TAIPEI, July 30, 2026 /PRNewswire/ -- ASE Technology Holding Co., Ltd. (TWSE: 3711, NYSE: ASX) ("We", "ASEH", or the "Company"), the leading provider of semiconductor assembly and testing services ("ATM") and the provider of electronic manufacturing services ("EMS"), today reported its unaudited([1]) net revenues of NT$191,064 million for 2Q26, up by 26.7% year-over-year and up by 10.0% sequentially. Net income attributable to shareholders of the parent for the quarter totaled NT$21,068 million, up from NT$7,521 million in 2Q25 and up from NT$14,132 million in 1Q26. Basic earnings per share for the quarter were NT$4.80 (or US$0.304 per ADS), compared to NT$1.74 for 2Q25 and NT$3.23 for 1Q26. Diluted earnings per share for the quarter were NT$4.61 (or US$0.292 per ADS), compared to NT$1.70 for 2Q25 and NT$3.08 for 1Q26.
RESULTS OF OPERATIONS
2Q26 Results Highlights -- Consolidated
-- Net revenues from packaging operations, testing operations, EMS
operations, and others represented approximately 52%, 13%, 34%, and 1% of
the total net revenues for the quarter, respectively.
-- Cost of revenues was NT$150,914 million for the quarter, up from
NT$138,844 million in 1Q26.- Raw material cost totaled NT$86,253 million
for the quarter, representing 45% of the total net revenues.- Labor cost
totaled NT$21,920 million for the quarter, representing 11% of the total
net revenues.- Depreciation, amortization and rental expenses
totaled NT$18,441 million for the quarter.
-- Gross margin increased by 1 percentage point to 21.0% in 2Q26 from 20.0%
in 1Q26.
-- Operating margin was 11.1% in 2Q26, compared to 10.1% in 1Q26.
-- Non-operating items:- Net interest expense was NT$1,853 million.- Net
gain on foreign exchange hedging activities of NT$3,637 million.- Net
gain on equity-method investments was NT$2,298 million.- Other net
non-operating income was NT$484 million, primarily attributable to
miscellaneous income.Total non-operating income for the quarter was
NT$4,566 million.
-- Income before tax was NT$25,700 million in 2Q26, compared to NT$18,161
million in 1Q26. We recorded income tax expenses of NT$4,172 million for
the quarter, compared to NT$3,629 million in 1Q26.
-- Net income attributable to shareholders of the parent was NT$21,068
million in 2Q26, compared to NT$7,521 million in 2Q25 and NT$14,132
million in 1Q26.
-- Our total number of shares outstanding at the end of the quarter was
4,470,572,282, including treasury stock owned by our subsidiaries in
2Q26. Our 2Q26 basic earnings per share of NT$4.80 (or US$0.304 per ADS)
were based on 4,386,711,875 weighted average number of shares outstanding
in 2Q26. Our 2Q26 diluted earnings per share of NT$4.61 (or US$0.292 per
ADS) were based on 4,505,702,583 weighted average number of shares
outstanding in 2Q26.
2Q26 Results Highlights -- ATM
-- Net revenues were NT$126,148 million for the quarter, up by 36.3%
year-over-year and up by 12.2% sequentially.
-- Cost of revenues was NT$91,657 million for the quarter, up by 26.7%
year-over-year and up by 10.1% sequentially.- Raw material cost
totaled NT$34,782 million for the quarter, representing 28% of the total
net revenues.- Labor cost totaled NT$18,255 million for the quarter,
representing 14% of the total net revenues.- Depreciation, amortization
and rental expenses totaled NT$16,940 million for the quarter.
-- Gross margin increased by 1.3 percentage points to 27.3% in 2Q26 from
26.0% in 1Q26.
-- Operating margin was 15.7% in 2Q26, compared to 14.1% in 1Q26.
2Q26 Results Highlights -- EMS
-- Net revenues were NT$65,789 million, up by 11.9% year-over-year and up by
6.3% sequentially.
-- Cost of revenues for the quarter was NT$59,916 million, up by 12.6%
year-over-year and up by 7.0% sequentially.- Raw material cost
totaled NT$51,810 million for the quarter, representing 79% of the total
net revenues.- Labor cost totaled NT$3,595 million for the quarter,
representing 5% of the total net revenues.- Depreciation, amortization
and rental expenses totaled NT$1,259 million for the quarter.
