |
Schedule of revenues from significant customers | Revenues from significant customers, those representing 10% or more of total revenue for the respective periods, are summarized as follows: Year ended December 31, 2020 2021 2022 (in thousands) Driver IC segment: Customer A and its affiliates $ 264,700 443,930 347,794 Customer C 109,911 290,578 112,231 $ 374,611 734,508 460,025 Non-driver products segment: Customer A and its affiliates $ 24,963 53,153 40,400 Customer C 2,593 4,639 1,165 $ 27,556 57,792 41,565 |
Schedule of accounts receivable from significant customers | Accounts receivable from significant customers, those representing 10% or more of total accounts receivable for the respective dates, is summarized as follows: December 31, December 31, 2021 2022 (in thousands) Customer A and its affiliates $ 160,107 82,144 Customer C 49,806 26,838 $ 209,913 108,982 |
Schedule of contract liabilities in relation to revenue from contracts with customers | The Company has recognized the following contract liabilities in relation to revenue from contracts with customers: December 31, December 31, 2021 2022 (in thousands) Contract liabilities-current $ 37,663 49,167 Contract liabilities-non-current $ 10,221 — |
The Nature of Expenses (Tables)
The Nature of Expenses (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
The Nature of Expenses | |
Schedule of depreciation of property, plant and equipment | (a) Depreciation of property, plant and equipment |
Schedule of amortization of intangible assets | (b) Amortization of intangible assets |
Schedule of employee benefit expense | (c) Employee benefits expense |
Himax Technologies, Inc. (the_2
Himax Technologies, Inc. (the Parent Company only) (Tables) - Equity attributable to owners of parent [member] | 12 Months Ended |
Dec. 31, 2022 | |
Statement [line items] | |
Schedule of condensed statements of financial position | Condensed Statements of Financial Position December 31, December 31, 2021 2022 (in thousands) Cash $ 972 2,946 Financial asset at amortized cost 5,659 5,330 Other current assets 516 529 Financial asset at fair value through profit or loss 12,269 13,290 Investments in subsidiaries and affiliates 1,228,969 1,473,234 Total assets $ 1,248,385 1,495,329 Current liabilities $ 885 132 Current portion of long-term unsecured borrowings 6,000 6,000 Short-term secured borrowings 151,400 369,300 Debt borrowing from a subsidiary 173,876 186,825 Long-term unsecured borrowings 46,500 40,500 Total equity 869,724 892,572 Total liabilities and equity $ 1,248,385 1,495,329 |
Schedule of condensed statement of profit or loss | Condensed Statements of Profit or Loss Year ended December 31, 2020 2021 2022 (in thousands) Revenues $ — — — Costs and expenses 704 1,037 486 Operating loss (704) (1,037) (486) Interest income 126 148 166 Changes in fair value of financial assets at fair value through profit or loss 427 (143) 1,021 Foreign currency exchange gains (losses), net 356 115 (487) Finance costs (3,629) (1,320) (4,944) Share of profits of subsidiaries and affiliates 50,558 439,133 241,712 Profit before income taxes 47,134 436,896 236,982 Income tax expense — — — Profit for the year $ 47,134 436,896 236,982 |
Schedule of condensed statements of other comprehensive income | Condensed Statements of Other Comprehensive Income Year Ended December 31, 2020 2021 2022 (in thousands) Profit for the year $ 47,134 436,896 236,982 Other comprehensive income: Items that will not be reclassified to profit or loss: Remeasurements of defined benefit pension plans (213) 160 658 Unrealized gain (loss) on financial assets at fair value through other comprehensive income 67 (179) 142 Income tax related to items that will not be reclassified subsequently 38 (27) (107) Items that may be reclassified subsequently to profit or loss: Foreign operations - foreign currency translation differences 512 (72) (245) Other comprehensive income for the year, net of tax 404 (118) 448 Total comprehensive income for the year $ 47,538 436,778 237,430 |
Schedule of condensed statements of cash flows | Year ended December 31, 2020 2021 2022 (in thousands) Cash flows from operating activities: Profit for the year $ 47,134 436,896 236,982 Adjustments for: Changes in fair value of financial assets at fair value through profit or loss (427) 143 (1,021) Interest income (126) (148) (166) Finance costs 3,629 1,320 4,944 Share of profits of subsidiaries and affiliates (50,558) (439,133) (241,712) Unrealized foreign currency exchange losses (gains) (356) (115) 493 (704) (1,037) (480) Changes in: Other current assets (267) (72) (19) Other current liabilities (71) 750 (689) Cash generated from operating activities (1,042) (359) (1,188) Interest received 130 139 172 Interest paid (730) (858) (2,561) Net cash used in operating activities (1,642) (1,078) (3,577) Cash flows from investing activities: Acquisitions of financial asset at amortized cost (129) (139) (163) Acquisitions of equity method investment (758) — — Net cash used in investing activities (887) (139) (163) Cash flows from financing activities: Payments of cash dividends — (47,404) (217,873) Proceeds from long-term unsecured borrowings 60,000 — — Repayments of long-term unsecured borrowings (1,500) (6,000) (6,000) Proceeds from short-term secured borrowings 278,000 611,600 1,212,700 Repayments of short-term secured borrowings (338,000) (564,200) (994,800) Proceeds from issue of RSUs from subsidiaries — 31 1,187 Proceeds from exercise of employee stock options 3,707 1,182 — Proceeds from debt from a subsidiary 151,730 159,205 197,955 Repayments of debt from a subsidiary (150,430) (154,205) (187,455) Net cash provided by financing activities 3,507 209 5,714 Net increase (decrease) in cash 978 (1,008) 1,974 Cash at beginning of year 1,002 1,980 972 Cash at end of year $ 1,980 972 2,946 |
Application of new and revise_3
Application of new and revised IFRS as issued by the IASB (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Amendments to IFRS 3 "Reference to the Conceptual Framework" | |
Statement [line items] | |
Title of new IFRS | Amendments to IFRS 3 "Reference to the Conceptual Framework" |
Date by which application of new IFRS is required | Jan. 01, 2022 |
Amendments to IFRS 10 and IAS 28 "Sale or Contribution of Assets between An Investor and Its Associate or Joint Venture" | |
Statement [line items] | |
Title of new IFRS | Amendments to IFRS 10 and IAS 28 “Sale or Contribution of Assets Between an Investor and Its Associate or Joint Venture” |
Determination Subject To IASB Approval | Effective date to be determined by IASB |
IFRS16 "Requirements for Sale and Leaseback Transactions" | |
Statement [line items] | |
Title of new IFRS | IFRS16 "Requirements for Sale and Leaseback Transactions" |
Date by which application of new IFRS is required | Jan. 01, 2024 |
Amendments to IAS 1 "Non-current Liabilities with Covenants" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 1 "Non-current Liabilities with Covenants" |
Date by which application of new IFRS is required | Jan. 01, 2024 |
IFRS 17 "Insurance Contracts" | |
Statement [line items] | |
Title of new IFRS | IFRS 17 "Insurance Contracts" |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IAS 1 "Classification of Liabilities as Current or Non-current" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 1 “Classification of Liabilities as Current or Non-current” |
Date by which application of new IFRS is required | Jan. 01, 2024 |
Amendments to IFRS 17 "Insurance Contracts" | |
Statement [line items] | |
Title of new IFRS | Amendments to IFRS 17 “Insurance Contracts” |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IFRS 17 Initial Application of IFRS 17 and IFRS 9 - Comparative Information | |
Statement [line items] | |
Title of new IFRS | Amendments to IFRS 17 "Initial Application of IFRS 17 and IFRS 9 - Comparative Information" |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IAS 1 "Disclosure of Accounting Policies" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 1 “Disclosure of Accounting Policies” |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IAS 8 "Definition of Accounting Estimates" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 8 “Definition of Accounting Estimates” |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IAS 12 Deferred Tax related to Assets and Liabilities arising from a Single Transaction | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 12 “Deferred Tax related to Assets and Liabilities arising from a Single Transaction” |
Date by which application of new IFRS is required | Jan. 01, 2023 |
Amendments to IAS 16 "Property, Plant and Equipment-Proceeds before Intended Use" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 16 "Property, Plant and Equipment-Proceeds before Intended Use" |
Date by which application of new IFRS is required | Jan. 01, 2022 |
Amendments to IAS 37 "Onerous Contracts-Cost of Fulfilling a Contract" | |
Statement [line items] | |
Title of new IFRS | Amendments to IAS 37 "Onerous Contracts-Cost of Fulfilling a Contract" |
Date by which application of new IFRS is required | Jan. 01, 2022 |
Annual Improvements to IFRS Standards 2018-2020 | |
Statement [line items] | |
Title of new IFRS | Annual Improvements to IFRS Standards 2018-2020 |
Date by which application of new IFRS is required | Jan. 01, 2022 |
Significant accounting polici_4
Significant accounting policies (Details) | 12 Months Ended | |||
Oct. 25, 2022 | Oct. 30, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | |
CM Visual Technology Corp | ||||
Statement [line items] | ||||
Percentage of Ownership | 66.71% | |||
Himax Technologies Limited Himax Taiwan | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies, Inc. | |||
Subsidiary | Himax Technologies Limited ("Himax Taiwan") | |||
Main activities | IC design and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 100% | 100% | ||
Himax Technologies Korea Ltd | South Korea | ||||
Statement [line items] | ||||
Investor | Himax Technologies, Inc. | |||
Subsidiary | Himax Technologies Korea Ltd. | |||
Main activities | IC design and sales | |||
Jurisdiction of Incorporation | South Korea | |||
Percentage of Ownership | 100% | 100% | ||
Himax Technologies Japan Ltd | Japan | ||||
Statement [line items] | ||||
Investor | Himax Technologies, Inc. | |||
Subsidiary | Himax Technologies Japan Ltd. | |||
Main activities | Sales | |||
Jurisdiction of Incorporation | Japan | |||
Percentage of Ownership | 100% | 100% | ||
Himax Semiconductor Hong Kong Limited | Hong Kong | ||||
Statement [line items] | ||||
Investor | Himax Technologies, Inc. | |||
Subsidiary | Himax Semiconductor (Hong Kong) Limited | |||
Main activities | Investments | |||
Jurisdiction of Incorporation | Hong Kong | |||
Percentage of Ownership | 100% | 100% | ||
Himax Technologies Samoa Inc | Samoa | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax Technologies (Samoa), Inc. | |||
Main activities | Investments | |||
Jurisdiction of Incorporation | Samoa | |||
Percentage of Ownership | 100% | 100% | ||
Himax Technologies Suzhou Co Ltd | PRC | ||||
Statement [line items] | ||||
Investor | Himax Technologies (Samoa), Inc. | |||
Subsidiary | Himax Technologies (Suzhou) Co., Ltd. | |||
Main activities | Sales and technical support | |||
Jurisdiction of Incorporation | PRC | |||
Percentage of Ownership | 100% | 100% | ||
Himax Technologies Shenzhen Co Ltd | PRC | ||||
Statement [line items] | ||||
Investor | Himax Technologies (Samoa), Inc. | |||
Subsidiary | Himax Technologies (Shenzhen) Co., Ltd. | |||
Main activities | Sales and technical support | |||
Jurisdiction of Incorporation | PRC | |||
Percentage of Ownership | 100% | 100% | ||
Himax Display Inc | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax Display, Inc. | |||
Main activities | LCoS and MEMS design, manufacturing and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 83.54% | 83.54% | ||
Integrated Microdisplays Limited | Hong Kong | ||||
Statement [line items] | ||||
Investor | Himax Display, Inc. | |||
Subsidiary | Integrated Microdisplays Limited | |||
Main activities | LCoS design | |||
Jurisdiction of Incorporation | Hong Kong | |||
Percentage of Ownership | 83.54% | 83.54% | ||
Himax Display USA Inc | Delaware USA | ||||
Statement [line items] | ||||
Investor | Himax Display, Inc. | |||
Subsidiary | Himax Display (USA) Inc. | |||
Main activities | LCoS and MEMS design, sales and technical support | |||
Jurisdiction of Incorporation | Delaware, USA | |||
Percentage of Ownership | 83.54% | 83.54% | ||
Himax Analogic Inc | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax Analogic, Inc. | |||
Main activities | IC design and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 98.62% | 98.62% | ||
Himax Imaging Inc | Cayman Islands | ||||
Statement [line items] | ||||
Investor | Himax Technologies, Inc. | |||
Subsidiary | Himax Imaging, Inc. | |||
Main activities | Investments | |||
Jurisdiction of Incorporation | Cayman Islands | |||
Percentage of Ownership | 100% | 100% | ||
Himax Imaging Ltd Imaging Taiwan | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax Imaging, Ltd. ("Imaging Taiwan") | |||
Main activities | IC design and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 98.42% | 98.42% | ||
Himax Imaging Corp | California USA | ||||
Statement [line items] | ||||
Investor | Himax Imaging, Ltd. | |||
Subsidiary | Himax Imaging Corp. | |||
Main activities | IC design | |||
Jurisdiction of Incorporation | California, USA | |||
Percentage of Ownership | 98.42% | 98.42% | ||
Himax Media Solutions Inc | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax Media Solutions, Inc. (1) | |||
Main activities | ASIC service | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 0% | 99.22% | ||
Harvest Investment Limited | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Harvest Investment Limited | |||
Main activities | Investments | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 100% | 100% | ||
Liqxtal Technology Inc | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Liqxtal Technology Inc. | |||
