Siliconware Precision Industries Reports a 0.5% Quarter-over-Quarter Decline in Revenues Resulting in Earnings per Share of NT$ 0.48 or Earnings per ADS of US$ 0.08 for Third Quarter 2010
TAICHUNG, Taiwan, Oct. 27 /PRNewswire-Asia-FirstCall/ -- Siliconware Precision Industries Co., Ltd. ("SPIL" or the "Company") (Taiwan Stock Exchange: 2325; Nasdaq: SPIL) today announced that its consolidated sales revenues for the third quarter of 2010 were NT$ 16,303 million, which represented a 0.5% decline in revenues compared to the second quarter of 2010 and a 6.7% decline in revenues compared to the third quarter of 2009. SPIL reported a net income of NT$ 1,490 million for the third quarter of 2010, compared with a net income of NT$ 1,510 million and a net income of NT$ 2,561 million for the second quarter of 2010 and the third quarter of 2009, respectively.
Diluted earnings per ordinary share for this quarter was NT$ 0.48, and diluted earnings per ADS was US$ 0.08.
All figures were prepared in accordance with R.O.C. GAAP on a consolidated basis.
Operating results review:
-- For the third quarter of 2010, net revenues from IC packaging
were NT$ 14,941 million and represented 92% of total net revenues.
Net revenues from testing operations were NT$ 1,362 million and
represented 8% of total net revenues.
-- Cost of goods sold was NT$ 13,982 million, representing an increase
of 2.7% compared to the second quarter of 2010 and an increase of
4.2% compared to the third quarter of 2009.
-- Raw materials costs were NT$ 7,941 million for the third quarter
of 2010, and represented 48.7% of total net revenues, whereas raw
materials costs were NT$ 7,876 million and represented 48.1% of
total net revenues for the second quarter of 2010.
-- The accrued expenses of bonuses to employees accounted for under
cost of goods sold totaled NT$ 117 million.
-- Gross profit was NT$ 2,321 million for the third quarter of 2010,
representing a gross margin of 14.2%, which decreased from a gross
margin of 16.9% for the second quarter of 2010 and was down from
23.2% for the third quarter of 2009.
-- Total operating expenses for the third quarter of 2010 were
NT$ 752 million, which included selling expenses of (NT$ 65)
million, administrative expenses of NT$ 401 million and R&D
expenses of NT$ 416 million. Total operating expenses represented
4.6% of total net revenues for the third quarter of 2010.
-- The accrued expenses of bonuses to employees, directors and
supervisors accounted for under operating expenses totalled
NT$ 45 million.
-- Operating income was NT$ 1,569 million for the third quarter
of 2010, representing an operating margin of 9.6%, which decreased
from 11.4% for the second quarter of 2010 and decreased from 18.4%
for the third quarter of 2009.
-- Non-operating items:
-- Our net investment income of NT$ 107 million for the third
quarter of 2010 was primarily cash dividends received from
Unimicron.
-- Our net currency exchange loss of NT$ 135 million for the third
quarter of 2010 was mainly due to depreciation of our US dollar
denominated asset as a result of a depreciation in the foreign
currency exchange rate of the US dollar against NT dollar, our
reporting currency.
-- Net income before tax was NT$ 1,479 million for the third quarter
of 2010, which decreased from a net income before tax of NT$ 1,944
million for the second quarter of 2010 and decreased from a net
income before tax of NT$ 3,105 million for the third quarter of 2009.
-- Income tax credit was NT$ 11 million for the third quarter of 2010,
compared with income tax expense of NT$ 434 million for the second
quarter of 2010 and income tax expense of NT$ 544 million for the
third quarter of 2009.
-- Net income was NT$ 1,490 million for the third quarter of 2010,
which decreased from a net income of NT$ 1,510 million for the
second quarter of 2010 and decreased from a net income of NT$ 2,561
million for the third quarter of 2009.
-- Total number of shares outstanding was 3,131 million shares as of
Sept 30,2010. Diluted earnings per ordinary share for this quarter
was NT$ 0.48, or US$ 0.08 per ADS.
Note: The selling expense was a credit in this quarter and the decrease of selling expense was related to the reversal of bad debt due to the receipt of payment for outstanding invoices.
Capital expenditure and balance sheet highlight:
-- Our cash balances totaled NT$ 11,820 million as of Sept 30, 2010
from NT$ 21,128 million as of June 30, 2010, and NT$ 17,816 million
as of Sept 30, 2009.
