WPG Holdings Reports Second-Highest Quarterly Net Income of NT$1.842 Billion for Q1 2017

By WPG AmericasMay 3, 2017

WPG Holdings Reported Its Second-Highest Quarterly Net Income of NT$1.842 Billion for First Quarter 2017

5/3/2017

Benefiting from growing shipments of mobile phones, automotives, power saving and cloud products, WPG Holdings, the largest distributor of semiconductor components in Asia, announced its first quarter consolidated sales of NT$1.191 billion decreased 2% year-over-year. Despite NT dollar’s recent appreciation impact on first quarter consolidated sales, with optimizing product assortment and under effective expense control, operating income was NT$2.258 billion, represented 7.7% increase over previous year.

Contribution from FX gains about NT$0.11 billion and bad debts recovered about NT$0.17 billion, net income grew 18.5% to NT$1.842 billion, hit second-highest quarterly record. EPS was NT$1.06 per share.

The profit growth was delivered by the continued growing demand for 4G and 3G smart phones, wireless broadband, and cloud servers. Non-3C segments’ contribution such as automotives, industrial electronics and power saving remained healthy. With increased profit and improving operating efficiency, operating cash inflow of first quarter was NT$3.338 billion. Key financial indices: Return on Working Capital (ROWC) and ROE was 9.6% and 15% respectively.

In the first quarter of 2017, driven by IoT, 90 application solutions were provided in the fields of Smart Home (30), Automotive (20), Smart City (13), Wearable devices (10), Smart phone (8), Industrial (8), Medical (1), focusing on applications such as:

  • Smart air filter
  • Temperature sensor
  • Smart lock and smart door bell
  • Smart plug
  • Electric curtain
  • TPMS
  • ADAS
  • In-vehicle infotainment system and 360-degree car video recorder
  • BMS
  • BLDC/PMSM
  • Wheeled mobile robot
  • Drone
  • Charging pile
  • Door access control systems
  • Pressure sensor
  • Wireless smart headphone
  • Radar sensors

WPG Americas Inc. is a member of WPG Holdings.

Table: WPG Holdings Consolidated Management Financials for the year ending March 31, 2017. (In brief)
Units: NT$million

Income Statement (2017/1/1 - 2017/3/31)

 

Balance Sheet (2017/3/31)

Item

Amount

 

Item

Amount

Operating revenues

119,100

 

Current Assets

162,332

Cost of Goods Sold

(113,936)

 

Accounts receivables

80,070

Gross Profit

5,165

 

Inventories

62,486

Operating Expenses

(2,907)

 

Other assets

14,171

Operating income

2,258

 

Total Assets

176,503

Non-op Expenses

(1)

 

Current Liabilities

121,381

Profit Before Tax

2,257

 

Current Borrowing

66,933

Tax

(395)

 

Accounts payables

48,786

Minority & Others

(20)

 

LT Liabilities

5,094

Profit After tax

1,842

 

Total Liabilities

127,617

EPS (Note1)

1.06

 

Common Stock

17,419

Net book value per share (Note)

27.93

 

Total Equity

48,886

Note1:Based on weighted average outstanding shares

 

Cash flows (2017/1/1 - 2017/3/31)

Item

Amount

Income before Income Tax

2,257

Change in NWC

677

Operating cash inflow /(outflow)

3,338

Investment cash inflow /(outflow)

(293)

Change in Financial Debt

(549)

Financing cash inflow /(outflow)

(558)

Cumulative translation adjustments

(3,941)

Net Cash

(1,455)

Beginning cash balance

8,457

Ending cash balance

7,002

IR contacts: Cliff Yuan/ Zoe Peng
Tel: 886-2-7712-5268 / 886-2-7712-5262
Email address:  ir@WPGholdings.com
Corporate website:  www.WPGholdings.com