-- Gross margin decreased by 0.6 percentage points to 8.9% in 2Q26 from 9.5%
in 1Q26.
-- Operating margin was 2.4% in 2Q26, compared to 3.0% in 1Q26.
LIQUIDITY AND CAPITAL RESOURCES
-- Equipment capital expenditures in 2Q26 totaled US$1,695 million, of which
US$840 million was used in packaging operations, US$804 million in
testing operations, US$49 million in EMS operations and US$2 million in
interconnect materials operations and others.
-- Total unused credit lines amounted to NT$396,197 million as of June 30,
2026.
-- Current ratio was 1.07 and net debt to equity ratio was 0.47 as of June
30, 2026.
-- Total number of employees was 114,179 as of June 30, 2026, compared to
107,950 as of March 31, 2026.
BUSINESS REVIEW
Customers
ATM BASIS
-- Our five largest customers together accounted for approximately 44% of
our total net revenues in 2Q26, compared to 43% in 1Q26. One customer
accounted for more than 10% of our total net revenues in 2Q26.
-- Our top 10 customers contributed 60% of our total net revenues in 2Q26,
compared to 58% in 1Q26.
-- Our customers that are integrated device manufacturers or IDMs accounted
for 41% of our total net revenues in 2Q26, compared to 38% in 1Q26.
EMS BASIS
-- Our five largest customers together accounted for approximately 58% of
our total net revenues in 2Q26, compared to 64% in 1Q26. One customer
accounted for more than 10% of our total net revenues in 2Q26.
-- Our top 10 customers contributed 69% of our total net revenues in 2Q26,
compared to 71% in 1Q26.
About ASE Technology Holding Co., Ltd.
ASEH is the leading provider of semiconductor manufacturing services in assembly and test. The Company develops and offers complete turnkey solutions covering front-end engineering test, wafer probing and final test, as well as packaging, materials and electronic manufacturing services through USI with superior technologies, breakthrough innovations, and advanced development programs. With advanced technological capabilities and a global presence spanning Taiwan, China, South Korea, Japan, Singapore, Malaysia, the Philippines, Vietnam, Mexico, and Tunisia as well as the United States and Europe, ASEH has established a reputation for reliable, high quality products and services.
For more information, please visit our website at https://www.aseglobal.com.
Safe Harbor Notice
This press release contains "forward-looking statements" within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities Exchange Act of 1934, as amended. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Although these forward-looking statements, which may include statements regarding our future results of operations, financial condition or business prospects, are based on our own information and information from other sources we believe to be reliable, you should not place undue reliance on these forward-looking statements, which apply only as of the date of this press release. The words "anticipate," "believe," "estimate," "expect," "intend," "plan" and similar expressions, as they relate to us, are intended to identify these forward-looking statements in this press release. These forward-looking statements are necessarily estimates reflecting the best judgment of our senior management and our actual results of operations, financial condition or business prospects may differ materially from those expressed or implied by the forward-looking statements for reasons including, among others, risks associated with cyclicality and market conditions in the semiconductor or electronic industry; changes in our regulatory environment, including our ability to comply with new or stricter environmental regulations and to resolve environmental liabilities; demand for the outsourced semiconductor packaging, testing and electronic manufacturing services we offer and for such outsourced services generally; the highly competitive semiconductor or manufacturing industry we are involved in; our ability to introduce new technologies in order to remain competitive; international business activities; our business strategy; our future expansion plans and capital expenditures; the strained relationship between the Republic of China and the People's Republic of China; general economic and political conditions; the recent shift in United States trade policies; possible disruptions in commercial activities caused by natural or human-induced disasters; fluctuations in foreign currency exchange rates; and other factors. For a discussion of these risks and other factors, please see the documents we file from time to time with the Securities and Exchange Commission, including the 2025 Annual Report on Form 20-F filed on April 1, 2026.