-- Capital expenditures for the third quarter of 2010 totaled NT$ 5,285
million, which included NT$ 4,143 million for packaging equipment
and NT$ 1,142 million for testing equipment.
-- Total depreciation expenses for the third quarter of 2010 totaled
NT$ 2,075 million, which included NT$ 1,634 million was from
packaging operations and NT$ 441 million from testing operations.
IC packaging service:
-- Net revenues from IC packaging operations were NT$ 14,941 million
for the third quarter of 2010, which represented a decrease of
NT$ 78 million or 0.5% compared to the second quarter of 2010.
-- Substrate-based packaging, leadframe-based packaging and wafer
bumping & FCBGA accounted for 41%, 31% and 20%, respectively,
of total net revenues for the third quarter of 2010.
-- Capital expenditures for IC packaging operations totaled NT$ 4,143
million for the third quarter of 2010, which included NT$ 4,006
million for packaging and building construction and NT$ 137 million
for wafer bumping operations.
-- As of Sept 30, 2010 we had 6,317 wirebonders installed, of which
682 were added and 564 were disposed in the third quarter of 2010.
IC testing service:
-- Net revenues from testing operations were NT$ 1,362 million for
the third quarter of 2010, which were flat compared to the second
quarter of 2010.
-- Capital expenditures for testing operations totaled NT$ 1,142
million for the third quarter of 2010.
-- As of Sept 30, 2010 we had 311 testers installed, of which 31
were added and 4 were disposed in the third quarter of 2010.
Revenue Analysis
Breakdown by end applications:
By application 3Q10 2Q10
Computing 15% 17%
Communication 51% 50%
Consumer 20% 20%
Memory 14% 13%
Breakdown by packaging type:
By packaging type 3Q10 2Q10
Bumping & FCBGA 20% 20%
Substrate Based 41% 42%
Leadframe Based 31% 30%
Testing 8% 8%
About SPIL
Siliconware Precision Industries Ltd. ("SPIL")(Nasdaq: SPIL, Taiwan Stock Exchange:2325) is a leading provider of comprehensive semiconductor assembly and test services. SPIL is dedicated to meeting all of its customers' integrated circuit packaging and testing requirements, with turnkey solutions that range from design consultations, modeling and simulations, wafer bumping, wafer probe and sort, package assembly, final test, burn-in, to shipment. Products include advanced leadframe, substrate packages, wafer bumping and FCBGA, which are widely used in personal computers, communications, Internet appliances, cellular phones, digital cameras, cable modems, personal digital assistants and LCD monitors. SPIL supplies services and support to fabless design houses, integrated device manufacturers and wafer foundries globally. For further information, visit SPIL's web site at http://www.spil.com.tw .
Safe Harbor Statement
The information herein contains forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. We have based these forward-looking statements on our current expectation and projections about future events. Such forward-looking statements are inherently subject to known and unknown risks, uncertainties, assumptions about us and other factors that may cause the actual performance, financial condition or results of operations of SPIL to be materially different from what may be implied by such forward-looking statements. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors, including, among other things:
-- the intensely competitive personal computer, communications,
consumer ICs and non-commodity memory semiconductor industries
and markets;
-- cyclical nature of the semiconductor industry;
-- risks associated with global business activities;
-- non-operating losses due to poor financial performance of some of
our investments;
-- our dependence on key personnel;
-- general economic and political conditions;
-- possible disruptions in commercial activities caused by natural and
human induced disaster, including terrorist activities and armed
conflicts and contagious disease, such as the Severe Acute Respiratory
Syndrome;
-- fluctuations in foreign currency exchange rates; and
-- other risks identified in our annual reports on Form 20-F filed
with the U.S. Securities and Exchange Commission each year.
The words "anticipate," "believe," "estimate," "expect," "intend," "plan" and similar expressions, as they relate to us, are intended to identify a number of these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events discussed herein might not occur and our actual results could differ materially from those anticipated in these forward-looking statements.
All financial figures discussed herein are prepared pursuant to ROC GAAP on an unaudited consolidated basis. Audited consolidated financial figures will be publicly announced upon the completion of our audit process. The investment gains or losses of our company for the three months ended Sept 30, 2010 reflect our gains or losses attributable to the third quarter of 2010 unaudited financial results of several of our investees which are evaluated under the equity method. Neither the unaudited consolidated financial data for our company for the three months ended Sept 30, 2010, nor the unaudited unconsolidated financial data for our company is necessarily indicative of the results that may be expected for any period thereafter.
