Investors

Announces Consolidated Financial Results for Q1, 2022

2022/04/26

FocalTech Systems Co., Ltd. (TWSE: 3545) today (26) held its investor conference to report its consolidated financial results for first quarter 2022. 

 

2022’Q1 revenue was NT$3.89 billion, down by 30% quarter-over-quarter and 11% year-over-year, mainly due to smartphone’s traditional low season and inventory correction.  Attributed to the continuing increase in wafer cost, 2022’Q1 gross margin was 39.6%, decreased 10 percentage points QoQ but increased 2 percentage points YoY. 2022’Q1 net profit after tax was NT$723 million, down by 14% YoY and EPS was NT$3.57.

 

On April 25th, FocalTech’s board meeting approved 2021 cash dividend payment of NT$ 3.4bn. Based on 2021 net income of around NT$6.1bn, such cash dividend payout is equivalent to 55.8% payout ratio and cash dividend of approximately NT$15.7 per share. Based on April 25th stock closing price of NT$118.5, the cash yield is 13.3%.

 

On top of the global inflation, Russia-Ukraine war and supply chain disruption caused by COVID-19, further weakened the demand of cellphone and NB. However, because of our LTA with clients, we expect the full-year shipment to remain intact amid the delayed shipping due to the relatively high level of inventory in the channel. Because the long production cycle of some products, which also reflects the slow rising of production cost, we expect the manufacturing cost will continue to increase until the end of 2022’Q2. Nevertheless, we estimate the gross margin to be within a controllable range.

 

After years of efforts, FocalTech’s Fingerprint solutions have successfully penetrated tier-1 clients. The shipment of Fingerprint sensor products has been increasing in spite of the slow market. We expect our Fingerprint business to have a more optimistic performance comparing to other cellphone related products in 2022. As FocalTech has also been diversifying into different applications such as automotive, industrial, wearable, NB and applications with a stylus pen for years, we expect these new businesses will bear fruits in the following years.

 

 

About FocalTech

FocalTech Group is the leader in human and machine interface technologies, providing solutions for sensing and display. FocalTech has strong capabilities in α-TFT, LTPS, and OLED display driver design, capacitive 2D/ 3D touch controller/algorithm, ITO sensing pattern, capacitive/optical fingerprint/physiological measurement algorithm. FocalTech offers TFT LCD / OLED driver IC, touch controller IC, force touch controller IC, integrated driver controller (IDC/TDDI), capacitive and optical fingerprint IC. For more information, please visit http://www.focaltech-electronics.com