Wiwynn Reports Third Quarter 2023 Financial Results

Following the Board of Directors meeting today (November 6), Wiwynn Corporation announced consolidated revenue of NT$52.817 billion, decreased by 33.7% year-over-year, operating profit of NT$3.252 billion, profit before tax (PBT) of NT$3.264 billion, profit after tax (PAT) NT$2.615 billion, and basic earnings per share (EPS) of NT$14.96 for the third quarter ended September 30, 2023. Year-over-year, gross margin increased by 1.5ppt to 9.6%, operating margin increased by 0.1ppt to 6.2%, PAT margin decreased by 0.4ppt to 5.0%. The Company closely monitors new product development demand and short-term economic changes to cautiously follow and timely adjust our response to the economic impacts and uncertainties.

In the first nine months of 2023, consolidated revenue achieved NT$183.351 billion, decreased by 10.8% year-over-year. PAT was NT$8.529 billion and EPS was NT$48.78. Year-over-year, gross margin increased by 0.7ppt to 8.8%, operating margin increased by 0.1ppt to 6.1%, PAT margin decreased by 0.3ppt to 4.7%. Due to global recession continuously effecting market demand, revenue and profits declined year-over-year. However, with solid cost control, the margins remain stable.

The Company will continue investing in data center technology to respond to the growing long-term demand for cloud computing and AI servers. Looking forward to the demand for capacity expansion and operations, the Board of Directors resolved to approve a construction cost of approximately NT$6.2 billion for building the new Tainan factory by renting land from Southern Taiwan Science Park Bureau. The new Tainan factory will be built in alignment with the Gold-level certification of Green Building standard, and to support PCBA manufacturing, and accelerate product pilot run and NPI. This will start our Taiwan and Malaysia dual-site strategy, build a resilient Asia-Pacific supply chain, and implement our net zero emissions goal and sustainable business.