-- Tables to Follow --
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED BALANCE SHEET
As of Sept 30, 2010 and 2009
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars(USD))
Sept 30, 2010 Sept 30, 2009
ASSETS USD NTD % NTD %
Cash and cash equivalent 378,125 11,820,194 15 17,816,498 24
Accounts receivable 345,950 10,814,386 14 12,432,078 16
Inventories 103,695 3,241,494 4 3,042,382 4
Other current assets 88,647 2,771,113 4 1,856,046 2
Total current assets 916,417 28,647,187 37 35,147,004 46
Long-term investments 190,654 5,959,832 8 3,399,647 5
Fixed assets 2,503,566 78,261,469 99 72,220,381 96
Less accumulated
depreciation (1,149,032) (35,918,744) -46 (36,866,406) -49
Net fixed assets 1,354,534 42,342,725 53 35,353,975 47
Other assets 58,711 1,835,322 2 1,815,438 2
Total Assets 2,520,316 78,785,066 100 75,716,064 100
LIABILITIES AND
STOCKHOLDERS' EQUITY
Liabilities
Short-term loans 19,998 625,123 -- 64,265 --
Accounts payable 244,630 7,647,134 10 8,153,692 11
Other current liability 317,237 9,916,841 13 7,306,051 10
Other liabilities 1,245 38,916 -- 43,817 --
Total Liabilities 583,110 18,228,014 23 15,567,825 21
Stockholders' Equity
Capital stock 996,917 31,163,611 40 31,163,611 41
Capital reserve 526,344 16,453,526 21 16,453,526 22
Legal reserve 211,113 6,599,402 8 5,720,419 8
Retained earnings 144,949 4,531,099 6 4,634,637 6
Unrealized gain or loss
on financial
instruments 51,961 1,624,291 2 1,946,208 2
Cumulated translation
adjustment 5,922 185,123 -- 229,838 --
Total Equity 1,937,206 60,557,052 77 60,148,239 79
Total Liabilities &
Shareholders' Equity 2,520,316 78,785,066 100 75,716,064 100
Forex ( NT$ per US$ ) -- 31.26 -- 32.17 --
(1)All figures are under ROC GAAP.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED BALANCE SHEET
As of Sept 30, 2010 and 2009
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
(Continued)
Sequential
ASSETS Change %
Cash and cash equivalent (5,996,304) -34
Accounts receivable (1,617,692) -13
Inventories 199,112 7
Other current assets 915,067 49
Total current assets (6,499,817) -18
Long-term investments 2,560,185 75
Fixed assets 6,041,088 8
Less accumulated depreciation 947,662 -3
Net fixed assets 6,988,750 20
Other assets 19,884 1
Total Assets 3,069,002 4
LIABILITIES AND STOCKHOLDERS' EQUITY
Liabilities
Short-term loans 560,858 873
Accounts payable (506,558) -6
Other current liability 2,610,790 36
Other liabilities (4,901) -11
Total Liabilities 2,660,189 17
Stockholders' Equity
Capital stock -- --
Capital reserve -- --
Legal reserve 878,983 15
Retained earnings (103,538) -2
Unrealized gain or loss on financial
instruments (321,917) -17
Cumulated translation adjustment (44,715) -19
Total Equity 408,813 1
Total Liabilities & Shareholders'
Equity 3,069,002 4
Forex ( NT$ per US$ ) -- --
(1) All figures are under ROC GAAP.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED INCOME STATEMENT
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
3 months ended on Sept 30
3Q 2010 3Q 2009 YOY
USD NTD % NTD change%
Revenues 510,754 16,303,253 100.0 17,466,474 -6.7
Cost of Goods Sold (438,022) (13,981,641) -85.8 (13,418,005) 4.2
Gross Profit 72,732 2,321,612 14.2 4,048,469 -42.7
Operating Expenses
Selling Expenses 2,047 65,339 0.4 (129,324) -150.5
Administrative Expenses (12,575) (401,396) -2.5 (355,789) 12.8
Research and
Development Expenses (13,047) (416,451) -2.6 (347,471) 19.9
(23,575) (752,508) -4.6 (832,584) -9.6
Operating Income 49,157 1,569,104 9.6 3,215,885 -51.2
Non-operating Income 4,734 151,109 0.9 72,852 107.4
Non-operating Expenses (7,547) (240,904) -1.5 (184,216) 30.8
Income from Continuing
Operations before
Income Tax 46,344 1,479,309 9.1 3,104,521 -52.3
Income Tax Credit
(Expenses) 328 10,478 0.1 (543,394) -101.9
Net Income 46,672 1,489,787 9.1 2,561,127 -41.8
Earnings Per Ordinary
Share- Diluted -- NT$ 0.48 -- NT$ 0.82 --
Earnings Per ADS-
Diluted -- US$ 0.08 -- US$ 0.13 --
Weighted Average
Outstanding Shares -
Diluted ('k) -- 3,130,970 -- 3,126,703 --
Forex ( NT$ per US$ ) -- 31.92 -- 32.79 --
(1) All figures are under ROC GAAP.
