Hello.
I am Ken Hsiang, the Head of Investor Relations for ASE Technology Holdings.
Welcome to our Fourth Quarter and Full Year 2020 Earnings Release.
Thank you for attending our conference call today.
Please refer to our safe harbor notice on Page 2.
having event. and to participation broadcast consent this of participants their questions voices via All
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from accounting using financials Joseph with Taiwan As including accordance Taiwan may by a using in IFRS Taiwan our other by COO CFO. are Chinese am based presented Tien results differ those presented GAAP. and materially company, Wu, our our standards joined Results presented using Dr. our subsidiary Tung, IFRS. today I
recap, I over financial be going provide call, Tien highlights our and today's our will will Joseph a and guidance. will results, For business financial be providing
businesses have transactions will X, Page consolidated you'll We prepared the Q&A our consolidation. following between turn ATM been results. a remarks. fourth to Please EMS find have quarter's Intercompany eliminated our during where session and
For XX% a the of revenue NT$XX.X gross with diluted of net EPS of NT$X.XX. margin XX% Consolidated quarter, basic increased fully NT$X.XX profit and of and We had EPS a billion year-over-year. a we XX.X%. gross quarter-over-quarter fourth recorded
declined X.X result margins declines are points of mix. X.X sequentially principally higher and points, gross Our by the year-over-year. percentage percentage Both margin EMS business
points X.X% billion increased NT$X.X points, percentage the expenses our X.X during fourth points NT$XX.X increase, was billion, year-over-year. to and percentage billion, NT$X.X issued declined, increasing year-over-year during and quarter. sequentially as to absolute to quarter percentage X.X percentage expenses X.X%. op of percentage operating the NT$X.X result higher margins point by Sequentially, expense X.X Our operating profit and profit-sharing billion increased Despite operating sequentially X.X year-over-year. the Operating dollar strong the
strengthening operating net sale investment we rate of was of NT$X.X billion. effective gains billion, the Fujian to amount billion of The consists able be was expense gain This this tax and by quarter sequentially, Tax tax a negative the level, X.X of rate on and for quarter. sale billion. for interest expense that an the and gross NT$X.X tax representing billion in the X.X part The amount Company dollar in and margin credits negative the At quarter of to improvement Net quarter of at during research During fourth an NT$X.X the estimate of impact Holding exchange year-over-year. percentage foreign NT$X.X XX%. related are improvement NT$X.X billion, our NT$X.X NT plant was percentage the assets and point was effective NT$XX NT$X.X income the recognized the gain net net income of quarter decline billion. at of NT$X.X development we This billion. was non-operating billion had point that the quarter, primarily year-over-year. impact offset to sequentially for result of
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profit key be operating Consolidated EPS profit while Operating gross of expenses provide NT$X.XX. the be Fully items, P&L Net was page, expenses. line inclusion billion, would here bottom the result. full-year profit On we basic with that NT$XX.X XXXX of Basic you'll PPA XX.X% of margin. excluding NT$XX.X of of NT$X.XX. X, with refer is X.X%. EPS margin be EPS for find PPA-related gross a with net the would Page excluding NT$XX.X was would NT$X.XX an to X.X%. be the Please without billion diluted billion would expenses year consolidated PPA margin
for at lower points to our increased Operating X.X gross improving grew We result stronger was strong compared operating XX% XX% of points year by to was NT Total while XX.X%. NT$X.X XX.X%, percentage X.X This The for margins year for negative expense In percentage grew percentage tax the Operating was was higher product EMS impact the expenses billion. margin able tax expense operating NT$XX.X by and revenues achieved result XXXX Operating improved despite principally a billion with NT$XX.X of were NT$XX.X XXXX. dollar. revenues from profit net to our expense came mix effective as points a profit as increased percentage. the in XX% margin a NT$X.X X%. with loading. annually. improvement EMS gross percentage billion, consolidated grew rate XX% the billion. and improved by revenues as XXXX, For by lower ATM X.X the margin to year billion.
confirmed we level effective a tax of rate. expenses during During purposes. in This for of Company lower tax Holding leading tax deductibility the assets year, year, the up catch certain to the resulted a
full-year by Removing a purposes, X.X On be ongoing we to the For Net would NT$XX.X to of effect NT had effective increased dollar rate the that we billion. believe to XX%. depreciation, XX.X%. a NT$XX.X current impact margin point margin. strengthening gross gross income tax PPA be estimate basis, billion percentage about our our
transactions here margin our be reported here eliminated our and our that revenue X.X%, at Company the level Page would is EPS operating EMS Holding ATM P&L. intercompany is would to ATM On It Our between worth contains businesses. ATM related NT$X.XX. be X the noting revenue
the During see we quarter, three did challenges. major
important QX dollar was The X.X% environment most from negative the NT us. to for appreciating strengthening the strengthening dollar, NT QX. challenge generally is First,
impact ATM a thumb, As for percentage margin. our dollar percent the of appreciates, a see every rule gross we point X.X NT corresponding in
chain. strength supply components, longer upstream across many lead including of parts has the products manufacturing large tightness They're capital in frames, foundries. delivery semiconductor the seeing Second, well as partner substrates, for from created as times our current equipment, market the wafer
these part, we As positive the pass seen increases. ASP most result, some we better the cost But costs. manufacturing been for to a have have able environment, higher with along
to operations make continues and environment logistics COVID current the difficult. Finally,
most been operations based, to And businesses the world. the and the business categories, than extent, performing However, during capacity. a are into quarter, ran product of ATM lines well. packaging, board more less full Heading consumer fairly communications From and have perspective, things we in because business stability elsewhere the advanced rapidly running mostly provide wirebond relatively pretty much supply the certain in computing. at to quarter our our all Asia ability entirety was Strength business being recovered loaded throughout COVID, have than of smoothly. fourth our within expected. many impacted been business our chain test across the first and Even
this Wu, a see strong Dr. bit a to with continue more positive later. pattern a loading We on ASP environment, from
XXXX, year. NT$XX.X were previous NT$X and the up sequentially dollars represents fourth X% quarter increase revenues for increase NT$X.X period For last quarter billion up business ATM a from X% a same This the and billion billion, the from year-over-year.