Main activities | LC Lens design and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 62.26% | 67.49% | ||
Himax IGI Precision Ltd | Delaware USA | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Himax IGI Precision Ltd. | |||
Main activities | 3D micro and nano structure mastering and prototype replication | |||
Jurisdiction of Incorporation | Delaware, USA | |||
Percentage of Ownership | 100% | 100% | ||
Emza Visual Sense Ltd. | ||||
Statement [line items] | ||||
Percentage of Ownership | 100% | |||
Emza Visual Sense Ltd. | Israel | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | Emza Visual Sense Ltd.(2) | |||
Main activities | Visual sensors and efficient machine vision algorithm | |||
Jurisdiction of Incorporation | Israel | |||
Percentage of Ownership | 0% | 100% | ||
CM Visual Technology Corp | ROC | ||||
Statement [line items] | ||||
Investor | Himax Technologies Limited | |||
Subsidiary | CM Visual Technology Corp. | |||
Main activities | Omniwide film products design and sales | |||
Jurisdiction of Incorporation | ROC | |||
Percentage of Ownership | 66.71% | 66.71% |
Significant accounting polici_5
Significant accounting policies - Basic and diluted earnings per ordinary share - (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Significant accounting policies | |||
Profits (loss) attributable to Himax Technologies, Inc. stockholders | $ 236,982 | $ 436,896 | $ 47,134 |
Denominator for basic earnings per ordinary share: | |||
Weighted average number of ordinary shares outstanding | 349,448 | 349,228 | 345,708 |
Basic earnings per ordinary share attributable to Himax Technologies, Inc. stockholders | $ 0.68 | $ 1.25 | $ 0.14 |
Basic earnings per ADS attributable to Himax Technologies, Inc. stockholders | $ 1.36 | $ 2.50 | $ 0.27 |
Significant accounting polici_6
Significant accounting policies - Calculation of diluted earnings per ordinary share based on treasury stock method (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Significant Accounting Policies [Abstract] | |||
Net income attributable to Himax Technologies, Inc. stockholders | $ 236,982 | $ 436,896 | $ 47,134 |
Denominator for diluted earnings per ordinary share: | |||
Weighted average number of ordinary shares outstanding | 349,448 | 349,228 | 345,708 |
Unvested RSUs | 187 | 505 | 0 |
Employee stock options | 0 | 0 | 1,058 |
Adjusted weighted average number of ordinary shares outstanding | 349,635 | 349,733 | 346,766 |
Diluted earnings per ordinary share attributable to Himax Technologies, Inc. stockholders | $ 0.68 | $ 1.25 | $ 0.14 |
Diluted earnings per ADS attributable to Himax Technologies, Inc. stockholders | $ 1.36 | $ 2.50 | $ 0.27 |
Weighted Average Basic Number of ADS Equivalent Outstanding | 174,724 | 174,614 | 172,854 |
Weighted Average Diluted Number of ADS Equivalent Outstanding | 174,817 | 174,867 | 173,383 |
Significant accounting polici_7
Significant accounting policies - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Plant And Equipment Useful Life | 3 years | |
Driver IC CGU | ||
Statement [line items] | ||
Annual discount rate | 11.98% | 8.05% |
WLO CGU | ||
Statement [line items] | ||
Annual discount rate | 15.34% | 13.33% |
Growth rate used to extrapolate cash flow projections | 2.18% | 2.46% |
Period for average Taiwan economic growth rate | 5 years | |
CMOS CGU | ||
Statement [line items] | ||
Annual discount rate | 11.40% | |
Technology | ||
Statement [line items] | ||
Assets Acquired Useful Life | 7 years | |
Patent | Bottom of range | ||
Statement [line items] | ||
Assets Acquired Useful Life | 12 years | |
Patent | Top of range | ||
Statement [line items] | ||
Assets Acquired Useful Life | 15 years | |
Intellectual Properties | ||
Statement [line items] | ||
Assets Acquired Useful Life | 10 years | |
Himax semi conductor | ||
Statement [line items] | ||
Goodwill recognised as of acquisition date | $ 26,846 | |
Himax Display (USA) Inc. | ||
Statement [line items] | ||
Goodwill recognised as of acquisition date | $ 1,292 | |
Buildings | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 25 years | |
Building and improvements | Bottom of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 4 years | |
Building and improvements | Top of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 16 years | |
Machinery | Bottom of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 4 years | |
Machinery | Top of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 10 years | |
Research and development equipment | Bottom of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 2 years | |
Research and development equipment | Top of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 6 years | |
Office furniture and equipment [Member] | Bottom of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 3 years | |
Office furniture and equipment [Member] | Top of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 8 years | |
Other property, plant and equipment [member] | Bottom of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 2 years | |
Other property, plant and equipment [member] | Top of range | ||
Statement [line items] | ||
Useful Life Of Tangible Assets | 10 years | |
Software | ||
Statement [line items] | ||
Growth rate used to extrapolate cash flow projections | 2.46% | |
Period for average Taiwan economic growth rate | 5 years | |
Software | Bottom of range | ||
Statement [line items] | ||
Assets Acquired Useful Life | 2 years | |
Useful Life Of Tangible Assets | 2 years | |
Software | Top of range | ||
Statement [line items] | ||
Assets Acquired Useful Life | 10 years | |
Useful Life Of Tangible Assets | 10 years |
Acquisition - Estimated fair va
Acquisition - Estimated fair value of the assets acquired and liabilities (Details) - CM Visual Technology Corp $ in Thousands | Oct. 30, 2020 USD ($) |
Recognized amounts of identifiable assets acquired and liabilities assumed: | |
Cash | $ 7,982 |
Current assets, other than cash | 2,602 |
Property, plant and equipment | 1,906 |
Other intangible assets | 704 |
Other current liabilities | (3,181) |
Total identifiable net assets acquired | 10,013 |
Noncontrolling interests | (3,333) |
Total consideration paid | $ 6,680 |
Acquisition - Additional inform
Acquisition - Additional information (Details) - CM Visual Technology Corp - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 30, 2020 | Dec. 31, 2020 | |
Statement [line items] | ||
Percentage of Ownership | 66.71% | |
Revenue of acquire since acquisition date | $ 1,231 | |
Profit (loss) from acquire since acquisition date | (214) | |
Revenue of combined entity as if combination occurred at beginning of period | 891,038 | |
Profit (loss) of combined entity as if combination occurred at beginning of period | $ 46,361 | |
Consideration transferred, acquisition-date fair value | $ 6,680 |
Disposal of subsidiary (Details
Disposal of subsidiary (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | ||
Oct. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disposal of subsidiary | ||||
Consideration | $ 14,769 | $ 0 | $ 0 | |
Emza Visual Sense Ltd | ||||
Disposal of subsidiary | ||||
Percentage of disposal in subsidiary | 100% | |||
Consideration | $ 15,092 | |||
Gain on disposal | $ 10,694 |
Disposal of subsidiary - Carryi
Disposal of subsidiary - Carrying amounts (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Disposal of subsidiary. | ||
Cash | $ 217,181 | $ 333,524 |
Property, plant and equipment | 126,138 | 133,236 |
Other intangible assets | 1,094 | 6,617 |
Other non-current assets | 12,621 | $ 17,770 |
Emza Visual Sense Ltd | ||
Disposal of subsidiary. | ||
Cash | 323 | |
Current assets, other than cash | 2,241 | |
Property, plant and equipment | 179 | |
Other intangible assets | 4,436 | |
Other non-current assets | 587 | |
Other current and non-current liabilities | (4,148) | |
Net assets disposed of | $ 3,618 |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Cash and Cash Equivalents | ||||
Cash, demand deposits and checking accounts | $ 217,181 | $ 333,524 | ||
Time deposits with less than three months maturity date | 4,400 | 2,500 | ||
Cash and cash equivalents | $ 221,581 | $ 336,024 | $ 184,938 | $ 101,055 |
Financial Assets at Amortized_3
Financial Assets at Amortized Cost (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financial Assets at Amortized Cost | ||
Financial asset at amortized cost | $ 8,314 | $ 26,013 |
Financial Assets at Fair Valu_4
Financial Assets at Fair Value Through Profit or Loss (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financial Assets at Fair Value Through Profit or Loss | ||
Money market fund | $ 2,345 | |
Equity securities-unlisted company | $ 15,350 | 13,668 |
Financial assets at fair value through profit or loss | 15,350 | 16,013 |
Current | 0 | 2,345 |
Non-current | 15,350 | 13,668 |
Financial assets at fair value through profit or loss | $ 15,350 | $ 16,013 |
Financial Assets at Fair Valu_5
Financial Assets at Fair Value Through Profit or Loss - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Financial Assets at Fair Value Through Profit or Loss | |||
Changes in fair value of financial assets at fair value through profit or loss | $ 1,246 | $ (284) | $ 472 |
Financial Assets at Fair Valu_6
Financial Assets at Fair Value Through Other Comprehensive Income (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Statement [line items] | |||
Financial assets at fair value through other comprehensive income | $ 279 | $ 410 | |
Equity investments | |||
Statement [line items] | |||
Financial assets at fair value through other comprehensive income | $ 283 | $ 151 | $ 32 |
Accounts Receivable, net (Detai
Accounts Receivable, net (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Accounts Receivable, net | ||
Accounts receivable | $ 261,112 | $ 410,140 |
Accounts receivable from related parties | 36 | 71 |
Less: Loss allowance | 0 | |
Accounts receivable, net | $ 261,148 | $ 410,211 |
Accounts Receivable, net - Anal
Accounts Receivable, net - Analysis of expected credit losses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Carrying amount of accounts receivable | $ 261,148 | $ 410,211 |
Loss allowance for lifetime expected credit | 0 | 190 |
No Past Due | ||
Statement [line items] | ||
Carrying amount of accounts receivable | $ 258,974 | $ 408,415 |
Weighted average loss rate | 0% | 0% |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Past due within 30 days | ||
Statement [line items] | ||
Carrying amount of accounts receivable | $ 1,884 | $ 795 |
Weighted average loss rate | 0% | 0% |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Past due 31-60 days | ||
Statement [line items] | ||
Carrying amount of accounts receivable | 121 | $ 924 |
Weighted average loss rate | 0% | |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Past due 31-60 days | Bottom of range | ||
Statement [line items] | ||
Weighted average loss rate | 0% | |
Past due 31-60 days | Top of range | ||
Statement [line items] | ||
Weighted average loss rate | 32.15% | |
Past due 61-90 days | ||
Statement [line items] | ||
Carrying amount of accounts receivable | $ 75 | $ 77 |
Weighted average loss rate | 0% | |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Past due 61-90 days | Bottom of range | ||
Statement [line items] | ||
Weighted average loss rate | 0% | |
Past due 61-90 days | Top of range | ||
Statement [line items] | ||
Weighted average loss rate | 47.02% | |
Past due 91-120 days | ||
Statement [line items] | ||
Carrying amount of accounts receivable | $ 94 | $ 0 |
Weighted average loss rate | 0% | |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Past due 91-120 days | Bottom of range | ||
Statement [line items] | ||
Weighted average loss rate | 0% | |
Past due 91-120 days | Top of range | ||
Statement [line items] | ||
Weighted average loss rate | 77.69% | |
Past due over 121 days | ||
Statement [line items] | ||
Carrying amount of accounts receivable | $ 0 | $ 0 |
Weighted average loss rate | 100% | 100% |
Loss allowance for lifetime expected credit | $ 0 | $ 0 |
Accounts Receivable, net - Loss
Accounts Receivable, net - Loss Allowance (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts Receivable, net | |||
Balance at Beginning of year | $ 0 | $ 190 | $ 190 |
Charges to earnings | 0 | (190) | 0 |
Amounts utilized / write-offs | 0 | 0 | 0 |
Balance at end of year | $ 0 | $ 0 | $ 190 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Inventories | ||
Finished goods | $ 63,425 | $ 53,884 |
Work in process | 169,166 | 107,355 |
Raw materials | 138,086 | 36,963 |
Supplies | 256 | 398 |
Inventories | $ 370,933 | $ 198,600 |
Inventories - Additional Inform
Inventories - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Inventories | |||
Cost of revenues | $ 692,022 | $ 789,071 | $ 654,582 |
Inventory write-down | $ 22,211 | $ 9,448 | $ 11,919 |
Equity Method Investments (Deta
Equity Method Investments (Details) - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended | |
Oct. 31, 2022 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | |||
Carrying amount | $ 6,533 | $ 3,302 | |
Holding | 100% | ||
Ganzin Technology Corp. | |||
Statement [line items] | |||
Principal Activities | Eye tracking chip and module | ||
Place of Incorporation and Operation | Taipei, Taiwan | ||
Holding | 35.72% | 42.01% | |
Iris Optronics Co Ltd | |||
Statement [line items] | |||
Principal Activities | E-paper manufacturing and sales | ||
Place of Incorporation and Operation | Tainan, Taiwan | ||
Carrying amount | $ 315 | $ 174 | |
Holding | 4.93% | 6.25% | |
Viewsil Microelectronics (Kunshan) Limited | |||
Statement [line items] | |||
Principal Activities | IC design and sales | ||
Place of Incorporation and Operation | Kunshan, China | ||
Carrying amount | $ 2,635 | $ 2,671 | |
Holding | 49% | 49% | |
Guangzhou Pixtalks Information Technology Co Ltd | |||
Statement [line items] | |||
Principal Activities | 3D structured light module | ||
Place of Incorporation and Operation | Guangzhou, China | ||
Carrying amount | $ 285 | $ 457 | |
Holding | 29.50% | 22.50% | |