(2) 1 ADS is equivalent to 5 Common Shares.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED INCOME STATEMENT
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
(Continued)
Sequential Comparison
3Q 2010 2Q 2010 QOQ
NTD NTD change%
Revenues 16,303,253 16,386,717 -0.5
Cost of Goods Sold (13,981,641) (13,612,376) 2.7
Gross Profit 2,321,612 2,774,341 -16.3
Operating Expenses
Selling Expenses 65,339 (169,877) -138.5
Administrative Expenses (401,396) (362,137) 10.8
Research and Development Expenses (416,451) (373,912) 11.4
(752,508) (905,926) -16.9
Operating Income 1,569,104 1,868,415 -16.0
Non-operating Income 151,109 204,319 -26.0
Non-operating Expenses (240,904) (128,837) 87.0
Income from Continuing Operations
before Income Tax 1,479,309 1,943,897 -23.9
Income Tax Credit (Expenses) 10,478 (434,251) -102.4
Net Income 1,489,787 1,509,646 -1.3
Earnings Per Ordinary Share- Diluted -- NT$ 0.49 --
Earnings Per ADS- Diluted -- US$ 0.08 --
Weighted Average Outstanding Shares -
Diluted ('k) -- 3,126,262 --
Forex ( NT$ per US$ ) -- 31.86 --
(1) All figures are under ROC GAAP.
(2) 1 ADS is equivalent to 5 Common Shares.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED INCOME STATEMENT
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
3 months ended on Sept 30
3Q 2010 3Q 2009 YOY
USD NTD % NTD change%
Revenues 510,754 16,303,253 100.0 17,466,474 -6.7
Cost of Goods Sold (438,022) (13,981,641) -85.8 (13,418,005) 4.2
Gross Profit 72,732 2,321,612 14.2 4,048,469 -42.7
Operating Expenses
Selling Expenses 2,047 65,339 0.4 (129,324) -150.5
Administrative Expenses (12,575) (401,396) -2.5 (355,789) 12.8
Research and
Development Expenses (13,047) (416,451) -2.6 (347,471) 19.9
(23,575) (752,508) -4.6 (832,584) -9.6
Operating Income 49,157 1,569,104 9.6 3,215,885 -51.2
Non-operating Income 4,734 151,109 0.9 72,852 107.4
Non-operating Expenses (7,547) (240,904) -1.5 (184,216) 30.8
Income from Continuing
Operations before
Income Tax 46,344 1,479,309 9.1 3,104,521 -52.3
Income Tax Credit
(Expenses) 328 10,478 0.1 (543,394) -101.9
Net Income 46,672 1,489,787 9.1 2,561,127 -41.8
Earnings Per Ordinary
Share- Diluted -- NT$ 0.48 -- NT$ 0.82 --
Earnings Per ADS-
Diluted -- US$ 0.08 -- US$ 0.13 --
Weighted Average
Outstanding Shares -
Diluted ('k) -- 3,130,970 -- 3,126,703 --
Forex ( NT$ per US$ ) -- 31.92 -- 32.79 --
(1) All figures are under ROC GAAP.
(2) 1 ADS is equivalent to 5 Common Shares.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED INCOME STATEMENT
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
(Continued)
Sequential Comparison
3Q 2010 2Q 2010 QOQ
NTD NTD change%
Revenues 16,303,253 16,386,717 -0.5
Cost of Goods Sold (13,981,641) (13,612,376) 2.7
Gross Profit 2,321,612 2,774,341 -16.3
Operating Expenses
Selling Expenses 65,339 (169,877) -138.5
Administrative Expenses (401,396) (362,137) 10.8
Research and Development Expenses (416,451) (373,912) 11.4
(752,508) (905,926) -16.9
Operating Income 1,569,104 1,868,415 -16.0
Non-operating Income 151,109 204,319 -26.0
Non-operating Expenses (240,904) (128,837) 87.0
Income from Continuing Operations
before Income Tax 1,479,309 1,943,897 -23.9
Income Tax Credit (Expenses) 10,478 (434,251) -102.4
Net Income 1,489,787 1,509,646 -1.3
Earnings Per Ordinary Share- Diluted -- NT$ 0.49 --
Earnings Per ADS- Diluted -- US$ 0.08 --
Weighted Average Outstanding Shares -
Diluted ('k) -- 3,126,262 --
Forex ( NT$ per US$ ) -- 31.86 --
(1) All figures are under ROC GAAP.
