CHICONY — Interim / Quarterly Report 2018

Feb 4, 2020

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CHICONY ELECTRONICS

November, 2018

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Safe Harbor Notice

Chicony’s statement of its current expectations are forwardlooking statements which are subject to significant risks and uncertainties. Actual results may differ materially from those . contained in any forward-looking statements

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Positioned as Number 1 Global Market Leader

Chicony Continued to Achieve Leading Market Share

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38%
NB Keyboard
30%
DT Keyboard
Number #1
Market
42%
Share in NB Camera Module
2017
42%
NB Adaptor
25%
IP Cam
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Million NT$	3Q 2018 2Q 2018 QoQ %	3Q 2018 2Q 2018 QoQ %	3Q 2017 YoY %	3Q 2017 YoY %
Net Sales	24,975 100.0 21,261 100.0 17.5		21,509 100.0 16.1
COGS	(21,058) (84.3) (18,423) (86.7)		(17,744) (82.5)
Gross Profit	3,917 15.7 2,838 13.3 38.0		3,765 17.5 4.0
Operating Expense	(2,197) (8.8) (2,095) (9.9)		(2,091) (9.7)
Operating Profit	1,719 6.9 744 3.5 131.2		1,673 7.8 2.8
Other Income/Expense	36 0.1 395 1.9		166 0.8
Profit Before Tax	1,755 7.0 1,138 5.4 54.2		1,839 8.6 -4.6
Tax	(346) (1.4) (293) (1.4)		(309) (1.4)
Net Income	1,309 5.2 807 3.8 62.2		1,227 5.7 6.7
After Tax EPS	1.90 1.17 62.4		1.80 5.6
Profit Margins %		3Q18 2Q18 QoQ	3Q18	YoY %
GPM		15.7 13.3 +2.4ppt
			Net Sales	16.1
OPM		6.9 3.5 +3.4ppt
Profit Margin Before Tax		7.0 5.4 +1.6ppt
			EPS	5.6
Net Margin		5.2 3.8 +1.4ppt

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Chicony Delivered NT$3.93 EPS during 1~3Q18

1~3Q18
Million NT$	1~3Q 2018 1~3Q 2017
Net Sales	63,811 100.0 57,121 100.0
COGS	(54,930) (86.1) (47,286) (82.8)
Gross Profit	8,880 13.9 9,834 17.2
Operating Expense	(5,874) (9.2) (6,275) (11.0)
Operating Profit	3,006 4.7 3,559 6.2
Other Income/Expense	680 1.1 497 0.9
Profit Before Tax	3,686 5.8 4,056 7.1
Tax	(722) (1.1) (729) (1.3)
Net Income	2,704 4.2 2,718 4.8
After Tax EPS	3.93 4.00

Profit Margins %	1~3Q181~3Q17 YoY	1~3Q18	YoY %
GPM	13.9 17.1 -3.2ppt
		Net Sales	11.7
OPM	4.7 6.2 -1.5ppt
Profit Margin Before Tax	5.8 7.1 -1.3ppt
		EPS	-1.8
Net Margin	4.2 4.8 -0.6ppt

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Growth

• Record High Revenue in 3Q18

• Delivered 11.7% YoY Revenue Growth YTD

NT$M

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Substantial Margin Improvement in 3Q18

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2018 Gross Margin & Operating Margin
GPM OPM
18
15.7
16
13.3
14
12.1
12
10
8 6.9
6
3.5
3.1
4
2
0
1Q 2Q 3Q
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Consistent Dividend Pay-Out Policy to Reward Investors

Chicony	2013	2014	2015	2016	2017
EPS	5.83	6.22	5.79	5.24	5.9
Cash Dividend	4.6	4.65	4.3	4.25	4.45
Stock Dividend	0.05	0.05	0.05	0.05	0.05
Dividend Payout %	80%	76%	75%	82%	76%
Cash Yield Rate %	5.39	5.43	5.79	5.25	6.1%

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