Prilit Optronics, Inc | |||
Statement [line items] | |||
Principal Activities | LCD panel components manufacturing | ||
Place of Incorporation and Operation | Tainan, Taiwan | ||
Carrying amount | $ 3,298 | ||
Holding | 15% | ||
Original investment amount | $ 3,264 |
Equity Method Investments - Sha
Equity Method Investments - Share of associates (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Equity Method Investments | |||
The Company's share of losses of associates | $ (743) | $ (1,392) | $ (638) |
The Company's share of other comprehensive income of associates | (86) | 55 | 58 |
The Company's share of total comprehensive income of associates | $ (829) | $ (1,337) | $ (580) |
Equity Method Investments - Add
Equity Method Investments - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Equity method investments pledged as collateral | $ 0 | $ 0 | |
Ganzin Technology Corp. | |||
Statement [line items] | |||
Unrecognized losses related to interest | 302 | $ 24 | $ 0 |
Cumulative unrecognized losses related to interest | $ 326 |
Other Intangible Assets (Detail
Other Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Opening Balance | $ 6,617 | ||
Amortization for the year | 1,378 | $ 1,738 | $ 1,723 |
Ending Balance | 1,094 | 6,617 | |
Technology | |||
Statement [line items] | |||
Opening Balance | 3,280 | ||
Ending Balance | 0 | 3,280 | |
Software | |||
Statement [line items] | |||
Opening Balance | 431 | ||
Ending Balance | 438 | 431 | |
Others. | |||
Statement [line items] | |||
Opening Balance | 2,906 | ||
Ending Balance | 656 | 2,906 | |
Accumulated depreciation and amortisation | |||
Statement [line items] | |||
Opening Balance | (15,641) | (14,245) | |
Amortization for the year | 1,378 | 1,738 | |
Disposals | 8 | 332 | |
Disposal of subsidiary | (4,028) | ||
Effect of exchange rate changes | (47) | (10) | |
Ending Balance | (12,936) | (15,641) | (14,245) |
Accumulated depreciation and amortisation | Technology | |||
Statement [line items] | |||
Opening Balance | (9,891) | (8,786) | |
Amortization for the year | 887 | 1,105 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | (3,889) | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | (6,889) | (9,891) | (8,786) |
Accumulated depreciation and amortisation | Software | |||
Statement [line items] | |||
Opening Balance | (5,233) | (5,092) | |
Amortization for the year | 323 | 452 | |
Disposals | 8 | 332 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | (17) | 21 | |
Ending Balance | (5,531) | (5,233) | (5,092) |
Accumulated depreciation and amortisation | Others. | |||
Statement [line items] | |||
Opening Balance | (517) | (367) | |
Amortization for the year | 168 | 181 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | (139) | ||
Effect of exchange rate changes | (30) | (31) | |
Ending Balance | (516) | (517) | (367) |
Gross carrying amount | |||
Statement [line items] | |||
Opening Balance | 22,258 | 22,121 | |
Additions | 331 | 468 | |
Disposals | (8) | (332) | |
Disposal of subsidiary | (8,464) | ||
Effect of exchange rate changes | (87) | 1 | |
Ending Balance | 14,030 | 22,258 | 22,121 |
Gross carrying amount | Technology | |||
Statement [line items] | |||
Opening Balance | 13,171 | 13,171 | |
Additions | 0 | 0 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | (6,282) | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | 6,889 | 13,171 | 13,171 |
Gross carrying amount | Software | |||
Statement [line items] | |||
Opening Balance | 5,664 | 5,506 | |
Additions | 331 | 468 | |
Disposals | (8) | (332) | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | (18) | 22 | |
Ending Balance | 5,969 | 5,664 | 5,506 |
Gross carrying amount | Others. | |||
Statement [line items] | |||
Opening Balance | 3,423 | 3,444 | |
Additions | 0 | 0 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | (2,182) | ||
Effect of exchange rate changes | (69) | (21) | |
Ending Balance | $ 1,172 | $ 3,423 | $ 3,444 |
Other Intangible Assets - Addit
Other Intangible Assets - Additional Information (Details) - Trademark - USD ($) $ in Thousands | 1 Months Ended | 12 Months Ended |
Oct. 31, 2022 | Dec. 31, 2022 | |
Statement [line items] | ||
Acquisitions through business combinations, intangible assets other than goodwill | $ 1,800 | |
Disposal of subsidiary | $ 1,800 |
Other Intangible Assets - Estim
Other Intangible Assets - Estimated useful lives (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Technology | |
Statement [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 7 years |
Software | Bottom of range | |
Statement [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 2 years |
Software | Top of range | |
Statement [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 10 years |
Others | Bottom of range | |
Statement [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 7 years |
Others | Top of range | |
Statement [line items] | |
Useful life measured as period of time, intangible assets other than goodwill | 15 years |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | $ 133,236 | ||
Depreciation for the year | 19,964 | $ 19,604 | $ 21,873 |
Ending Balance | 126,138 | 133,236 | |
Non-cash capital expenditures related to property, plant and equipment | 2,551 | 3,608 | 2,016 |
Land | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 41,828 | ||
Ending Balance | 41,828 | 41,828 | |
Building and improvements | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 46,583 | ||
Ending Balance | 43,500 | 46,583 | |
Machinery | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 14,046 | ||
Ending Balance | 12,147 | 14,046 | |
Research and development equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 8,286 | ||
Ending Balance | 7,219 | 8,286 | |
Office furniture and equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 2,268 | ||
Ending Balance | 2,364 | 2,268 | |
Others | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 19,778 | ||
Ending Balance | 16,870 | 19,778 | |
Prepayments for purchase of equipment and construction in progress | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 447 | ||
Ending Balance | 2,210 | 447 | |
Gross carrying amount | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 303,895 | 286,431 | |
Additions | 13,346 | 20,815 | |
Transfers | 0 | 0 | |
Disposals | (4,215) | (3,371) | |
Disposal of subsidiary | (328) | ||
Effect of exchange rate changes | (539) | 20 | |
Ending Balance | 312,159 | 303,895 | 286,431 |
Gross carrying amount | Land | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 41,828 | 41,828 | |
Additions | 0 | 0 | |
Transfers | 0 | 0 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | 41,828 | 41,828 | 41,828 |
Gross carrying amount | Building and improvements | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 75,383 | 75,403 | |
Additions | 1,129 | 60 | |
Transfers | 0 | 0 | |
Disposals | (37) | (79) | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | (1) | |
Ending Balance | 76,475 | 75,383 | 75,403 |
Gross carrying amount | Machinery | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 77,441 | 74,956 | |
Additions | 2,730 | 1,705 | |
Transfers | 335 | 783 | |
Disposals | (2) | (5) | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 2 | |
Ending Balance | 80,504 | 77,441 | 74,956 |
Gross carrying amount | Research and development equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 49,227 | 45,487 | |
Additions | 1,946 | 4,565 | |
Transfers | 112 | 69 | |
Disposals | (1,861) | (895) | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 1 | |
Ending Balance | 49,424 | 49,227 | 45,487 |
Gross carrying amount | Office furniture and equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 13,127 | 14,657 | |
Additions | 1,301 | 731 | |
Transfers | 0 | 0 | |
Disposals | (152) | (2,286) | |
Disposal of subsidiary | (103) | ||
Effect of exchange rate changes | (168) | 25 | |
Ending Balance | 14,005 | 13,127 | 14,657 |
Gross carrying amount | Others | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 46,442 | 33,248 | |
Additions | 4,030 | 13,307 | |
Transfers | 0 | 0 | |
Disposals | (2,163) | (106) | |
Disposal of subsidiary | (225) | ||
Effect of exchange rate changes | (371) | (7) | |
Ending Balance | 47,713 | 46,442 | 33,248 |
Gross carrying amount | Prepayments for purchase of equipment and construction in progress | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 447 | 852 | |
Additions | 2,210 | 447 | |
Transfers | (447) | (852) | |
Disposals | 0 | 0 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | 2,210 | 447 | 852 |
Accumulated depreciation and amortisation | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (170,659) | (154,357) | |
Depreciation for the year | 19,964 | 19,604 | |
Disposals | 4,021 | 3,354 | |
Disposal of subsidiary | (149) | ||
Effect of exchange rate changes | (432) | 52 | |
Ending Balance | (186,021) | (170,659) | (154,357) |
Accumulated depreciation and amortisation | Land | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 0 | 0 | |
Depreciation for the year | 0 | 0 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | 0 | 0 | 0 |
Accumulated depreciation and amortisation | Building and improvements | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (28,800) | (24,647) | |
Depreciation for the year | 4,212 | 4,232 | |
Disposals | 37 | 79 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | (32,975) | (28,800) | (24,647) |
Accumulated depreciation and amortisation | Machinery | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (63,395) | (57,576) | |
Depreciation for the year | 4,964 | 5,824 | |
Disposals | 2 | 5 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | (68,357) | (63,395) | (57,576) |
Accumulated depreciation and amortisation | Research and development equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (40,941) | (39,283) | |
Depreciation for the year | 3,125 | 2,551 | |
Disposals | 1,861 | 895 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 2 | |
Ending Balance | (42,205) | (40,941) | (39,283) |
Accumulated depreciation and amortisation | Office furniture and equipment | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (10,859) | (12,076) | |
Depreciation for the year | 1,132 | 1,048 | |
Disposals | 152 | 2,286 | |
Disposal of subsidiary | (57) | ||
Effect of exchange rate changes | (141) | 21 | |
Ending Balance | (11,641) | (10,859) | (12,076) |
Accumulated depreciation and amortisation | Others | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | (26,664) | (20,775) | |
Depreciation for the year | 6,531 | 5,949 | |
Disposals | 1,969 | 89 | |
Disposal of subsidiary | (92) | ||
Effect of exchange rate changes | (291) | 29 | |
Ending Balance | (30,843) | (26,664) | (20,775) |
Accumulated depreciation and amortisation | Prepayments for purchase of equipment and construction in progress | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Opening Balance | 0 | 0 | |
Depreciation for the year | 0 | 0 | |
Disposals | 0 | 0 | |
Disposal of subsidiary | 0 | ||
Effect of exchange rate changes | 0 | 0 | |
Ending Balance | $ 0 | $ 0 | $ 0 |
Property, Plant and Equipment -
Property, Plant and Equipment - Estimated useful lives (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Buildings | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 25 years |
Minimum | Building and improvements | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 4 years |
Minimum | Machinery | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 4 years |
Minimum | Research and development equipment | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 2 years |
Minimum | Office furniture and equipment | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 3 years |
Minimum | Other property, plant and equipment [member] | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 2 years |
Maximum | Building and improvements | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 16 years |
Maximum | Machinery | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 10 years |
Maximum | Research and development equipment | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 6 years |
Maximum | Office furniture and equipment | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 8 years |
Maximum | Other property, plant and equipment [member] | |
Statement [line items] | |
Useful life measured as period of time, property, plant and equipment | 15 years |
Property, Plant and Equipment_3
Property, Plant and Equipment - Right-of-use assets (Details) - IFRS 16 - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of initial application of standards or interpretations [line items] | |||
Addition to right-of use assets | $ 2,395 | $ 11,247 | |
Depreciation expense of right-of use assets | 4,810 | 4,554 | $ 2,619 |
Offices and Buildings | |||
Disclosure of initial application of standards or interpretations [line items] | |||
Right-of-use assets | $ 13,863 | $ 16,660 |
Property, Plant and Equipment_4
Property, Plant and Equipment - Lease liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Lease liabilities | ||
Current portion (classified under other current liabilities) | $ 4,218 | $ 4,602 |
Non-current portion (classified under other non-current liabilities) | 7,457 | 11,258 |
Total lease liabilities | $ 11,675 | $ 15,860 |
Property, Plant and Equipment_5
Property, Plant and Equipment - Additional lease information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Property, Plant and Equipment | |||
Expenses relating to short-term leases | $ 364 | $ 162 | $ 258 |
Expenses relating to low-value asset leases | 113 | 342 | 230 |
Expenses relating to variable lease payments not included in the measurement of lease liabilities | $ 2,920 | $ 1,874 | $ 2,018 |
Property, Plant and Equipment_6
Property, Plant and Equipment - Reconciliation of lease liabilities to cash flows arising from financing activities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment | ||
Balance at beginning of year | $ 15,860 | $ 10,454 |
Change from financing activities: | ||
Payment of lease liabilities | (4,294) | (4,668) |
Total change from financing activities | (4,294) | (4,668) |
