King Slide Works Co (2059) Q2 2024 earnings summary

Executive summary

• Consolidated revenue for Q2 2024 was NT$2,516.7 million, up 91.6% year-over-year; first half revenue reached NT$4,454.5 million, up 80.0% year-over-year.

• Net income for Q2 2024 was NT$1,456.4 million, up 103.9% year-over-year; first half net income was NT$2,843.3 million, up 142.6% year-over-year.

• Earnings per share (EPS) for Q2 2024 was NT$15.29 (basic), and NT$29.84 for the first half.

Financial highlights

• Gross margin for Q2 2024 was 70%, up from 59% in Q2 2023; first half gross margin was 66%, up from 59%.

• Operating margin for Q2 2024 was 61%, up from 46% in Q2 2023.

• Cash and cash equivalents at June 30, 2024, were NT$14,708.9 million, up from NT$13,405.3 million a year earlier.

• Total assets at June 30, 2024, were NT$23,611.0 million, up from NT$20,418.0 million a year earlier.

• Dividend payout for 2023 was NT$14.19 per share in cash.

Outlook and guidance

• Management expects continued strong demand in server and network equipment segments.

• No material changes in accounting policies or business strategy anticipated for the remainder of the year.