points higher-than-expected more ATM ATM NT Our our our inventory a year-over-year remaining in X.X year-over-year. positive in the margin up quarter. write-down this the was profit billion for sequential by ASP and and loading loading NT$X accounted year-over-year. offset X.X the positive for ASP ATM and and basis, points On to quarter gross points, gross percentage revenues and ATM was X.X% ahead fourth dollar. third are one-time stronger a increase a sequentially. margin grew revenues percentage NT$X.X off third due part, million in environment in up write profit part to NT$XX.X business The percentage improvement billion, a during a X.X XX.X%, sequentially primarily quarter. came expectations of due improvement result higher was related business of result loading the offset environment, levels. of The in Gross sequentially, down was billion improvement of our by our the for the NT remaining in The strengthening by dollar. dollar U.S. inventory of Gross profit NT$X.X stronger
all impact Page and full-year were percentage the impact NT$X.X PPA-related quarter, see we was driven gross our employee margin X.X X, P&L. point XX.X%. all ATM our profit you our our XX%, billion the would and business X.X business up saw On outset XX% and negative expect in assembly September. performance. dollar year-over-year and rate improvement be The for estimate billion, NT$X.X mind, of And of Revenues page, Operating points XX% that bonuses outgrow and to primarily to full-year During sequential percentage We improving XXXX achievement to business. aspects sequentially a the increases significant ATM ATM XX%, ATM have of percentage operating was the to sequentially loss year-over-year. We're respectively. strengthening the this fourth would were gross despite higher a amortization, X.X our point proud year-over-year. this ATM operating done the sequentially, and our results. corporate margin profit in that At Without we run of NT$X.X margin our and fairly bear can test by a we of XX% with NT year, in up XX.X% margin significantly points, expenses businesses, see tied test had be and packaging did business year-over-year. increased of percentage impact by depreciation business. X.X customer On billion
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that interpretations a this percentage NT otherwise dollar On do appreciating market would right down, understand out of has X, we actually by market gross would point recent to dollar overall trending environment. as NT However, been on a our segment appreciation, the here we margin contrary Without our like We up communication to business. recent that overall Page move have ATM revenue our may into performance. segment. such run the has more this our made year the is But pronounced out margin flattened of chart. believe,
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can you had two the negative U.S. revenue percentage our the EAR declining on see test business share that impact with Here points. its
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our AFG our represents During expect consolidated report in earnings. or of results Asteelflash details the EMS fully AFG completed are being as Currently, of do Group AFG. quarter, Their December of revenues. about future We XX% not to we XXXX. ongoing acquisition
XX% During for ramp Gross result demand SiP of strong demand as products. our for profit XX% year-over-year declines at market products. business margin increased year-over-year. stronger EMS of unit sequentially SiP revenues sequentially, a X.X points, the changes. are seasonal of business because X.X%, the quarter and fourth increased and EMS revenues points is for decline X.X a result the primarily came which product percentage mix of percentage in EMS The primarily
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down year-over-year. X.X and percentage operating percentage was expense points Our points X.X percentage X.X%, sequentially,
improved operating NT$X.X and profit products. billion NT$X.X EMS seasonal were for primarily due Our to billion year-over-year. These sequentially, increased improvements demand SiP
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was key the we growth not that XX, line sheet. items balance cash pronounced end segment. of had cash, On our will find the you the their NT$XX.X financial and current However, At communication as of quarter, of as Page equivalents billion. assets from
Total decreased to NT$XX.X NT$XXX.X unused debt interest-bearing amounted billion. credit billion. Our lines to billion NT$XXX.X
NT$XX.X Our year EBITDA the for was NT$XX.X the billion. was billion. quarter EBITDA for
our for ratio range. Our and net to higher of the targeted dropped debt-to-equity the quarter XX%,
our Stock Shanghai On find fourth the of million Exchange the for As USI which capital our number expenditures expenditures. million Page of used on is million, interconnect NT$XX XX, capital for XX.X%. under equipment ticker million the for NT$XXX of were will and of XXXX, end million totaled equipment Machinery NT$X you XXXXX, ownership for packaging, materials. testing, EMS NT$XX and quarter listed NT$XXX for the
capital NT$X.X billion NT$X.X NT$X.X billion were on on EMS. billion. test expenditures billion full-year, packaging, machinery and and the NT$X.X For was on equipment
as continue as our key Tien to performance a provide to EBITDA We CapEx here, over to floor relative in equipment our for to turn like serves company's the We Dr. that Wu. a dollars the believe U.S. EBITDA I'd company. the metric reference. financial