Other changes: | ||
New lease | 2,395 | 11,247 |
Interest expense | 222 | 213 |
Interest paid | (222) | (213) |
Lease modifications | (194) | |
Disposal of subsidiary | (138) | |
Effect of exchange rate changes | (1,954) | (1,173) |
Total liability-related other changes | 109 | 10,074 |
Balance at end of year | $ 11,675 | $ 15,860 |
Other Current Liabilities (Deta
Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Other Current Liabilities | ||
Accrued payroll and related expenses | $ 22,586 | $ 18,515 |
Guarantee deposit received | 14,251 | |
Accrued mask, mold fees and other expenses for RD | 10,330 | 13,379 |
Payable for purchases of building and equipment | 2,670 | 3,481 |
Accrued software maintenance | 3,850 | 4,359 |
Allowance for sales discounts | 2,180 | 1,570 |
Lease liabilities | 4,218 | 4,602 |
Provision on onerous inventory contract | 5,791 | |
Accrued insurance, welfare expenses, professional fee | 9,659 | 13,638 |
Other current liabilities | $ 75,535 | $ 59,544 |
Other Current Liabilities - All
Other Current Liabilities - Allowance for sales discounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Other Current Liabilities | |||
Balance at beginning of year | $ 1,570 | $ 809 | $ 896 |
Charges to earnings | 26,830 | 13,632 | 8,791 |
Amounts utilized | (26,220) | (12,871) | (8,878) |
Balance at end of year | $ 2,180 | $ 1,570 | $ 809 |
Short-Term Borrowings (Details)
Short-Term Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Short-Term Borrowings | ||
Secured borrowings | $ 369,300 | $ 151,400 |
Short-Term Borrowings | ||
Short-Term Borrowings | ||
Secured borrowings | 369,300 | 151,400 |
Unused credit lines | $ 323,212 | $ 277,362 |
Short-Term Borrowings | Bottom of range | ||
Short-Term Borrowings | ||
Interest rate-secured borrowings | 0.35% | 0.32% |
Short-Term Borrowings | Top of range | ||
Short-Term Borrowings | ||
Interest rate-secured borrowings | 1.78% | 0.38% |
Short-Term Borrowings - Reconci
Short-Term Borrowings - Reconciliation of liabilities to cash flows arising from financing activities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Short-Term Borrowings | ||
Beginning balance | $ 151,400 | |
Change from financing activities: | ||
Ending Balance | 369,300 | $ 151,400 |
Unsecured Borrowings | ||
Short-Term Borrowings | ||
Beginning balance | 0 | 0 |
Change from financing activities: | ||
Proceeds from borrowings | 0 | 15,000 |
Repayments of borrowings | 0 | (15,000) |
Total changes from financing activities | 0 | 0 |
Ending Balance | 0 | 0 |
Secured Borrowings | ||
Short-Term Borrowings | ||
Beginning balance | 151,400 | 104,000 |
Change from financing activities: | ||
Proceeds from borrowings | 1,212,700 | 611,600 |
Repayments of borrowings | (994,800) | (564,200) |
Total changes from financing activities | 217,900 | 47,400 |
Ending Balance | $ 369,300 | $ 151,400 |
Short-Term Borrowings - Additio
Short-Term Borrowings - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Short-Term Borrowings | ||
Cash and time deposits | $ 369,300 | $ 151,400 |
Amount of unused credit lines belonging to the parent company | $ 190,700 |
Long-Term Borrowings - (Details
Long-Term Borrowings - (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Long-Term Borrowings | ||
Less: current portion | $ (6,000) | $ (6,000) |
Total | 40,500 | 46,500 |
Long-Term Borrowings | ||
Long-Term Borrowings | ||
Unsecured borrowings | 46,500 | 52,500 |
Less: current portion | (6,000) | (6,000) |
Total | 40,500 | 46,500 |
Unused long-term credit lines | $ 83,500 | $ 40,000 |
Interest rate | 5.48% | |
Long-Term Borrowings | Bottom of range | ||
Long-Term Borrowings | ||
Interest rate | 0.62467% | |
Long-Term Borrowings | Top of range | ||
Long-Term Borrowings | ||
Interest rate | 0.73055% |
Long-Term Borrowings- Reconcili
Long-Term Borrowings- Reconciliation of liabilities to cash flows arising from financing activities (Details) - Long-Term Borrowings - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Long-Term Borrowings | ||
Balance at beginning of year | $ 52,500 | $ 58,500 |
Change from financing activities: | ||
Proceeds from borrowings | 40,000 | 0 |
Repayments of borrowings | (46,000) | (6,000) |
Total changes from financing activities | (6,000) | (6,000) |
Ending Balance | $ 46,500 | $ 52,500 |
Long-Term Borrowings - Long-Ter
Long-Term Borrowings - Long-Term Borrowings (Details) - USD ($) $ in Thousands | Sep. 02, 2020 | Dec. 31, 2022 | Dec. 31, 2021 | Aug. 04, 2020 |
Chang Hwa Bank | ||||
Long-Term Borrowings | ||||
Unsecured borrowings | $ 20,000 | $ 40,000 | ||
Debt instrument term | 10 years | |||
Long-Term Borrowings | ||||
Long-Term Borrowings | ||||
Unsecured borrowings | $ 46,500 | $ 52,500 | ||
Pledged collateral amount | $ 65,571 | $ 67,810 |
Employee benefits (Details)
Employee benefits (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Employee benefits | ||
Present value of the defined benefit obligations | $ 3,060 | $ 3,489 |
Fair value of plan assets | (4,307) | (4,065) |
Prepaid pension cost | $ (1,247) | $ (576) |
Employee benefits - Movements i
Employee benefits - Movements in present value of the defined benefit obligations (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Employee benefits | ||
Balance at beginning of year | $ 3,489 | $ 3,562 |
Service costs | 4 | |
Interest expense | 27 | 15 |
Actuarial loss (gain) arising from: | ||
-Changes in demographic assumptions | 24 | 32 |
-Experience adjustment | 167 | 116 |
-Change in financial assumptions | (551) | (253) |
Effect of changes in exchange rates | (100) | 17 |
Balance at end of year | $ 3,060 | $ 3,489 |
Employee benefits - Movements_2
Employee benefits - Movements in the fair value of plan assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Employee benefits | ||
Balance at beginning of year | $ 4,065 | $ 3,952 |
Interest income | 31 | 17 |
Remeasurements gain : | ||
-Return on plan assets excluding interest income | 305 | 60 |
Contributions paid by the employer | 20 | |
Effect of changes in exchange rate | (94) | 16 |
Balance at end of year | $ 4,307 | $ 4,065 |
Employee benefits - Expenses re
Employee benefits - Expenses recognized in profit or loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Interest income | $ (4,813) | $ (876) | $ (967) |
Cost of revenues | 714,233 | 798,519 | 666,501 |
Sales and marketing | 25,459 | 23,080 | 16,675 |
Cash award expenses | |||
Statement [line items] | |||
Cost of revenues | 505 | 511 | |
General and administrative | 2,250 | 678 | |
Sales and marketing | 4,147 | 1,223 | |
Defined Benefit Plan | |||
Statement [line items] | |||
Current service costs | 4 | 6 | |
Interest income | (4) | (2) | (4) |
Total Expenses | (2) | 2 | |
Cost of revenues | 3 | 6 | 6 |
Research and development | $ (3) | (8) | (5) |
General and administrative | 1 | ||
Total Expenses | $ (2) | $ 2 |
Employee benefits - Remeasureme
Employee benefits - Remeasurement of net defined benefit liability recognized in other comprehensive income (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Balance at beginning of year | $ 3,489 | $ 3,562 |
Balance at end of year | 3,060 | 3,489 |
Defined Benefit Plan | ||
Statement [line items] | ||
Balance at beginning of year | (22) | 116 |
Recognized during the period | (577) | (138) |
Balance at end of year | $ (599) | $ (22) |
Employee benefits - Actuarial a
Employee benefits - Actuarial assumptions (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Actuarial assumption of discount rates | Bottom of range | ||
Statement [line items] | ||
Discount rate | 1.40% | 0.82% |
Actuarial assumption of discount rates | Top of range | ||
Statement [line items] | ||
Discount rate | 1.41% | 0.85% |
Actuarial assumption of expected rates of salary increases | ||
Statement [line items] | ||
Rate of increase in compensation levels | 3% | 3% |
Employee benefits - Sensitivity
Employee benefits - Sensitivity analysis (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Jan. 01, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | ||||
Contribution expense to the plan | $ 8 | $ 47 | $ 0 | $ 0 |
Defined benefit Plan +0.5% | ||||
Statement [line items] | ||||
Discount rate | (238) | (290) | ||
Rate of increase in compensation levels | 255 | 310 | ||
Defined benefit Plan -0.5% | ||||
Statement [line items] | ||||
Discount rate | 261 | 319 | ||
Rate of increase in compensation levels | $ (235) | $ (285) |
Employee benefits - Cash award
Employee benefits - Cash award expenses related to tax effects (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Sep. 28, 2022 | Sep. 28, 2021 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure of defined benefit plans [line items] | |||||
Cost of revenues | $ 714,233 | $ 798,519 | $ 666,501 | ||
Research and development | 175,557 | 151,386 | 122,265 | ||
Sales and marketing | 25,459 | 23,080 | 16,675 | ||
Total compensation recognized in income | 162,943 | 146,809 | 103,357 | ||
Income tax benefit | 41,098 | 110,657 | $ 11,712 | ||
Cash award expenses | |||||
Disclosure of defined benefit plans [line items] | |||||
Cost of revenues | 505 | 511 | |||
Research and development | 20,792 | 5,876 | |||
General and administrative | 2,250 | 678 | |||
Sales and marketing | 4,147 | 1,223 | |||
Total compensation recognized in income | 27,694 | 8,288 | |||
Income tax benefit | $ 5,641 | $ 1,444 | |||
Total annual bonus cash payouts | $ 19,346 | $ 47,657 | |||
Vested on grant date | $ 1,015 | $ 1,582 |
Employee benefits - Additional
Employee benefits - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Jan. 01, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Jul. 01, 2005 | |
Statement [line items] | |||||
Labour And Social Welfare | $ 2,088 | $ 1,695 | $ 707 | ||
Wages and salaries | 142,564 | 126,976 | 88,149 | ||
Percentage Of Wages Contribution To Employee | 6% | ||||
Post-employment benefit expense, defined contribution plans | $ 8 | 47 | 0 | 0 | |
Deposits from banks | 4,307 | ||||
Defined contribution plans | |||||
Statement [line items] | |||||
Other Foreign Subsidiaries Pension Expenses | 564 | 617 | 497 | ||
Wages and salaries | $ 3,828 | $ 3,683 | $ 3,330 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Share-Based Compensation | |||
Cost of revenues | $ 714,233 | $ 798,519 | $ 666,501 |
Research and development | 175,557 | 151,386 | 122,265 |
General and administrative | 28,503 | 29,281 | 23,915 |
Sales and marketing | 25,459 | 23,080 | 16,675 |
Total compensation | 140 | 38 | 8 |
Income tax benefit | 41,098 | 110,657 | 11,712 |
Share Based Compensation | |||
Share-Based Compensation | |||
Cost of revenues | 481 | 682 | 87 |
Research and development | 15,345 | 17,662 | 4,467 |
General and administrative | 2,193 | 2,367 | 368 |
Sales and marketing | 2,612 | 3,163 | 603 |
Total compensation | 20,631 | 23,874 | 5,525 |
Income tax benefit | $ 4,201 | $ 4,896 | $ 1,176 |
Share-Based Compensation - RSUs
Share-Based Compensation - RSUs activity under the long-term incentive plan (Details) - Restricted stock units | 12 Months Ended | |||||||
Sep. 28, 2022 | Sep. 28, 2021 | Sep. 28, 2020 | Sep. 26, 2018 | Sep. 29, 2017 | Dec. 31, 2022 USD ($) $ / shares | Dec. 31, 2021 USD ($) $ / shares | Dec. 31, 2020 USD ($) $ / shares | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | ||||||||
Number of Shares, Balance | $ | 386,520 | 22,889 | 18,493 | |||||
Number of Shares, Granted | 3,987,509 | 2,604,545 | 1,402,714 | 676,273 | 580,235 | 3,987,509 | 2,604,545 | 1,402,714 |
Number of Shares, Vested | $ | (3,563,177) | (2,237,499) | (1,392,355) | |||||
Number of Shares, Forfeited | $ | (18,643) | (3,415) | (5,963) | |||||
Number of Shares, Balance | $ | 792,209 | 386,520 | 22,889 | |||||
Weighted Average Grant Date Fair Value, Balance | $ 10.17 | $ 3.88 | $ 7.34 | |||||
Weighted Average Grant Date Fair Value, Granted | 5.09 | 10.39 | 3.44 | |||||
Weighted Average Grant Date Fair Value, Vested | 5.25 | 10.37 | 3.47 | |||||
Weighted Average Grant Date Fair Value, Forfeited | 10.15 | 4.38 | 6.57 | |||||
Weighted Average Grant Date Fair Value, Balance | $ 6.71 | $ 10.17 | $ 3.88 |
Share-Based Compensation - Allo
Share-Based Compensation - Allocation of compensation expenses and related tax effects from the RSUs granted to employees (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |||
Cost of revenues | $ 714,233 | $ 798,519 | $ 666,501 |
Research and development | 175,557 | 151,386 | 122,265 |
General and administrative | 28,503 | 29,281 | 23,915 |
Sales and marketing | 25,459 | 23,080 | 16,675 |
Total compensation | 140 | 38 | 8 |
Income tax benefit | 41,098 | 110,657 | 11,712 |
Restricted stock units | |||
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | |||
Cost of revenues | 472 | 676 | 70 |
Research and development | 15,097 | 17,592 | 3,924 |
General and administrative | 1,934 | 2,343 | 319 |
Sales and marketing | 2,497 | 3,149 | 520 |
Total compensation | 20,000 | 23,760 | 4,833 |
Income tax benefit | $ 4,201 | $ 4,896 | $ 1,044 |
Share-Based Compensation - Valu
Share-Based Compensation - Valuation assumptions (Details) | 12 Months Ended |
Dec. 31, 2022 | |
Stock Option 2019 Plan | |
Valuation assumptions: | |
Expected dividend yield | 3.50% |
Stock Option 2019 Plan | Minimum | |
Valuation assumptions: | |
Expected volatility | 51.96% |
Expected term (years) | 1 year |
Risk-free interest rate | 1.69% |
Stock Option 2019 Plan | Maximum | |
Valuation assumptions: | |
Expected volatility | 57.79% |
Expected term (years) | 1 year 6 months |
Risk-free interest rate | 1.75% |
CMVT | Stock options 2021 plan | |
Valuation assumptions: | |
Expected dividend yield | 0% |
Expected volatility | 43.82% |
Expected term (years) | 3 years 1 month 15 days |
Risk-free interest rate | 0.223% |
Liqxtal Technology Inc | Stock options 2021 plan | |
Valuation assumptions: | |
Expected dividend yield | 0% |
Expected volatility | 30.06% |
Expected term (years) | 1 year 3 months |
Risk-free interest rate | 0.107% |
Emza | Stock options 2022 plan | |
Valuation assumptions: | |
Expected dividend yield | 0% |
Expected volatility | 54.05% |
Expected term (years) | 6 years 1 month 9 days |
