Powertech's 1H19 net profit reduced by 27%; 3Q19 revenue may grow 5-8%

Powertech (6239-TW) held an investors conference and announced its 2Q19 earnings report today on July 23th. Its 2Q19 net profit was NTD1.103bn (+4.8% QoQ, - 34.3% YoY) with EPS of NTD1.42. Its 1H19 net income attributed to shareholders of the parent was NTD2.156bn (-27.4% YoY) with EPS of NTD2.78. In 3Q19, the company expected that the its revenue/earnings may grow, and the utilization rate of packaging and testing may increase. Institutional investors estimated that its 3Q19 revenue will increase by 5-8%.

Due to the decline in capacity utilization rate and the US-China trade war in 1H19, Powertech’s 2Q19 revenue grew slightly, meeting the expectation. Its 2Q19 revenue was NTD15.08bn (+4.5% QoQ, -12.4% YoY). Its 2Q19 GM was 17.2% (+1.0% QoQ, -4.0% YoY). Its 1H19 revenue was NTD29.51bn (-10.9% YoY). Its 1H19 GM was 16.7% (-4.1% YoY).

Powertech's 2Q19 net profit was NTD1.1bn (+4.8% QoQ, -34.3% YoY) with EPS of NTD1.42. Its 1H19 net income attributed to shareholders of the parent was NTD2.156bn (-27.4% YoY) with EPS of NTD2.78.