(2) 1 ADS is equivalent to 5 Common Shares.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED INCOME STATEMENT
For the Nine Months Ended on Sept 30, 2010 and 2009
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
9 months ended on Sept 30, 2010 and 2009
2010 2009 YOY
Change
USD NTD % NTD %
Net Sales 1,515,617 48,378,485 100.0 41,766,739 15.8
Cost of Goods Sold (1,277,232) (40,769,251) -84.3 (33,846,709) 20.5
Gross Profit 238,385 7,609,234 15.7 7,920,030 -3.9
Operating Expenses
Selling expenses (7,376) (235,432) -0.5 (327,880) -28.2
Administrative
expenses (34,520) (1,101,870) -2.2 (1,115,022) -1.2
Research and
development expenses (35,028) (1,118,101) -2.3 (885,976) 26.2
(76,924) (2,455,403) -5.0 (2,328,878) 5.4
Operating Income 161,461 5,153,831 10.7 5,591,152 -7.8
Non-operating Income 8,291 264,642 0.5 230,097 15.0
Non-operating Expenses (6,969) (222,450) -0.5 (248,334) -10.4
Income Before Income
Tax 162,783 5,196,023 10.7 5,572,915 -6.8
Income Tax Credit
(Expenses) (21,397) (682,979) -1.4 (1,085,698) -37.1
Net Income 141,386 4,513,044 9.3 4,487,217 0.6
Earnings Per Ordinary
Share- Diluted -- NT$ 1.44 -- NT$ 1.44 --
Earnings Per ADS - Diluted -- US$ 0.23 -- US$ 0.22 --
Weighted Average
Outstanding Shares -
Diluted ('k) -- 3,130,970 -- 3,126,703 --
Forex ( NT$ per US$) -- 31.92 -- 32.79 --
(1) All figures are under ROC GAAP.
(2) 1 ADS is equivalent to 5 Common Shares.
SILICONWARE PRECISION INDUSTRIES CO., LTD.
CONSOLIDATED STATEMENTS OF CASH FLOWS
For 9 Months Ended on Sept 30, 2010 and 2009
(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))
9 months,
9 months, 2010 2009
USD NTD NTD
Cash Flows from Operating Activities:
Net income 144,371 4,513,044 4,487,217
Depreciation 199,556 6,238,121 6,378,951
Amortization 10,222 319,554 394,448
Gains on disposal of long-term
investment (567) (17,752) (8,302)
Change in working capital & others (12,346) (385,939) (1,789,474)
Net cash flows provided from operating
activities 341,236 10,667,028 9,462,840
Cash Flows from Investing Activities:
Acquisition of property, plant, and
equipment (326,114) (10,194,312) (1,982,874)
Increase of financial asset carried
at cost (29,557) (923,950) --
Proceeds from disposal of equipments 30,375 949,525 9,021
Payment for deferred charges/other
changes (20,408) (637,963) (162,017)
Net cash used in investing activities (345,704) (10,806,700) (2,135,870)
Cash Flows from Financing Activities:
Increase of short-term loan 12,806 400,318 (578,916)
Repayment for long-term loan -- -- (3,000,000)
Cash dividends distributed to
shareholders and cash bonus
distributed to employees (257,203) (8,040,177) (5,609,430)
Proceeds from the exercise of
employee stock option /other
charges -- -- 869,890
Net cash provided from financing
activities (244,397) (7,639,859) (8,318,456)
Foreign currency exchange effect (494) (15,436) (32,981)
Net increase (decrease) in cash and
cash equivalents (249,359) (7,794,967) (1,024,467)
Cash and cash equivalents at beginning
of period 627,484 19,615,161 18,840,965
Cash and cash equivalents at end of
period 378,125 11,820,194 17,816,498
Forex ( NT$ per US$ ) -- 31.26 32.17
(1): All figures are under ROC GAAP.
Contact:
Janet Chen, IR Director
Email: [email protected]
Tel: +886-3-5795678#3675
Byron Chiang, Spokesperson
Email: [email protected]
Tel: +886-3-5795678#3671
SOURCE Siliconware Precision Industries Ltd.
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