Risk-free interest rate | 0.65% |
Share-Based Compensation - Stoc
Share-Based Compensation - Stock option activity (Details) | 12 Months Ended | |||||||
Sep. 25, 2020 $ / shares | Aug. 11, 2020 $ / shares | Mar. 31, 2020 $ / shares | Sep. 23, 2019 USD ($) | Dec. 31, 2022 USD ($) $ / shares | Dec. 31, 2021 USD ($) $ / shares | Dec. 31, 2020 $ / shares | Dec. 31, 2019 $ / shares | |
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | ||||||||
Number of units/shares, Granted | $ | 150,940 | |||||||
Number of units/shares, Forfeited | $ | (1,797) | |||||||
Number of units/shares, Expired | $ | (149,143) | |||||||
Weighted average exercise price, Granted | $ 20.49 | |||||||
Weighted average exercise price, Forfeited | 20.49 | |||||||
Weighted average exercise price, Expired | $ 20.49 | |||||||
Weighted average remaining contractual term, Granted (in years) | 6 years 1 month 9 days | |||||||
Stock Option 2019 Plan | ||||||||
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | ||||||||
Number of units/shares, Balance | 578,468 | |||||||
Number of units/shares, Granted | 6,000,000 | 163,500 | 2,226,690 | |||||
Number of units/shares, Exercised | (524,387) | (1,574,869) | ||||||
Number of units/shares, Forfeited | (236,853) | |||||||
Number of units/shares, Expired | (54,081) | |||||||
Number of units/shares, Balance | 578,468 | |||||||
Weighted average exercise price, Balance | $ 2.36 | |||||||
Weighted average exercise price, Granted | $ 3.35 | $ 3.9 | $ 2.74 | $ 3.05 | $ 2.27 | |||
Weighted average exercise price, Exercised | 2.37 | 2.32 | ||||||
Weighted average exercise price, Forfeited | 2.30 | |||||||
Weighted average exercise price, Expired | $ 2.27 | |||||||
Weighted average exercise price, Balance | $ 2.36 | |||||||
Weighted average remaining contractual term, Granted (in years) | 10 months 17 days | 1 year 6 months | ||||||
Weighted average remaining contractual term, Balance (in years) | 0 years | 6 months 14 days | ||||||
CMVT | Stock options 2021 plan | ||||||||
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | ||||||||
Number of units/shares, Balance | $ | 2,671,000 | |||||||
Number of units/shares, Granted | $ | 2,791,000 | |||||||
Number of units/shares, Forfeited | $ | (380,000) | (120,000) | ||||||
Number of units/shares, Balance | $ | 2,291,000 | 2,671,000 | ||||||
Weighted average exercise price, Balance | $ 0.36 | |||||||
Weighted average exercise price, Granted | $ 0.36 | |||||||
Weighted average exercise price, Forfeited | 0.36 | |||||||
Weighted average exercise price, Balance | $ 0.36 | $ 0.36 | ||||||
Weighted average remaining contractual term, Balance (in years) | 2 years 6 months | 3 years 6 months | ||||||
Liqxtal Technology Inc | Stock options 2021 plan | ||||||||
Disclosure Of Share Based Payment Arrangements Explanatory [Line Items] | ||||||||
Number of units/shares, Balance | 910,000 | |||||||
Number of units/shares, Granted | 1,000,000 | |||||||
Number of units/shares, Exercised | (840,000) | |||||||
Number of units/shares, Forfeited | (70,000) | (90,000) | ||||||
Number of units/shares, Balance | 910,000 | |||||||
Weighted average exercise price, Balance | $ 0.65 | |||||||
Weighted average exercise price, Granted | $ 0.65 | |||||||
Weighted average exercise price, Exercised | 0.65 | |||||||
Weighted average exercise price, Forfeited | $ 0.65 | 0.65 | ||||||
Weighted average exercise price, Balance | $ 0.65 | |||||||
Weighted average remaining contractual term, Balance (in years) | 1 year |
Share-Based Compensation - Addi
Share-Based Compensation - Additional information (Details) | 12 Months Ended | ||||||||||||||||||||||||||||||
Sep. 28, 2022 USD ($) | Jan. 28, 2022 $ / shares shares | Sep. 28, 2021 USD ($) | Jun. 29, 2021 | Jun. 28, 2021 USD ($) $ / shares shares | Jun. 28, 2021 $ / shares shares | Mar. 19, 2021 | Sep. 28, 2020 USD ($) | Sep. 25, 2020 $ / shares shares | Aug. 11, 2020 $ / shares shares | Mar. 31, 2020 $ / shares shares | Sep. 30, 2019 $ / shares shares | Sep. 23, 2019 USD ($) shares | Mar. 19, 2019 $ / shares shares | Mar. 19, 2019 $ / shares shares | Mar. 01, 2019 | Sep. 26, 2018 USD ($) | Sep. 29, 2017 USD ($) | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Dec. 31, 2020 USD ($) $ / shares shares | Dec. 31, 2019 $ / shares | Dec. 31, 2025 | Dec. 31, 2024 | Sep. 30, 2024 | Dec. 31, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2020 | Sep. 30, 2018 | |
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 5 years | ||||||||||||||||||||||||||||||
Weighted average exercise price, Granted | $ / shares | $ 20.49 | ||||||||||||||||||||||||||||||
Compensation expenses | $ 140,000 | $ 38,000 | $ 8,000 | ||||||||||||||||||||||||||||
Percentage of restricted stock units grant vested | 86.41 | ||||||||||||||||||||||||||||||
Estimated fairvalue market price of ADS | $ 5.09 | ||||||||||||||||||||||||||||||
Number of share authorized | 150,940 | ||||||||||||||||||||||||||||||
Restricted stock units | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Compensation expenses | $ 20,000,000 | $ 23,760,000 | $ 4,833,000 | ||||||||||||||||||||||||||||
Number of RSUs granted in share-based payment arrangement | 3,987,509 | 2,604,545 | 1,402,714 | 676,273 | 580,235 | 3,987,509 | 2,604,545 | 1,402,714 | |||||||||||||||||||||||
Percentage of restricted stock units grant vested | 85.63 | 98.68 | 97.15 | 96.91 | |||||||||||||||||||||||||||
percentage of vested settled by ordinary shares one | 0.95 | 4.53 | 4.79 | 0.44 | 1.03 | ||||||||||||||||||||||||||
percentage of vested settled by ordinary shares two | 1.03 | 4.53 | 4.79 | 0.44 | 0.95 | ||||||||||||||||||||||||||
percentage of vested settled by ordinary shares three | 4.53 | 4.79 | 0.44 | 0.95 | 1.03 | ||||||||||||||||||||||||||
Estimated fairvalue market price of ADS | $ 10.39 | $ 3.44 | $ 5.76 | $ 10.93 | |||||||||||||||||||||||||||
Restricted stock unit settle by shares | shares | 235,910 | 14,264 | 16,302 | ||||||||||||||||||||||||||||
Weighted average remaining contractual life of unvested RSUs | 2 years 5 months 4 days | ||||||||||||||||||||||||||||||
Compensation Cost Not Yet Recognized | $ 3,506,000 | ||||||||||||||||||||||||||||||
Restricted stock units settled by cash | $ 17,535,000 | $ 23,174,000 | $ 4,762,000 | $ 3,778,000 | $ 6,147,000 | ||||||||||||||||||||||||||
Himax Imaging | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Exercise price, share options granted | $ / shares | $ 0.36 | ||||||||||||||||||||||||||||||
Liqxtal Technology Inc | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Compensation expenses | $ 43,000 | 33,000 | |||||||||||||||||||||||||||||
Stock Option 2016 Plan | Himax Imaging | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share options contractual life | 4 years | ||||||||||||||||||||||||||||||
Share options vesting period | 3 years | ||||||||||||||||||||||||||||||
Stock Option 2016 Plan | Imaging Taiwan | One And Half Years After Grant Date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 50% | ||||||||||||||||||||||||||||||
Stock Option 2016 Plan | Imaging Taiwan | Three Years After Grant Date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 50% | ||||||||||||||||||||||||||||||
Stock Option 2019 Plan | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share options contractual life | 2 years | ||||||||||||||||||||||||||||||
Share options vesting period | 1 year | ||||||||||||||||||||||||||||||
Number of ADS authorized | shares | 3,000,000 | ||||||||||||||||||||||||||||||
Number of ADS per stock options granted | shares | 10,000 | 39,000 | 114,500 | 2,226,690 | |||||||||||||||||||||||||||
Weighted average exercise price, Granted | $ / shares | $ 3.35 | $ 3.9 | $ 2.74 | $ 3.05 | $ 2.27 | ||||||||||||||||||||||||||
Compensation expenses | $ 570,000 | ||||||||||||||||||||||||||||||
Income tax benefits | $ 103,000 | ||||||||||||||||||||||||||||||
Number of share authorized | 6,000,000 | 163,500 | 2,226,690 | ||||||||||||||||||||||||||||
Exercise price, share options granted | 524,387 | 1,574,869 | |||||||||||||||||||||||||||||
Exercise price, share options granted | $ / shares | $ 2.27 | ||||||||||||||||||||||||||||||
Weighted average remaining contractual life of unvested RSUs | 0 years | 6 months 14 days | |||||||||||||||||||||||||||||
Stock Option 2019 Plan | Bottom of range | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 1 year | ||||||||||||||||||||||||||||||
Stock Option 2019 Plan | Top of range | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 1 year 6 months | ||||||||||||||||||||||||||||||
Stock Option 2019 Plan | One Years After Grant Date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 50% | ||||||||||||||||||||||||||||||
Stock Option 2019 Plan | Half years after grant date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 50% | ||||||||||||||||||||||||||||||
Stock option 2019 plan | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Compensation expenses | $ 122,000 | ||||||||||||||||||||||||||||||
Income tax benefits | $ 29,000 | ||||||||||||||||||||||||||||||
Stock options 2021 plan | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation no of shares authorized | shares | 179,690 | ||||||||||||||||||||||||||||||
Exercise price, share options granted | $ / shares | $ 20.49 | ||||||||||||||||||||||||||||||
Stock options 2021 plan | CMVT | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Weighted average exercise price, Granted | $ / shares | $ 0.36 | ||||||||||||||||||||||||||||||
Compensation expenses | 76,000 | $ 71,000 | |||||||||||||||||||||||||||||
Income tax benefits | $ 0 | ||||||||||||||||||||||||||||||
Number of share authorized | 2,791,000 | ||||||||||||||||||||||||||||||
Maximum number of shares authorized for grant | shares | 3,000,000 | 3,000,000 | |||||||||||||||||||||||||||||
Exercise price, share options granted | $ / shares | $ 10 | ||||||||||||||||||||||||||||||
Weighted average remaining contractual life of unvested RSUs | 2 years 6 months | 3 years 6 months | |||||||||||||||||||||||||||||
Stock options 2021 plan | CMVT | ROC Central Government | Bottom of range | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 2 years | ||||||||||||||||||||||||||||||
Stock options 2021 plan | CMVT | ROC Central Government | Top of range | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 5 years | ||||||||||||||||||||||||||||||
Stock options 2021 plan | Liqxtal Technology Inc | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share options contractual life | 1 year 6 months | ||||||||||||||||||||||||||||||
Share options vesting period | 1 year | ||||||||||||||||||||||||||||||
Share based compensation no of shares authorized | shares | 1,000,000 | 1,000,000 | |||||||||||||||||||||||||||||
Weighted average exercise price, Granted | $ / shares | $ 0.65 | ||||||||||||||||||||||||||||||
Number of share authorized | 1,000,000 | ||||||||||||||||||||||||||||||
Exercise price, share options granted | 840,000 | ||||||||||||||||||||||||||||||
Exercise price, share options granted | (per share) | $ 0.65 | $ 18 | |||||||||||||||||||||||||||||
Weighted average remaining contractual life of unvested RSUs | 1 year | ||||||||||||||||||||||||||||||
Stock options 2021 plan | Liqxtal Technology Inc | One Years After Grant Date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 100% | ||||||||||||||||||||||||||||||
Stock options 2021 plan | Liqxtal Technology Inc | ROC Central Government | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share based compensation risk free interest rate expected term | 2 years | ||||||||||||||||||||||||||||||
Stock option 2022 plan | Emza Visual Sense Ltd | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share options vesting period | 4 years | ||||||||||||||||||||||||||||||
Compensation expenses | $ 522,000 | ||||||||||||||||||||||||||||||
Compensation expenses on cancelled options | 219,000 | ||||||||||||||||||||||||||||||
Income tax benefits | $ 0 | ||||||||||||||||||||||||||||||
Stock option 2022 plan | Emza Visual Sense Ltd | One Years After Grant Date | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 25% | ||||||||||||||||||||||||||||||
Stock option 2022 plan | Emza Visual Sense Ltd | 12 equal portions at the end of each 3-month period thereafter | |||||||||||||||||||||||||||||||
Share-Based Compensation | |||||||||||||||||||||||||||||||
Share Based Compensation Vesting Rights Percentage | 75% |
Equity (Details)
Equity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
From share of changes in equities of associates | $ 560 | $ 3,921 | |
Additional paid-in capital | 112,249 | $ 108,841 | |
Ordinary Share | |||
Statement [line items] | |||
From ordinary shares | 93,341 | 93,341 | |
Treasury shares [member] | |||
Statement [line items] | |||
From treasury shares | 6,744 | 6,911 | |
Share of Changes in Equities of Associates | |||
Statement [line items] | |||
From share of changes in equities of associates | 1,449 | 538 | |
Share Based Compensation | |||
Statement [line items] | |||
From share-based compensation | $ 10,715 | $ 8,051 |
Equity - Accumulated other comp
Equity - Accumulated other comprehensive income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Beginning balance | $ (666) | ||
Exchange differences arising on translation of foreign operations | 88 | $ 0 | $ 44 |
Changes in fair value of financial assets | 10 | (2) | (2) |
Remeasurement of defined benefit pension plans | 26 | 5 | (1) |
Ending balance | (218) | (666) | |
Accumulated other comprehensive income | |||
Statement [line items] | |||
Beginning balance | (666) | (548) | (952) |
Exchange differences arising on translation of foreign operations | (245) | (72) | 512 |
Changes in fair value of financial assets | 142 | (179) | 67 |
Remeasurement of defined benefit pension plans | 551 | 133 | (175) |
Ending balance | (218) | (666) | (548) |
Defined benefit pension plans | |||
Statement [line items] | |||
Beginning balance | 238 | 105 | 280 |
Exchange differences arising on translation of foreign operations | 0 | 0 | 0 |
Changes in fair value of financial assets | 0 | 0 | 0 |
Remeasurement of defined benefit pension plans | 551 | 133 | (175) |
