AUO Corporation ("AUO" or the "Company") (TWSE: 2409) today held its investor conference and announced its consolidated financial results for the fourth quarter of 2024(1).
Consolidated revenues in the fourth quarter of 2024 were NT$68.69 billion, down by 11.6% quarter-over-quarter and up by 8.4% year-over-year. AUO’s net profit attributable to owners of the Company for the fourth quarter of 2024 was NT$1.62 billion, with a basic EPS(2) of NT$0.21.
For the fiscal year of 2024, consolidated revenues totaled NT$280.25 billion, up by 13.0% year-over-year. Net loss attributable to owners of the Company was NT$3.06 billion, with a basic EPS(2) of -NT$0.40.
Highlights of consolidated results for the fourth quarter of 2024
- Revenues of NT$68.69 billion
- Operating loss of NT$3.32 billion
- Net profit attributable to owners of the Company at NT$1.62 billion
- Basic EPS(2) was NT$0.21
- Gross margin was 7.9%
- Operating margin was -4.8%
- EBITDA(3) margin was 6.9%
Highlights of consolidated results for the fiscal year of 2024
- Revenues of NT$280.25 billion
- Operating loss of NT$8.47 billion
- Net loss attributable to owners of the Company at NT$3.06 billion
- Basic EPS(2) of -NT$0.40
- Gross margin was 8.6%
- Operating margin was -3.0%
- EBITDA(3) margin was 9.1%
Looking back at 2024, AUO achieved total revenue of NT$280.25 billion, reflecting a year-on-year growth of 13.0%. This growth was driven not only by the inclusion of BHTC's revenue starting in April 2024, but also by the organic growth of AUO's Display and Mobility Solution businesses. In terms of Vertical Solution business, it has faced a year-on-year decline due to challenges in the Energy sector, despite revenue from display-centric total solutions steadily increasing. In the fourth quarter, AUO returned to profitability supported by non-op gains from the disposal of fabs. For the full year of 2024, our gross margin and EBITDA margin increased significantly, and the net loss attributable to the parent company narrowed to NT$3.06 billion, demonstrating an overall improvement in operating performance compared to the previous year. Overall, AUO maintains a robust financial structure as of the fourth quarter of 2024, with inventory days at 49 days and a net debt ratio of 31.2%, remaining at a healthy level.
Today, the Company’s Board of Directors has also approved a cash distribution of NT$0.3 per share from the capital surplus. Additionally, in order to maintain the Company's credit and shareholders' interests, the Board has resolved to repurchase approximately 150 million of common shares within the next 2 months at a price not exceeding NT$21.26 per share. The total estimated repurchase cost will not exceed NT$3.30 billion. The Company intends to cancel these treasury shares upon completion of the repurchase.
Looking ahead to 2025, the Company is expected to see a healthy and balanced panel industry for the Display business, while Mobility Solution has a higher order visibility. Also, the Vertical Solution business is expected to further grow. Despite ongoing uncertainties in the global economic landscape such as inflation, geopolitical issues, and tariffs, AUO is committed to a strategic transformation through our three pillars operational structure. In the medium- to long-term, the Company will focus on driving growth in the Mobility Solution and Vertical Solution businesses, gradually increasing revenue share for the two businesses, in order to reduce the impact from the panel industry’s cyclicality and in the meantime pursue stable long-term profitability.
(1) All financial information was prepared by the Company in accordance with Taiwan IFRS. On April 2, 2024, AUO completed the acquisition of German company BHTC GmbH (hereinafter referred to as "BHTC") and now holds 100% equity interest in BHTC. Therefore, the financial statements of BHTC were included in AUO’s consolidated financial statements starting from April 2024.
(2) Basic EPS in the fourth quarter of 2024 was calculated based on the weighted average outstanding shares of the reporting quarter (7,668 million shares). Basic EPS in the fiscal year of 2024 was calculated based on the weighted average outstanding shares of the reporting year (7,668 million shares).
(3) EBITDA = Operating Profit + D&A, that is, operating profit before depreciation and amortization.