Supplemental Financial Information
(Unaudited)
Consolidated Operations
2Q26 1Q26 2Q25
-------------------------- ------ ------ ------
EBITDA([2]) (NT$ million) 45,779 38,147 27,426
-------------------------- ------ ------ ------
ATM Operations
2Q26 1Q26 2Q25
------------------------------ ------- ------- ------
Net Revenues (NT$ million) 126,148 112,434 92,565
------------------------------ ------- ------- ------
Revenues by Application
------------------------------ ------- ------- ------
Communication 41 % 43 % 46 %
------------------------------ ------- ------- ------
Computing 30 % 27 % 24 %
------------------------------ ------- ------- ------
Automotive, Consumer & Others 29 % 30 % 30 %
------------------------------ ------- ------- ------
Revenues by Type
------------------------------ ------- ------- ------
Bumping, Flip Chip, WLP & SiP 49 % 49 % 47 %
------------------------------ ------- ------- ------
Wirebonding 24 % 24 % 28 %
------------------------------ ------- ------- ------
Others 6 % 7 % 5 %
------------------------------ ------- ------- ------
Testing 19 % 19 % 18 %
------------------------------ ------- ------- ------
Material 2 % 1 % 2 %
------------------------------ ------- ------- ------
Capacity & EBITDA
------------------------------ ------- ------- ------
Equipment CapEx (US$ million) 1,646 963 942
------------------------------ ------- ------- ------
EBITDA([2]) (NT$ million) 41,491 34,524 24,295
------------------------------ ------- ------- ------
Number of Wirebonders 24,815 24,926 25,156
------------------------------ ------- ------- ------
Number of Testers 8,348 7,585 6,797
------------------------------ ------- ------- ------
EMS Operations
2Q26 1Q26 2Q25
------ ------ ------
Net Revenues (NT$ million) 65,789 61,875 58,770
------ ------ ------
Revenues by Application
------------------------------ ------ ------ ------
Communication 30 % 25 % 33 %
------------------------------ ------ ------ ------
Computing 16 % 15 % 10 %
------------------------------ ------ ------ ------
Consumer 28 % 35 % 32 %
------------------------------ ------ ------ ------
Industrial 16 % 14 % 14 %
------------------------------ ------ ------ ------
Automotive 8 % 9 % 9 %
------------------------------ ------ ------ ------
Others 2 % 2 % 2 %
------------------------------ ------ ------ ------
Capacity
------------------------------ ------ ------ ------
Equipment CapEx (US$ million) 49 40 49
------------------------------ ------ ------ ------
ASE Technology Holding Co., Ltd.
Summary of Consolidated Statement of Income Data
(In NT$ million, except per share data)
(Unaudited)
For the three months ended For the six months ended
====================================== =============================
Mar. 31 2026 Jun. 30 2026
Jun. 30 (Retrospectively Jun. 30 (Retrospectively Jun. 30
2026 Adjusted) 2025 Adjusted) 2025
Net revenues
Packaging 99,387 88,981 73,659 188,368 142,070
Testing 23,665 21,041 16,612 44,706 32,616
EMS 65,411 61,361 58,374 126,772 120,234
Others 2,601 2,279 2,105 4,880 3,983
---------------- ---------
Total net revenues 191,064 173,662 150,750 364,726 298,903
--------- ---------------- --------- ---------------- ---------
Cost of revenues (150,914) (138,844) (125,063) (289,758) (248,323)
---------------- ---------
Gross profit 40,150 34,818 25,687 74,968 50,580
--------- ---------------- --------- ---------------- ---------
Operating expenses
Research and
development (10,229) (9,210) (8,004) (19,439) (15,583)
Selling, general and
administrative (8,787) (8,115) (7,490) (16,902) (15,133)
---------------- ---------
Total operating
expenses (19,016) (17,325) (15,494) (36,341) (30,716)
---------------- ---------
Operating income 21,134 17,493 10,193 38,627 19,864