Ending balance | 789 | 238 | 105 |
Unrealized gain (losses) on securities | |||
Statement [line items] | |||
Beginning balance | (1,048) | (869) | (936) |
Exchange differences arising on translation of foreign operations | 0 | 0 | 0 |
Changes in fair value of financial assets | 142 | (179) | 67 |
Remeasurement of defined benefit pension plans | 0 | 0 | 0 |
Ending balance | (906) | (1,048) | (869) |
Foreign currency translation | |||
Statement [line items] | |||
Beginning balance | 144 | 216 | (296) |
Exchange differences arising on translation of foreign operations | (245) | (72) | 512 |
Changes in fair value of financial assets | 0 | 0 | 0 |
Remeasurement of defined benefit pension plans | 0 | 0 | 0 |
Ending balance | $ (101) | $ 144 | $ 216 |
Equity - Noncontrolling interes
Equity - Noncontrolling interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Equity | |||
Balance at the beginning of year | $ 2,258 | $ 5,023 | $ (1,743) |
Equity attributable to non-controlling interests | |||
Loss for the year | (1,515) | (2,961) | (1,974) |
Changes in fair value of financial assets | 10 | (2) | (2) |
Remeasurement of defined benefit pension plans | 26 | 5 | (1) |
Share-based compensation expenses | 140 | 38 | 8 |
New shares issued by subsidiary | 445 | 0 | 8,695 |
Purchase of subsidiary shares from noncontrolling interests | 0 | 175 | |
Effect of Himax Media Solutions, Inc. merged into Himax Taiwan | (197) | 0 | |
Disposal of financial assets at fair value through other comprehensive income | (6) | 0 | |
Exchange differences arising on translation of foreign operations | 88 | 0 | 44 |
Declaration of cash dividends | 0 | (20) | (4) |
Balance at the end of year | $ 1,249 | $ 2,258 | $ 5,023 |
Equity - Additional Information
Equity - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement [line items] | ||||
Par value per share | $ 0.3 | $ 0.3 | ||
Number of shares authorised | 1,000,000,000 | 1,000,000,000 | ||
Accumulated Legal and special reserve | $ 131,490 | $ 85,200 | ||
Proportion of ownership interest in associate | 100% | |||
Percentage Of Annual Net Income Set Aside As Legal Reserve | 10% | |||
Cash dividend | $ 217,873 | |||
Cash dividend, per shares | $ 0.625 | |||
Issued capital | ||||
Statement [line items] | ||||
Par value per share | $ 0.3 | $ 0.3 | ||
Number of shares outstanding | 348,833,050 | 348,597,140 | ||
Number of shares issued | 356,699,482 | 356,699,482 | ||
Treasury shares | ||||
Statement [line items] | ||||
Number of shares outstanding | (7,866,432) | (8,102,342) | (9,166,000) | (12,332,000) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current tax expense | |||
Current period | $ 48,808 | $ 102,297 | $ 13,599 |
Adjustment for prior periods | (2,723) | 12 | (363) |
Current tax expense (income) and adjustments for current tax of prior periods | 46,085 | 102,309 | 13,236 |
Deferred tax expense | |||
Origination and reversal of temporary differences | (5,742) | 310 | 370 |
Investment tax credits and operating loss carryforward | 755 | 8,038 | (1,894) |
Deferred tax expense (income) | (4,987) | 8,348 | (1,524) |
Total income tax expense | $ 41,098 | $ 110,657 | $ 11,712 |
Income Taxes - Income taxes exp
Income Taxes - Income taxes expense (benefit) recognized directly in other comprehensive income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Items that will not be reclassified to profit or loss: | |||
Remeasurements of defined benefit pension plans | $ 107 | $ 27 | $ (38) |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of the expected income tax expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Taxes | |||
Income tax expense calculated at the statutory rate | 20% | 20% | 20% |
Tax on undistributed earnings | 3.90% | 4.20% | 3% |
Tax benefit resulting from setting aside legal reserve from prior year's income | (0.80%) | 0% | 0% |
Tax benefit resulting from actual investment from prior year's undistributed earnings | (0.10%) | 0% | 0% |
Increase in tax credits | (5.60%) | (3.30%) | (12.10%) |
Effect of change of unrecognized deductible temporary differences, tax losses carryforwards, and investment tax credits | 1.70% | 0.70% | 8.70% |
Net of non-taxable income and non-deductible expense | 5% | 2% | (0.20%) |
Changes in unrecognized tax benefits related to prior year tax positions, net of its impact to tax-exempted income | 1.10% | 0.50% | (1.20%) |
Foreign tax rate differential | 0.50% | 0.20% | 1.50% |
Variance from audits, amendments and examinations of prior years' income tax filings | (0.10%) | 0% | (0.60%) |
Others | (0.70%) | 0% | 1.10% |
Effective tax rate | 14.90% | 20.30% | 20.60% |
Profit (loss) before income taxes | $ 276,565 | $ 544,592 | $ 56,872 |
Income tax expense calculated at the statutory rate | 55,313 | 108,919 | 11,374 |
Tax on undistributed earnings | 10,668 | 22,648 | 1,727 |
Tax benefit resulting from setting aside legal reserve from prior year's income | (2,215) | (267) | |
Tax benefit resulting from actual investment from prior year's undistributed earnings | (303) | (161) | |
Increase in tax credits | (15,556) | (17,934) | (6,895) |
Effect of change of unrecognized deductible temporary differences, tax losses carryforwards, and investment tax credits | 4,706 | 3,668 | 4,954 |
Net of non-taxable income and non-deductible expense | (13,728) | (10,680) | 129 |
Changes in unrecognized tax benefits related to prior year tax positions, net of its impact to tax-exempted income | 3,003 | 2,763 | (709) |
Foreign tax rate differential | 1,370 | 837 | 881 |
Variance from audits, amendments and examinations of prior years' income tax filings | (205) | 440 | (363) |
Others | (1,955) | 424 | 614 |
Income tax expense | $ 41,098 | $ 110,657 | $ 11,712 |
Income Taxes - Components of de
Income Taxes - Components of deferred tax assets and deferred tax liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets: | ||
Inventory | $ 5,335 | $ 2,955 |
Operating loss carryforward-statutory tax | 0 | 755 |
Accrued compensated absences | 926 | 901 |
Allowance for sales discounts | 1,465 | 720 |
Depreciation | 641 | 601 |
Unrealized foreign exchange loss | 0 | 0 |
Others | 3,430 | 1,259 |
Deferred tax assets | 11,797 | 7,191 |
Deferred tax liabilities: | ||
Acquired intangible assets | 0 | (756) |
Remeasurement of defined benefit plans | (250) | (138) |
Unrealized foreign exchange gain | (364) | (71) |
Others | (77) | 0 |
Deferred tax liabilities | $ (691) | $ (965) |
Income Taxes - Changes in defer
Income Taxes - Changes in deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Beginning balance | $ 6,226 | $ 14,601 |
Recognized in profit or loss | 4,987 | (8,348) |
Recognized in other comprehensive income | (107) | (27) |
Ending balance | 11,106 | 6,226 |
Inventory | ||
Statement [line items] | ||
Beginning balance | 2,955 | 4,426 |
Recognized in profit or loss | 2,380 | (1,471) |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 5,335 | 2,955 |
Tax credit carryforwards | ||
Statement [line items] | ||
Beginning balance | 7,780 | |
Recognized in profit or loss | (7,780) | |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 0 | |
Operating loss carryforward | ||
Statement [line items] | ||
Beginning balance | 755 | 1,013 |
Recognized in profit or loss | (755) | (258) |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 0 | 755 |
Accrued compensated absences | ||
Statement [line items] | ||
Beginning balance | 901 | 735 |
Recognized in profit or loss | 25 | 166 |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 926 | 901 |
Allowance for sales discount | ||
Statement [line items] | ||
Beginning balance | 720 | 411 |
Recognized in profit or loss | 745 | 309 |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 1,465 | 720 |
Depreciation | ||
Statement [line items] | ||
Beginning balance | 601 | 561 |
Recognized in profit or loss | 40 | 40 |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 641 | 601 |
Unrealised Foreign Exchange Gains Losses | ||
Statement [line items] | ||
Beginning balance | (71) | 162 |
Recognized in profit or loss | (293) | (233) |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | (364) | (71) |
Remeasurement of defined benefit plans | ||
Statement [line items] | ||
Beginning balance | (138) | (107) |
Recognized in profit or loss | (5) | (4) |
Recognized in other comprehensive income | (107) | (27) |
Ending balance | (250) | (138) |
Acquired Intangible Assets | ||
Statement [line items] | ||
Beginning balance | (756) | (1,014) |
Recognized in profit or loss | 756 | 258 |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | 0 | (756) |
Others | ||
Statement [line items] | ||
Beginning balance | 1,259 | 634 |
Recognized in profit or loss | 2,094 | 625 |
Recognized in other comprehensive income | 0 | 0 |
Ending balance | $ 3,353 | $ 1,259 |
Income Taxes - Unrecognized Def
Income Taxes - Unrecognized Deferred Tax Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Unused tax credits | ||
Statement [line items] | ||
Deductible temporary differences for which no deferred tax asset is recognised | $ 1,560 | $ 1,560 |
Unused operating loss carryforwards-statutory tax | ||
Statement [line items] | ||
Deductible temporary differences for which no deferred tax asset is recognised | 206,259 | 246,023 |
Unused operating loss carryforwards-undistributed earnings tax | ||
Statement [line items] | ||
Deductible temporary differences for which no deferred tax asset is recognised | 271,093 | 283,578 |
Others | ||
Statement [line items] | ||
Deductible temporary differences for which no deferred tax asset is recognised | 29,413 | 30,364 |
Total | ||
Statement [line items] | ||
Deductible temporary differences for which no deferred tax asset is recognised | $ 508,325 | $ 561,525 |
Income Taxes- Expiration period
Income Taxes- Expiration period for unrecognized deferred tax assets (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2022 USD ($) | |
Statement [line items] | |
Unrecognized deferred tax assets | $ 42,071 |
Taiwan | Expiration Year 2023 To 2027 | |
Statement [line items] | |
Deductible amount | 101,704 |
Unrecognized deferred tax assets | $ 20,341 |
Expiration year | 2023~2027 |
Taiwan | Expiration Year 2028 To 2032 | |
Statement [line items] | |
Deductible amount | $ 90,417 |
Unrecognized deferred tax assets | $ 18,083 |
Expiration year | 2028~2032 |
Hong Kong | |
Statement [line items] | |
Deductible amount | $ 1,815 |
Unrecognized deferred tax assets | $ 150 |
Expiration year | Indefinitely |
U.S. | Expiration 2024 to Indefinitely | |
Statement [line items] | |
Deductible amount | $ 12,323 |
Unrecognized deferred tax assets | $ 3,497 |
Expiration year | 2024~Indefinitely |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Undistributed Earning of Foreign Subsidiaries | $ 1,282,075 | ||
Tax rate effect of expense not deductible in determining taxable profit (tax loss) | (5.00%) | (2.00%) | 0.20% |
Period for extension for the existing tax credits | 3 years | ||
Tax credit for investment amount eligible for smart machinery for current year (as a percent) | 5% | ||
Tax credit for investment amount eligible for smart machinery for 3 consecutive year (as a percent) | 3% | ||
Number of consecutive year when tax credit is 3% | 3 years | ||
Maximum tax credit for smart machinery combined with R&D tax credit (as a percent) | 50% | ||
Bottom of range | |||
Statement [line items] | |||
Tax rate effect of expense not deductible in determining taxable profit (tax loss) | 20% |
Financial Instruments (Details)
Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [line items] | ||||
Financial assets measured at fair value through profit or loss (including current and noncurrent) | $ 15,350 | $ 16,013 | ||
Financial assets measured at fair value through other comprehensive income | 279 | 410 | ||
Measured at amortized cost: | ||||
Cash and cash equivalents | 221,581 | 336,024 | $ 184,938 | $ 101,055 |
Financial asset at amortized cost | 8,314 | 26,013 | ||
Accounts receivable and other receivables (including related parties) | 261,148 | 410,211 | ||
Restricted deposit (including current and noncurrent) | 434,903 | 221,946 | ||
Total financial assets | 1,120,749 | 1,187,368 | ||
Financial assets at amortised cost, category | ||||
Measured at amortized cost: | ||||
Cash and cash equivalents | 221,581 | 336,024 | ||
Financial asset at amortized cost | 8,314 | 26,013 | ||
Accounts receivable and other receivables (including related parties) | 268,418 | 423,357 | ||
Restricted deposit (including current and noncurrent) | 369,332 | 154,136 | ||
Refundable deposits (including current and noncurrent) | 237,475 | 231,415 | ||
Subtotal | $ 1,105,120 | $ 1,170,945 |
Financial Instruments - Financi
Financial Instruments - Financial liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Measured at amortized cost: | |||
Short-term secured borrowings | $ 369,300 | $ 151,400 | |
Accounts payables and other payables (including related parties) | 177,593 | 305,755 | |
Long-term unsecured borrowings (including current portion) | 46,500 | 52,500 | |
Lease liabilities (including current and noncurrent) | 11,675 | 15,860 | |
Guarantee deposits | 66,631 | 55,215 | |
Total | 671,699 | 580,730 | |
Unsecured Borrowings | |||
Measured at amortized cost: | |||
Short-term unsecured borrowings | 0 | 0 | $ 0 |
Secured Borrowings | |||
Measured at amortized cost: | |||
Short-term secured borrowings | $ 369,300 | $ 151,400 | $ 104,000 |
Financial Instruments - Liquidi
Financial Instruments - Liquidity risk (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | $ 369,300 | $ 151,400 | |
Long-term unsecured borrowings (including current portion) | 46,500 | 52,500 | |
Lease liabilities | 11,675 | 15,860 | |
Guarantee deposits | 66,631 | 55,215 | |
Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term unsecured borrowings | 0 | 0 | $ 0 |
Secured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | 369,300 | 151,400 | $ 104,000 |
Not later than Six months | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | 369,658 | 111,582 | |
Lease liabilities | 2,188 | 2,460 | |
Guarantee deposits | 14,532 | 1,165 | |
