Xintec Technology (3374), a packaging and testing company under Taiwan Semiconductor Manufacturing Co. (TSMC, 2330), disclosed its latest self-reported and accountant-reviewed financial figures on Sept. 18 after its recent share-price movement met the regulator’s threshold for attention-trading disclosures. The company said August pretax profit reached NT$239 million, up 43% from a year earlier. Earnings per share came in at NT$0.71, while last-12-month EPS reached NT$6.37.
August revenue and profit both increased
According to Xintec’s disclosed figures, consolidated revenue for August of year 115 totaled NT$909 million, up 37% from the same period last year. Net profit attributable to the parent was NT$193 million, also up 43% year over year, and monthly net margin stood at 21.23%.
The disclosure was made under exchange rules after the stock hit the threshold that requires companies to publish recent financial data.
Second-quarter profit rose much faster than revenue
The accountant-reviewed figures for the second quarter were stronger. Quarterly revenue reached NT$2.185 billion, up 42% year over year. Pretax profit came in at NT$487 million, a 576% increase. Net profit attributable to the parent rose to NT$396 million from NT$65 million a year earlier, a gain of 509%. EPS for the quarter was NT$1.46.
Based on the disclosed numbers, profit growth outpaced revenue growth by a wide margin in the second quarter. The original report said the effect came as revenue scale expanded and fixed costs were spread more efficiently, bringing operating leverage fully into view.
Last-12-month EPS reached NT$6.37
For the latest four quarters, from Q3 of year 114 through Q2 of year 115, Xintec reported consolidated revenue of NT$8.255 billion, pretax profit of NT$2.078 billion, and net profit attributable to the parent of NT$1.727 billion. Average after-tax net margin over the period held at 20.92%, and cumulative EPS reached NT$6.37.
Advanced packaging expansion linked to order spillover
ABMedia said Xintec, in which TSMC holds more than a 40% stake, is closely tied to TSMC’s capacity planning. As artificial intelligence (AI) and high-performance computing (HPC) chips continue to drive structurally tight demand for advanced packaging such as CoWoS, TSMC has been expanding its own facilities while shifting part of its high-end testing and wafer-level chip scale packaging (WLCSP) capacity to Xintec.
The report also said Xintec’s monthly net margin and average net margin over the latest four quarters both stayed above 20%, pointing to high barriers to entry and pricing power in wafer-level packaging and advanced optical sensing component packaging.
Original report also pointed to the second half
Using August’s self-reported profit as a basis, the original article said third-quarter EPS could challenge levels above NT$2.1. It also said the market expects Xintec’s full-year profit to approach historical high ranges as seasonal consumer electronics demand in the second half combines with AI packaging and testing orders.