CHROMA — Call Transcript 2024

Oct 31, 2024

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2024.3Q Earnings Conference

Paul Ying, CFO

31[st] October, 2024

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Disclaimer

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This presentation contains some forward-looking statements that are subject to substantial risks and uncertainties. Typically, these statements contain words such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “intend”, “plan”, “forecast”, “project”, “predict”, “potential”, “continue”, “may”, “should”, “will”, and “would” or similar words. You should consider these forward-looking statements carefully because such statements are only our expectations or projections about future events, and actual results may differ materially from those expressed or implied by such statements. The forward-looking statements in this presentation include, but are not limited to, growth rates for various markets estimated by third party sources, future products and technology development, widespread market acceptance of the hosted delivery model, future revenue growth and profitability. You should be cautioned that the forward-looking statements are no guarantee of our future performance. The forward-looking statements contained in this presentation are made only as of the date of this presentation and we undertake no obligation to update the forward-looking statements to reflect subsequent events or circumstances, except as required by law.

This presentation and the information contained herein are the property of Chroma Ate Inc.

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Agenda

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•
Financial Review
•
Operation Highlights
•
Q&A
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FINANCIAL REVIEW

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Year 2024.3Q Condensed Consolidated Income Statement
Condensed Consolidated P&L 2024.3Q % 2024.2Q % QoQ % 2023.3Q % YoY %
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	2024.3Q %	2024.3Q %
(In Million NTD, except for EPS in NTD)		5,515 100% 2% 4,847 100% 16% 5,234 95% (1%) 4,627 96% 12% 192 3% 100% 165 3% 133% 89 2% (12%) 55 1% 42% (2,249) (41%) 3% (2,084) (43%) 12% 3,266 59% 1% 2,763 57% 20% (1,230) (22%) 5% (1,088) (22%) 19% (522) (9%) (3%) (437) (9%) 16% 1,514 28% - 1,238 26% 22% 291 5% (19%) 307 6% (23%) 1,805 33% (3%) 1,545 32% 13% (368) (7%) (20%) (291) (6%) 1% 1,437 26% 1% 1,254 26% 16% 1,407 26% 1% 1,225 25% 16% 30 - (20%) 29 1% (17%) $ 1,437 26% 1% $ 1,254 26% 16% $ 3.34 2% $ 2.91 16% $ 3.31 2% $ 2.89 16%
Net Sales	5,632 100%
Consolidated Sales of Testing Equipment Business	5,170 92%
Consolidated Sales of MAS	384 7%
Others	78 1%
Cost of Goods Sold	(2,326) (41%)
Gross Profit	3,306 59%
Operating Expenses: General & Administration Research & Development	(1,290) (23%) (508) (9%)
Operating Income	1,508 27%
Non-Operating Income (Expenses), net	237 4%
Income (Loss) Before Tax Income Tax	1,745 31% (295) (5%)
Net Income	1,450 26%
Net Income (Losses) Attributable To: Shareholders of the Parent Noncontrolling Interests	1,426 25% 24 1%
	$ 1,450 26%
EPS (Basic)	$ 3.39
EPS (Diluted)	$ 3.36

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Year 2024.1~3Q Condensed Consolidated Income Statement

	Condensed Consolidated P&L (In Million NTD, except for EPS in NTD)	2024.1~3Q %
	Net Sales	15,565 100%
	Consolidated Sales of Testing Equipment Business	14,664 94%
	Consolidated Sales of MAS	661 4%
	Others	240 2%
	Cost of Goods Sold	(6,426) (41%)
	Gross Profit	9,139 59%
	Operating Expenses: General & Administration Research & Development	(3,701) (24%) (1,515) (10%)
	Operating Income	3,923 25%
	Non-Operating Income (Expenses), net	847 5%
	Income (Loss) Before Tax Income Tax	4,770 30% (906) (5%)
	Net Income	3,864 25%
	Net Income (Losses) Attributable To: Shareholders of the Parent Noncontrolling Interests	3,788 25% 76 -
		$ 3,864 25%
	EPS (Basic)	$ 9.00
	EPS (Diluted)	$ 8.93

Balance Sheet Highlights & Financial Ratio

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Consolidated (In Million NTD)		2024. Sept	2023. Dec	+ / - %
Balance Sheet Highlights
Cash & Short Term Investments		4,673	4,794	- 3%
Inventory		5,032	4,675	8%
Short Term Debt		2,250	2,136	5%
Long Term Debt		1,818	990	84%
Shareholders Equity		23,811	22,517	6%
Total Assets		35,460	33,482	6%
Inventory Turnover (Day)		192	217
AR Turnover (Day)		87	87
AP Turnover (Day)		108	128
Net Debt to Equity (%)		Net Cash	Net Cash
ROE (%)		22%	18%
ROA (%)		15%	12%
Cash Position	2024.1~3Q	2023.1~3Q	YoY
EBITDA	5,378	4,719	14%
Cash Flow from Operation	2,951	1,911	54%
Free Cash Flow	1,903	1,192	60%

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All ROE + ROA has been annualized.

Free Cash Flow = Net Cash Provided by Operating Activities + (Net Cash used by Investing Activities)

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OPERATION

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HIGHLIGHT

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2024.3Q & 1~3Q Product Mix and Consolidated Sales Breakdown

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(Unit: Million NTD)	2024.3Q % QoQ YoY 2024.1~3Q % YoY	2023 %
Test Instruments & Automatic Testing System (ATS)	1,730 43% - (11%) 5,138 45% (22%)	8,078 64%
Semiconductor / Photonics Test Solutions	1,825 46% (2%) 70% 4,887 43% 133%	2,963 24%
Turnkey Solutions	105 3% (35%) 59% 539 5% 90%	454 4%
Service & Others	323 8% 2% 66% 893 7% 33%	1,035 8%
Total of Parent Company Sales (TW)	3,983 100% (2%) 22% 11,457 100% 19%	12,530 100%
+ Sales from Overseas Operations & Related Subsidiaries Chroma Consolidated Testing Equipment Business MAS Other Subsidiaries	1,187 3% (13%) 3,207 (1%) 5,170 92% (1%) 12% 14,664 94% 14% 384 7% 100% 133% 661 4% 7% 78 1% (12%) 42% 240 2% 48%	5,257 17,787 92% 658 4% 231 1%
Consolidated Sales	5,632 100% 2% 16% 15,565 100% 14%	18,676 97%

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Thank You

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