Total | 390,668 | 118,374 | |
Not later than Six months | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | 4,290 | 3,167 | |
Later than six months and not later than one year | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | 0 | 40,019 | |
Lease liabilities | 2,166 | 2,298 | |
Guarantee deposits | 0 | 0 | |
Total | 6,325 | 45,476 | |
Later than six months and not later than one year | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | 4,159 | 3,159 | |
Later than one year and not later than two years | |||
Non derivative financial Liabilities [Abstract] | |||
Lease liabilities | 4,868 | 3,881 | |
Guarantee deposits | 52,099 | 5,840 | |
Total | 65,026 | 16,008 | |
Later than one year and not later than two years | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | 8,059 | 6,287 | |
Later than two years and not later than five years | |||
Non derivative financial Liabilities [Abstract] | |||
Lease liabilities | 2,693 | 7,513 | |
Guarantee deposits | 48,210 | ||
Total | 24,879 | 74,347 | |
Later than two years and not later than five years | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | 22,186 | 18,624 | |
Later than five years | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | 0 | 0 | |
Lease liabilities | 0 | 22 | |
Guarantee deposits | 0 | 0 | |
Total | 17,740 | 22,800 | |
Later than five years | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | 17,740 | 22,778 | |
Contractual Cash Flows | |||
Non derivative financial Liabilities [Abstract] | |||
Short-term secured borrowings | 369,658 | 151,601 | |
Lease liabilities | 11,915 | 16,174 | |
Guarantee deposits | 66,631 | 55,215 | |
Total | 504,638 | 277,005 | |
Contractual Cash Flows | Unsecured Borrowings | |||
Non derivative financial Liabilities [Abstract] | |||
Long-term unsecured borrowings (including current portion) | $ 56,434 | $ 54,015 |
Financial Instruments - Currenc
Financial Instruments - Currency risk (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 USD ($) $ / shares | Dec. 31, 2021 USD ($) | |
NTD | Financial liabilities | ||
Statement [line items] | ||
Foreign currency | $ 2,900,734 | $ 3,450,959 |
Exchange rate | 30.71 | 27.68 |
Functional currency | $ 94,456 | $ 124,672 |
NTD | Financial assets | ||
Statement [line items] | ||
Foreign currency | $ 333,733 | $ 447,596 |
Exchange rate | 30.71 | 27.68 |
Functional currency | $ 10,867 | $ 16,170 |
CNY | Financial assets | ||
Statement [line items] | ||
Foreign currency | $ 37,346 | $ 36,450 |
Exchange rate | 6.9669 | 6.3941 |
Functional currency | $ 5,360 | $ 5,701 |
JPY | Financial liabilities | ||
Statement [line items] | ||
Foreign currency | $ 1,080,956 | $ 1,459,700 |
Exchange rate | 132.1429 | 115.0936 |
Functional currency | $ 8,180 | $ 12,683 |
JPY | Financial assets | ||
Statement [line items] | ||
Foreign currency | $ 1,110,308 | $ 29,279 |
Exchange rate | 132.1429 | 115.0936 |
Functional currency | $ 8,402 | $ 254 |
Financial Instruments - Finan_2
Financial Instruments - Financial instruments measured at fair value (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Financial Assets at Fair Value Through Profit or Loss | ||
Money market fund | $ 2,345 | |
Equity securities-unlisted company | $ 15,350 | 13,668 |
Subtotal | 15,350 | 16,013 |
Financial assets at fair value through others comprehensive income | ||
Equity securities-unlisted company | 279 | 410 |
Total | 15,629 | 16,423 |
Level 1 | ||
Financial Assets at Fair Value Through Profit or Loss | ||
Money market fund | 2,345 | |
Equity securities-unlisted company | 0 | |
Subtotal | 2,345 | |
Financial assets at fair value through others comprehensive income | ||
Equity securities-unlisted company | 0 | |
Total | 2,345 | |
Level 2 | ||
Financial Assets at Fair Value Through Profit or Loss | ||
Money market fund | 0 | |
Equity securities-unlisted company | 0 | |
Subtotal | 0 | |
Financial assets at fair value through others comprehensive income | ||
Equity securities-unlisted company | 0 | |
Total | 0 | |
Level 3 | ||
Financial Assets at Fair Value Through Profit or Loss | ||
Money market fund | 0 | |
Equity securities-unlisted company | 15,350 | 13,668 |
Subtotal | 15,350 | 13,668 |
Financial assets at fair value through others comprehensive income | ||
Equity securities-unlisted company | 279 | 410 |
Total | $ 15,629 | $ 14,078 |
Financial Instruments - Movemen
Financial Instruments - Movement in financial assets included in Level 3 of fair value hierarchy (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Beginning balance | $ 1,187,368 | |
Ending balance | 1,120,749 | $ 1,187,368 |
Level 3 | ||
Statement [line items] | ||
Beginning balance | 14,078 | 14,708 |
Additions | 500 | |
Disposal | (283) | (151) |
Recognized in other comprehensive income | 152 | (181) |
Recognized in profit or loss | 1,182 | (298) |
Ending balance | 15,629 | 14,078 |
Financial assets at fair value through profit or loss, category | Level 3 | ||
Statement [line items] | ||
Beginning balance | 13,668 | 13,966 |
Additions | 500 | |
Disposal | 0 | |
Recognized in other comprehensive income | 0 | |
Recognized in profit or loss | 1,182 | (298) |
Ending balance | 15,350 | 13,668 |
Financial assets at fair value through other comprehensive income, category | Level 3 | ||
Statement [line items] | ||
Beginning balance | 410 | 742 |
Additions | 0 | |
Disposal | (283) | (151) |
Recognized in other comprehensive income | 152 | (181) |
Recognized in profit or loss | 0 | |
Ending balance | $ 279 | $ 410 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Statement [line items] | ||
Increase (decrease) through foreign exchange, financial assets | $ 7,801 | $ 11,523 |
Liquidity risk | Interest rate, measurement input | ||
Statement [line items] | ||
Significant unobservable input, assets | 28% | |
NTD | ||
Statement [line items] | ||
Percentage of depreciation appreciation against other country currency | 10% | 10% |
Floating interest rate | ||
Statement [line items] | ||
Borrowings, adjustment to interest rate basis | 0.25% | |
Increase or decrease net profit through interest rate | $ 116 | $ 131 |
Financial Risk Management - Per
Financial Risk Management - Percentage of revenues (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Customer A and Its Affiliates | |||
Financial Risk Management | |||
Percentage of entity's revenue | 32.30% | 32.10% | 32.60% |
Customer C | |||
Financial Risk Management | |||
Percentage of entity's revenue | 9.40% | 19.10% | 12.70% |
Financial Risk Management - P_2
Financial Risk Management - Percentage of accounts receivable (Details) | Dec. 31, 2022 | Dec. 31, 2021 |
Customer A and Its Affiliates | ||
Financial Risk Management | ||
Percentage Of Accounts Receivable | 31.50% | 39% |
Customer C | ||
Financial Risk Management | ||
Percentage Of Accounts Receivable | 10.30% | 12.10% |
Capital management (Details)
Capital management (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Capital management | ||||
Total liabilities | $ 807,937 | $ 731,212 | ||
Less: cash and cash equivalents | 221,581 | 336,024 | $ 184,938 | $ 101,055 |
Total liabilities less current assets | 586,356 | 395,188 | ||
Equity attributable to owners of Himax Technologies, Inc. | $ 892,572 | $ 869,724 |
Related-party Transactions (Det
Related-party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Sales of goods | $ 215 | $ 125 | $ 0 |
Purchase of raw materials | 1,079 | 3,532 | 689 |
Accounts payable | 263 | 265 | |
Revenue from miscellaneous service | 190 | 66 | |
Miscellaneous fee | 496 | 795 | 84 |
Other receivable | 24 | 17 | |
Other payable | 2,568 | 1,641 | |
Current receivables due from related parties | 1,224 | 1,217 | |
Cheng Mei Materials Technology Corporation | |||
Statement [line items] | |||
Purchase of raw materials | 1,079 | 3,469 | 663 |
Accounts payable | 263 | 233 | |
Miscellaneous fee | 496 | 791 | 84 |
Associates [member] | |||
Statement [line items] | |||
Revenue from miscellaneous service | 181 | 63 | |
Miscellaneous fee | 4 | ||
Other receivable | 24 | 14 | |
Viewsil Microelectronics (Kunshan) Limited | |||
Statement [line items] | |||
Technical service fee | 1,050 | 1,400 | 1,400 |
Other payable | 2,450 | 1,400 | |
Other related parties | |||
Statement [line items] | |||
Sales of goods | 215 | 125 | |
Accounts receivable | 36 | 71 | |
Purchase of raw materials | 63 | $ 26 | |
Accounts payable | 32 | ||
Revenue from miscellaneous service | 9 | 3 | |
Other receivable | 3 | ||
Other payable | 118 | 241 | |
VST | |||
Statement [line items] | |||
Current receivables due from related parties | $ 1,200 | $ 1,200 |
Related-party Transactions - Co
Related-party Transactions - Compensation of key management personnel (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Related-party Transactions | |||
Short-term employee benefits | $ 1,721 | $ 1,068 | $ 884 |
Post-employment benefits | 11 | 12 | 9 |
Share-based compensation | 363 | 671 | 41 |
Total Key management personnel compensation | $ 2,095 | $ 1,751 | $ 934 |
Related-party Transactions- Add
Related-party Transactions- Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Purchases of goods, related party transactions | $ 1,079 | $ 3,532 | $ 689 |
Key management Personnel Compensation Director | 150 | 150 | |
Cheng Mei Materials Technology Corporation | |||
Statement [line items] | |||
Purchases of goods, related party transactions | $ 1,079 | $ 3,469 | $ 663 |
Pledged assets (Details)
Pledged assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Pledged Assets [Line items] | ||
Short-term secured borrowings | $ 369,300 | $ 151,400 |
For foundry capacities | 2,700 | |
For customs duties | 32 | 36 |
Long-term unsecured borrowings | 40,500 | 46,500 |
Restricted cash and cash equivalents | 434,903 | 221,946 |
Land | ||
Pledged Assets [Line items] | ||
Long-term unsecured borrowings | 27,500 | 27,500 |
Building and improvements. | ||
Pledged Assets [Line items] | ||
Long-term unsecured borrowings | $ 38,071 | $ 40,310 |
Commitments and Contingencies -
Commitments and Contingencies - (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Commitments and Contingencies | ||
Long-term contracts, contract price | $ 24,525,000 | $ 2,377,000 |
Long-term contracts, commitments amount | 22,682,000 | 2,030,000 |
Letter of credit | 3,254,000 | |
Refundable deposits of the long term contract for purchase agreements with suppliers | 237,000,000 | 230,000,000 |
Contractual obligation | 2,088,000,000 | $ 2,655,000,000 |
Amount of Obligations Expected To Be Paid in the next 12 months | $ 625,000,000 |
Segment, Product and Geograph_3
Segment, Product and Geographic Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment, Product and Geographic Information | |||
Segment revenues | $ 1,201,339 | $ 1,547,097 | $ 887,282 |
Segment operating income (loss) | 257,587 | 545,021 | 57,926 |
Non operating loss, net | 18,978 | (429) | (1,054) |
Consolidated profits before income taxes | 276,565 | 544,592 | 56,872 |
Significant noncash items: | |||
Share Based Compensation | 3,096 | 700 | 763 |
Depreciation and amortization | 21,342 | 21,342 | 23,596 |
Driver IC | |||
Segment, Product and Geographic Information | |||
Segment revenues | 1,042,938 | 1,361,442 | 756,522 |
Segment operating income (loss) | 275,275 | 551,943 | 98,687 |
Significant noncash items: | |||
Share Based Compensation | 1,655 | 424 | 481 |
Depreciation and amortization | 8,261 | 5,598 | 5,959 |
Non-driver products | |||
Segment, Product and Geographic Information | |||
Segment revenues | 158,401 | 185,655 | 130,760 |
Segment operating income (loss) | (17,688) | (6,922) | (40,761) |
Significant noncash items: | |||
Share Based Compensation | 1,441 | 276 | 282 |
Depreciation and amortization | $ 13,081 | $ 15,744 | $ 17,637 |
Segment, Product and Geograph_4
Segment, Product and Geographic Information - Segment revenues from customers in different geographic region (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment, Product and Geographic Information | |||
Revenue | $ 1,201,339 | $ 1,547,097 | $ 887,282 |
China | |||
Segment, Product and Geographic Information | |||
Revenue | 925,429 | 1,261,098 | 707,002 |
Taiwan | |||
Segment, Product and Geographic Information | |||
Revenue | 175,544 | 219,106 | 123,180 |
Other Asia Pacific (Philippines, Korea and Japan) | |||
Segment, Product and Geographic Information | |||
Revenue | 90,258 | 66,184 | 56,195 |
Europe and America | |||
Segment, Product and Geographic Information | |||
Revenue | 10,108 | 709 | 905 |
Driver IC | |||
Segment, Product and Geographic Information | |||
Revenue | 1,042,938 | 1,361,442 | 756,522 |
Driver IC | China | |||
Segment, Product and Geographic Information | |||
Revenue | 828,754 | 1,149,442 | 643,527 |
Driver IC | Taiwan | |||
Segment, Product and Geographic Information | |||
Revenue | 149,037 | 167,728 | 88,001 |
Driver IC | Other Asia Pacific (Philippines, Korea and Japan) | |||
Segment, Product and Geographic Information | |||
Revenue | 64,523 | 44,272 | 24,964 |
Driver IC | Europe and America | |||
Segment, Product and Geographic Information | |||
Revenue | 624 | 30 | |
Non-driver products | |||
Segment, Product and Geographic Information | |||
Revenue | 158,401 | 185,655 | 130,760 |
Non-driver products | China | |||
Segment, Product and Geographic Information | |||
Revenue | 96,675 | 111,656 | 63,475 |
Non-driver products | Taiwan | |||
Segment, Product and Geographic Information | |||
Revenue | 26,507 | 51,378 | 35,179 |
Non-driver products | Other Asia Pacific (Philippines, Korea and Japan) | |||
Segment, Product and Geographic Information | |||
Revenue | 25,735 | 21,912 | 31,231 |
Non-driver products | Europe and America | |||
Segment, Product and Geographic Information | |||
Revenue | $ 9,484 | $ 709 | $ 875 |
Segment, Product and Geograph_5
Segment, Product and Geographic Information - Segment revenues from major product lines (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment, Product and Geographic Information | |||
Revenue | $ 1,201,339 | $ 1,547,097 | $ 887,282 |
Display drivers for large-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 263,992 | 397,905 | 240,789 |
