AUO Corp
TWSE:2409

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AUO Corp
TWSE:2409
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Price: 16.7 TWD 9.87% Market Closed
Market Cap: 126B TWD

AUO Corp
Investor Relations

AUO Corp., originally known as Acer Display Technology Inc., has its roots deeply embedded in Taiwan's technology landscape. Emerging from the bustling hub of Hsinchu Science Park in the late 1990s, AUO swiftly transformed into a formidable force within the global display panel industry. The company specializes in the design, development, and manufacturing of display solutions, most notably supplying thin-film-transistor liquid crystal display (TFT-LCD) panels. These panels are integral components in a broad range of devices—from smartphones and tablets to flat-screen TVs and laptops. By constantly innovating in terms of both technology and design, AUO has cemented its status as a key player in the global supply chain, serving major consumer electronics brands around the world.

The secret to AUO’s profitability lies in its vertically integrated business model. The company not only focuses on the manufacturing of TFT-LCD panels, but also invests considerably in research and development to push the boundaries of display technology. This includes advancements in organic light-emitting diode (OLED) technology, as well as new areas like micro-LED and touch panel innovations. By controlling the entirety of the production process from raw materials to the final product, AUO can effectively manage costs, maintain high-quality standards, and adapt quickly to market changes. Additionally, the company's strategic partnerships and collaborations with global tech giants unlock further avenues for revenue generation, allowing it to remain at the forefront of technological advancement while driving sustainable growth.

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2409
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Last Earnings Call
Fiscal Period
Q2 2025
Call Date
Jul 31, 2025
AI Summary
Q2 2025

Revenue & Forex: Q2 revenue was TWD 69.2 billion, down 4% sequentially due to a stronger NT dollar, but slightly up excluding currency effects and above expectations.

Profitability: Gross margin improved to 13.5%, and operating margin rose to 2.2%, both better than Q1, driven by high-end products and cost controls.

ADLINK Acquisition: AUO gained control of ADLINK, which will be fully consolidated from Q3, supporting growth in the Vertical Solution segment.

Q3 Guidance: Mobility Solution revenue expected to decline mid-single-digit percentage QoQ; Vertical Solution revenue to grow by low to mid-20% QoQ, driven by ADLINK consolidation; Display revenue to decline modestly.

CapEx & Asset-Light Strategy: 2025 CapEx capped at TWD 28 billion, with a further significant reduction expected in 2026 as AUO pivots to an asset-light model.

Tariffs & Supply Chain: Tariffs had limited direct impact due to global manufacturing and customer use of USMCA exemptions, but add uncertainty to demand timing.

Channel Inventory: Channel inventories are healthy in China and manageable in North America, with earlier promotions and sales dispersing seasonality.

Key Financials
Revenue
TWD 69.2 billion
Gross Margin
13.5%
Operating Profit Margin
2.2%
Operating Profit
TWD 1.5 billion
Net Profit
TWD 1.9 billion
EPS
TWD 0.26
Cumulative EPS (First Half)
TWD 0.69
EBITDA
TWD 8.9 billion
EBITDA Margin
12.9%
Cash
TWD 54.4 billion
Short- and Long-Term Borrowings
TWD 116.1 billion
Gearing Ratio
39.4%
Inventory Turnover Days
53
Cash Inflow from Operating Activities
TWD 3.4 billion
Depreciation and Amortization
TWD 7.4 billion
CapEx
TWD 4.2 billion (plus TWD 1.7 billion for ADLINK acquisition) in Q2
Other Earnings Calls

Management

Mr. Shuang-Lang Peng
Group Chief Strategy Officer & Chairman
No Bio Available
Dr. Fu-Jen Ko Ph.D.
CEO, President & Director
No Bio Available
Mr. Po-Yi Chang
VP and Chief Financial & Accounting Officer
No Bio Available
Dr. Wei-Lung Liau
CTO & Senior VP
No Bio Available
Ms. Julia Chao
Head of IR Department
No Bio Available
Mr. Chien-Pin Chen
Senior Vice President of Display Strategy Business Group
No Bio Available
Ms. Amy Ku
Senior VP & Chief Sustainability Officer
No Bio Available
Mr. C. S. Hsieh
Chief Digital Officer & Senior VP
No Bio Available
Jerry Su
Senior Director of Investor Relations
No Bio Available

Contacts

Address
HSINCHU
Hsinchu
No.1, Li-Hsin Road 2, Hsinchu Science Park
Contacts
+88635008800
www.auo.com