--------- ---------------- --------- ---------------- ---------
Net non-operating
income and expenses
Interest expense -
net (1,853) (1,576) (1,203) (3,429) (2,459)
Foreign exchange
gain (loss) - net 738 (2,225) 11,885 (1,487) 10,210
Gain (Loss) on
valuation of
financial assets
and liabilities -
net 2,899 3,063 (12,098) 5,962 (9,225)
Gain on
equity-method
investments - net 2,298 728 223 3,026 263
Others - net 484 678 255 1,162 412
---------------- ---------------- ---------
Total non-operating
income and
expenses 4,566 668 (938) 5,234 (799)
--------- ---------------- --------- ---------------- ---------
Income before tax 25,700 18,161 9,255 43,861 19,065
Income tax expense (4,172) (3,629) (1,576) (7,801) (3,598)
--------- ---------------- --------- ---------------- ---------
Income from
operations and
before
non-controlling
interests 21,528 14,532 7,679 36,060 15,467
Non-controlling
interests (460) (400) (158) (860) (392)
--------- ---------------- --------- ---------------- ---------
Net income
attributable to
shareholders of the
parent 21,068 14,132 7,521 35,200 15,075
========= ================ ========= ================ =========
Per share data:
Earnings per share
-- Basic NT$4.80 NT$3.23 NT$1.74 NT$8.04 NT$3.48
-- Diluted NT$4.61 NT$3.08 NT$1.70 NT$7.64 NT$3.34
Earnings per
equivalent ADS
-- Basic US$0.304 US$0.205 US$0.111 US$0.509 US$0.218
-- Diluted US$0.292 US$0.195 US$0.109 US$0.485 US$0.209
Number of weighted
average shares used
in diluted EPS
calculation (in
thousand shares) 4,505,703 4,485,186 4,395,187 4,498,971 4,406,107
FX (NTD/USD) 31.59 31.53 31.18 31.56 31.99
ASE Technology Holding Co., Ltd.
Summary of ATM Statement of Income Data
(In NT$ million)
(Unaudited)
For the six months
For the three months ended ended
============================ ======================
Jun. 30 Mar. 31 Jun. 30 Jun. 30 Jun. 30
2026 2026 2025 2026 2025
Net revenues:
Packaging 100,324 89,673 74,440 189,997 143,800
Testing 23,665 21,041 16,612 44,706 32,616
Direct material 2,057 1,621 1,431 3,678 2,650
Others 102 99 82 201 167
Total net
revenues 126,148 112,434 92,565 238,582 179,233
-------- -------- -------- --------- ---------
Cost of revenues (91,657) (83,236) (72,317) (174,893) (139,374)
--------- ---------
Gross profit 34,491 29,198 20,248 63,689 39,859
-------- -------- -------- --------- ---------
Operating
expenses:
Research and
development (8,384) (7,497) (6,320) (15,881) (12,363)
Selling,
general and
administrative (6,325) (5,824) (5,111) (12,149) (10,344)
--------- ---------
Total operating
expenses (14,709) (13,321) (11,431) (28,030) (22,707)
--------- ---------
Operating income 19,782 15,877 8,817 35,659 17,152
-------- -------- -------- --------- ---------
ASE Technology Holding Co., Ltd.
Summary of EMS Statement of Income Data
(In NT$ million)
(Unaudited)
For the three months ended For the six months ended
==================================== =============================
Mar. 31 2026 Jun. 30 2026
Jun. 30 (Retrospectively Jun. 30 (Retrospectively Jun. 30
2026 Adjusted) 2025 Adjusted) 2025
Net revenues 65,789 61,875 58,770 127,664 121,065
-------- ---------------- -------- ---------------- ---------
Cost of revenues (59,916) (56,013) (53,221) (115,929) (109,988)
---------------- ---------
Gross profit 5,873 5,862 5,549 11,735 11,077
-------- ---------------- -------- ---------------- ---------
Operating
expenses
Research and
development (1,887) (1,751) (1,723) (3,638) (3,303)
Selling,
general and
administrative (2,417) (2,244) (2,313) (4,661) (4,653)
---------------- ---------
Total operating
expenses (4,304) (3,995) (4,036) (8,299) (7,956)
---------------- ---------
Operating income 1,569 1,867 1,513 3,436 3,121
-------- ---------------- -------- ---------------- ---------
ASE Technology Holding Co., Ltd.