Display drivers for small and medium-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 778,946 | 963,537 | 515,733 |
Non-driver products | |||
Segment, Product and Geographic Information | |||
Revenue | 158,401 | 185,655 | 130,760 |
Driver IC | |||
Segment, Product and Geographic Information | |||
Revenue | 1,042,938 | 1,361,442 | 756,522 |
Driver IC | Display drivers for large-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 263,992 | 397,905 | 240,789 |
Driver IC | Display drivers for small and medium-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 778,946 | 963,537 | 515,733 |
Driver IC | Non-driver products | |||
Segment, Product and Geographic Information | |||
Revenue | 0 | 0 | 0 |
Non-driver products | |||
Segment, Product and Geographic Information | |||
Revenue | 158,401 | 185,655 | 130,760 |
Non-driver products | Display drivers for large-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 0 | 0 | 0 |
Non-driver products | Display drivers for small and medium-sized applications | |||
Segment, Product and Geographic Information | |||
Revenue | 0 | 0 | 0 |
Non-driver products | Non-driver products | |||
Segment, Product and Geographic Information | |||
Revenue | $ 158,401 | $ 185,655 | $ 130,760 |
Segment, Product and Geograph_6
Segment, Product and Geographic Information - Carrying values of the Company's tangible long-lived assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Segment, Product and Geographic Information | ||
Property, plant and equipment | $ 126,138 | $ 133,236 |
Taiwan | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | 123,361 | 130,951 |
U.S. | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | 1,595 | 1,163 |
China | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | 834 | 662 |
Korea | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | 245 | 343 |
Israel | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | 65 | |
Japan | ||
Segment, Product and Geographic Information | ||
Property, plant and equipment | $ 103 | $ 52 |
Segment, Product and Geograph_7
Segment, Product and Geographic Information - Revenues from significant customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment, Product and Geographic Information | |||
Revenue | $ 1,201,339 | $ 1,547,097 | $ 887,282 |
Driver IC Segment | |||
Segment, Product and Geographic Information | |||
Revenue | 460,025 | 734,508 | 374,611 |
Driver IC Segment | Customer A and Its Affiliates | |||
Segment, Product and Geographic Information | |||
Revenue | 347,794 | 443,930 | 264,700 |
Driver IC Segment | Customer C | |||
Segment, Product and Geographic Information | |||
Revenue | 112,231 | 290,578 | 109,911 |
Non-driver Products Segment | |||
Segment, Product and Geographic Information | |||
Revenue | 41,565 | 57,792 | 27,556 |
Non-driver Products Segment | Customer A and Its Affiliates | |||
Segment, Product and Geographic Information | |||
Revenue | 40,400 | 53,153 | 24,963 |
Non-driver Products Segment | Customer C | |||
Segment, Product and Geographic Information | |||
Revenue | $ 1,165 | $ 4,639 | $ 2,593 |
Segment, Product and Geograph_8
Segment, Product and Geographic Information - Accounts receivable from significant customers (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Segment, Product and Geographic Information | ||
Accounts receivable | $ 108,982 | $ 209,913 |
Customer A and Its Affiliates | ||
Segment, Product and Geographic Information | ||
Accounts receivable | 82,144 | 160,107 |
Customer C | ||
Segment, Product and Geographic Information | ||
Accounts receivable | $ 26,838 | $ 49,806 |
Segment, Product and Geograph_9
Segment, Product and Geographic Information - Revenue from contracts with customers (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Segment, Product and Geographic Information | ||
Contract liabilities-current | $ 49,167 | $ 37,663 |
Contract liabilities-non-current | 0 | $ 10,221 |
Revenue that was included in contract liability balance at beginning of period | $ 30,759 |
The Nature of Expenses (Details
The Nature of Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Depreciation, property, plant and equipment | $ 19,964 | $ 19,604 | $ 21,873 |
Cost of Revenues | |||
Statement [line items] | |||
Depreciation, property, plant and equipment | 5,586 | 6,093 | 6,935 |
Operating Expenses | |||
Statement [line items] | |||
Depreciation, property, plant and equipment | $ 14,378 | $ 13,511 | $ 14,938 |
The Nature of Expenses - Amorti
The Nature of Expenses - Amortization of intangible assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Amortization of intangible assets | $ 1,378 | $ 1,738 | $ 1,723 |
Cost of Revenues | |||
Statement [line items] | |||
Amortization of intangible assets | 93 | 78 | 57 |
Operating Expenses | |||
Statement [line items] | |||
Amortization of intangible assets | $ 1,285 | $ 1,660 | $ 1,666 |
The Nature of Expenses - Employ
The Nature of Expenses - Employee benefits expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
The Nature of Expenses | |||
Salary | $ 142,564 | $ 126,976 | $ 88,149 |
Labor and health insurance | 7,421 | 7,232 | 5,805 |
Pension | 6,527 | 5,993 | 4,536 |
Others | 6,431 | 6,608 | 4,867 |
Total compensation recognized in income | $ 162,943 | $ 146,809 | $ 103,357 |
The Nature of Expenses - Empl_2
The Nature of Expenses - Employee benefits expense summarized by function (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Employee benefits expense | $ 162,943 | $ 146,809 | $ 103,357 |
Cost of Revenues | |||
Statement [line items] | |||
Employee benefits expense | 6,273 | 7,856 | 5,579 |
Operating Expenses | |||
Statement [line items] | |||
Employee benefits expense | $ 156,670 | $ 138,953 | $ 97,778 |
Himax Technologies, Inc. (the_3
Himax Technologies, Inc. (the Parent Company only) - Condensed Statements of Financial Position (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Statement [line items] | ||||
Cash | $ 221,581 | $ 336,024 | $ 184,938 | $ 101,055 |
Financial asset at amortized cost | 8,314 | 26,013 | ||
Other receivable from related party | 1,224 | 1,217 | ||
Other current assets | 104,277 | 64,280 | ||
Financial assets at fair value through profit or loss | 15,350 | 16,013 | ||
Total assets | 1,701,758 | 1,603,194 | ||
Current liabilities | 693,995 | 601,225 | ||
Short-term secured borrowings | 369,300 | 151,400 | ||
Total equity | 893,821 | 871,982 | 485,199 | 431,244 |
Total liabilities and equity | 1,701,758 | 1,603,194 | ||
Equity attributable to owners of parent | ||||
Statement [line items] | ||||
Cash | 2,946 | 972 | 1,980 | 1,002 |
Financial asset at amortized cost | 5,330 | 5,659 | ||
Other current assets | 529 | 516 | ||
Financial assets at fair value through profit or loss | 13,290 | 12,269 | ||
Investments in subsidiaries and affiliates | 1,473,234 | 1,228,969 | ||
Total assets | 1,495,329 | 1,248,385 | ||
Current liabilities | 132 | 885 | ||
Current portion of long-term unsecured borrowings | 6,000 | 6,000 | ||
Short-term secured borrowings | 369,300 | 151,400 | ||
Debt borrowing from a subsidiary | 186,825 | 173,876 | ||
Long-term unsecured borrowings | 40,500 | 46,500 | ||
Total equity | 892,572 | 869,724 | $ 480,176 | $ 432,987 |
Total liabilities and equity | $ 1,495,329 | $ 1,248,385 |
Himax Technologies, Inc. (the_4
Himax Technologies, Inc. (the Parent Company only) - Condensed Statements of Profit or Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Revenues | $ 1,201,339 | $ 1,547,097 | $ 887,282 |
costs and expenses | 943,752 | 1,002,076 | 829,356 |
Operating income | 257,587 | 545,021 | 57,926 |
Interest income | 4,813 | 876 | 967 |
Changes in fair value of financial assets at fair value through profit or loss | 1,246 | (284) | 472 |
Foreign currency exchange gains (losses), net | 5,506 | 1,096 | (327) |
Finance costs | (2,783) | (1,074) | (1,705) |
Profit (loss) before income taxes | 276,565 | 544,592 | 56,872 |
Income tax expense | 41,098 | 110,657 | 11,712 |
Profit for the year | 235,467 | 433,935 | 45,160 |
Equity attributable to owners of parent | |||
Statement [line items] | |||
Revenues | 0 | 0 | |
costs and expenses | 486 | 1,037 | 704 |
Operating income | (486) | (1,037) | (704) |
Interest income | 166 | 148 | 126 |
Changes in fair value of financial assets at fair value through profit or loss | 1,021 | (143) | 427 |
Foreign currency exchange gains (losses), net | (487) | 115 | 356 |
Finance costs | (4,944) | (1,320) | (3,629) |
Share of profits (loss) of subsidiaries and affiliates | 241,712 | 439,133 | 50,558 |
Profit (loss) before income taxes | 236,982 | 436,896 | 47,134 |
Income tax expense | 0 | 0 | |
Profit for the year | $ 236,982 | $ 436,896 | $ 47,134 |
Himax Technologies, Inc. (the_5
Himax Technologies, Inc. (the Parent Company only) - Condensed Statements of Other Comprehensive Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement [line items] | |||
Profit for the year | $ 235,467 | $ 433,935 | $ 45,160 |
Other comprehensive income: | |||
Remeasurements of defined benefit pension plans | 684 | 165 | (214) |
Unrealized gain (loss) on financial assets at fair value through other comprehensive income | 152 | (181) | 65 |
Income tax related to items that will not be reclassified subsequently | (107) | (27) | 38 |
Foreign operations - foreign currency translation differences | (157) | (72) | 556 |
Other comprehensive income for the year, net of tax | 572 | (115) | 445 |
Total comprehensive income for the year | 236,039 | 433,820 | 45,605 |
Equity attributable to owners of parent | |||
Statement [line items] | |||
Profit for the year | 236,982 | 436,896 | 47,134 |
Other comprehensive income: | |||
Remeasurements of defined benefit pension plans | 658 | 160 | (213) |
Unrealized gain (loss) on financial assets at fair value through other comprehensive income | 142 | (179) | 67 |
Income tax related to items that will not be reclassified subsequently | (107) | (27) | 38 |
Foreign operations - foreign currency translation differences | (245) | (72) | 512 |
Other comprehensive income for the year, net of tax | 448 | (118) | 404 |
Total comprehensive income for the year | $ 237,430 | $ 436,778 | $ 47,538 |
Himax Technologies, Inc. (the_6
Himax Technologies, Inc. (the Parent Company only) - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash flows from operating activities: | |||
Profit for the year | $ 235,467 | $ 433,935 | $ 45,160 |
Adjustments for: | |||
Changes in fair value of financial assets at fair value through profit or loss | (1,246) | 284 | (472) |
Interest income | (4,813) | (876) | (967) |
Unrealized foreign currency exchange gains | (2,883) | (953) | (239) |
Changes in: | |||
Cash generated from operating activities | 152,665 | 408,144 | 106,056 |
Interest received | 4,525 | 852 | 1,066 |
Interest paid | (2,783) | (1,074) | (1,811) |
Net cash used in operating activities | 82,908 | 388,276 | 102,610 |
Cash flows from investing activities: | |||
Acquisitions of financial asset at amortized cost | (8,763) | (25,362) | (3,829) |
Acquisitions of equity method investment | (3,264) | (598) | (792) |
Proceeds from capital reduction of investment | 0 | 151 | 32 |
Net cash provided by (used in) investing activities | 14,998 | (232,680) | (22,365) |
Cash flows from financing activities: | |||
Payments of cash dividends | (217,873) | (47,424) | (4) |
Proceeds from exercise of employee stock options | 0 | 1,182 | 3,707 |
Net cash provided by (used in) financing activities | (211,068) | (4,487) | 3,261 |
Net increase (decrease) in cash | (114,443) | 151,086 | 83,883 |
Cash and cash equivalents at beginning of year | 336,024 | 184,938 | 101,055 |
Cash and cash equivalents at end of year | 221,581 | 336,024 | 184,938 |
Equity attributable to owners of parent | |||
Cash flows from operating activities: | |||
Profit for the year | 236,982 | 436,896 | 47,134 |
Adjustments for: | |||
Changes in fair value of financial assets at fair value through profit or loss | (1,021) | 143 | (427) |
Interest income | (166) | (148) | (126) |
Finance costs | 4,944 | 1,320 | 3,629 |
Share of losses (profits) of subsidiaries and affiliates | (241,712) | (439,133) | (50,558) |
Unrealized foreign currency exchange gains | 493 | (115) | (356) |
Adjustments to reconcile profit (loss) | (480) | (1,037) | (704) |
Changes in: | |||
Other current assets | (19) | (72) | (267) |
Other current liabilities | (689) | 750 | (71) |
Cash generated from operating activities | (1,188) | (359) | (1,042) |
Interest received | 172 | 139 | 130 |
Interest paid | (2,561) | (858) | (730) |
Net cash used in operating activities | (3,577) | (1,078) | (1,642) |
Cash flows from investing activities: | |||
Acquisitions of financial asset at amortized cost | (163) | (139) | (129) |
Acquisitions of equity method investment | 0 | 0 | (758) |
Net cash provided by (used in) investing activities | (163) | (139) | (887) |
Cash flows from financing activities: | |||
Payments of cash dividends | (217,873) | (47,404) | 0 |
Proceeds from long-term unsecured borrowings | 0 | 0 | 60,000 |
Repayments of long-term unsecured borrowings | (6,000) | (6,000) | (1,500) |
Proceeds from short-term secured borrowings | 1,212,700 | 611,600 | 278,000 |
Repayments of short-term secured borrowings | (994,800) | (564,200) | (338,000) |
Proceeds from issue of RSUs from a subsidiary | 1,187 | 31 | 0 |
Proceeds from exercise of employee stock options | 0 | 1,182 | 3,707 |
Proceeds from debt from a subsidiary | 197,955 | 159,205 | 151,730 |
Repayment of debt from a subsidiary | (187,455) | (154,205) | (150,430) |
Net cash provided by (used in) financing activities | 5,714 | 209 | 3,507 |
Net increase (decrease) in cash | 1,974 | (1,008) | 978 |
Cash and cash equivalents at beginning of year | 972 | 1,980 | 1,002 |
Cash and cash equivalents at end of year | $ 2,946 | $ 972 | $ 1,980 |
Accounts Receivable, net - Addi
Accounts Receivable, net - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounts Receivable, net | |||
Loss Allowance Accounts Receivable Ending Balance | $ 0 | $ 0 | $ 190 |
Charges to Earnings Accounts Receivable | $ 0 | $ (190) | $ 0 |