Summary of Consolidated Balance Sheet Data
(In NT$ million)
(Unaudited)
As of Mar. 31, 2026
(Retrospectively
As of Jun. 30, 2026 Adjusted)
=================== ======================
Current assets
Cash and cash
equivalents 91,292 87,811
Financial assets --
current 16,081 26,141
Trade receivables 143,318 126,007
Inventories 86,268 76,056
Others 23,440 21,696
------------------- ----------------------
Total current assets 360,399 337,711
Financial assets -
non-current &
investments - equity
-method 67,851 50,602
Property, plant and
equipment 517,816 459,502
Right-of-use assets 13,996 12,265
Intangible assets 66,284 65,247
Others 44,988 32,450
------------------- ----------------------
Total assets 1,071,334 957,777
=================== ======================
Current liabilities
Short-term
borrowings([3]) 60,063 49,724
Long-term debts -
current portion 11,787 6,091
Trade payables 99,516 86,898
Others 165,433 151,789
------------------- ----------------------
Total current liabilities 336,799 294,502
Bonds payable 14,985 1,999
Long-term borrowings([3]) 209,603 199,142
Other liabilities 90,750 80,832
------------------- ----------------------
Total liabilities 652,137 576,475
Equity attributable to
shareholders of the
parent 389,205 350,610
Non-controlling interests 29,992 30,692
------------------- ----------------------
Total liabilities &
shareholders' equity 1,071,334 957,777
=================== ======================
Current ratio 1.07 1.15
Net debt to equity ratio 0.47 0.40
ASE Technology Holding Co., Ltd.
Summary of Consolidated Statement of Cash Flow Data
(In NT$ million)
(Unaudited)
For the three months ended For the six months ended
===================================== ==========================
Mar. 31 2026 Jun. 30 2026
Jun. 30 (Retrospectively Jun. 30 (Retrospectively Jun. 30
2026 Adjusted) 2025 Adjusted) 2025
Cash Flows
from Operating
Activities
Income before
tax 25,700 18,161 9,255 43,861 19,065
Depreciation &
amortization 20,000 18,669 16,531 38,669 32,623
Other
operating
activities
items 1,314 (443) 11,059 871 5,130
-------- ---------------- --------- ---------------- --------
Net cash
generated from
operating
activities 47,014 36,387 36,845 83,401 56,818
-------- ---------------- --------- ---------------- --------
Cash Flows
from Investing
Activities
Net payments
for
property,
plant and
equipment (79,849) (44,092) (43,104) (123,941) (79,453)
Other
investment
activities
items (3,235) (1,653) (469) (4,888) (1,681)
Net cash used
in investing
activities (83,084) (45,745) (43,573) (128,829) (81,134)
-------- ---------------- --------- ---------------- --------
Cash Flows
from Financing
Activities
Total net
proceeds from
borrowings
and bonds 39,864 73 22,159 39,937 38,308
Other
financing
activities
items (710) 765 (662) 55 (400)
Net cash
generated from
financing
activities 39,154 838 21,497 39,992 37,908
-------- ---------------- --------- ---------------- --------
Foreign
currency
exchange
effect 397 3,862 (19,084) 4,259 (17,300)
-------- ---------------- --------- ---------------- --------
Net increase
(decrease) in
cash and cash
equivalents 3,481 (4,658) (4,315) (1,177) (3,708)
-------- ---------------- --------- ---------------- --------
Cash and cash
equivalents at
the beginning
of period 87,811 92,469 77,100 92,469 76,493
-------- ---------------- --------- ---------------- --------
Cash and cash
equivalents at
the end of
period 91,292 87,811 72,785 91,292 72,785
-------- ---------------- --------- ---------------- --------
([1]) All financial information presented in this press release is unaudited,
consolidated and prepared in accordance with Taiwan-IFRS (International
Financial Reporting Standards as endorsed for use in the R.O.C.). Such
financial information is generated internally by us and has not been subjected
to the same review and scrutiny, including internal auditing procedures and
audit by our independent auditors, to which we subject our year-end audited
consolidated financial statements, and may vary materially from the year-end
audited consolidated financial information for the same period. Any evaluation
of the financial information presented in this press release should also take
into account our published year-end audited consolidated financial statements
and the notes to those statements. In addition, the financial information
presented is not necessarily indicative of our results of operations for any
future period.
([2]) EBITDA stands for net income or loss before interest, taxes,
depreciation, amortization, impairment and investment gain or loss as well as
other items.
([3]) Borrowings include bank loans and bills payable.
Investor Relations Contact
ir@aseglobal.com
Tel: +886.2.6636.5678
https://www.aseglobal.com
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SOURCE ASE Technology Holding Co., Ltd.