WNC (6285) Q1 2025 earnings summary

Executive summary

• Net revenue for Q1 2025 reached NT$28,366 million, up 10.9% year-over-year and 1.5% sequentially from Q4 2024.

• Operating income increased 38.8% year-over-year to NT$1,045 million, but declined 6.4% sequentially.

• Net profit after tax (PAT) rose 22.4% year-over-year to NT$918 million, but fell 9.6% from the previous quarter.

• Earnings per share (EPS) for Q1 2025 was NT$1.92, up from NT$1.58 year-over-year, but down from NT$2.14 sequentially.

• Gross profit margin improved to 12.2% in Q1 2025 from 11.6% in Q1 2024, but decreased from 12.9% in Q4 2024.

Financial highlights

• Operating income for Q1 2025 was NT$1.04 billion, up from NT$752.5 million in Q1 2024.

• Total assets as of March 31, 2025 were NT$73.91 billion, up from NT$70.37 billion a year earlier.

• Cash and short-term investments stood at NT$16,058 million as of March 31, 2025, stable compared to year-end 2024.

• Operating expenses increased 9.4% year-over-year but decreased 2.5% sequentially.

• Capital expenditures for property, plant, and equipment were NT$920 million in Q1 2025.

Key financial ratios and metrics

• Operating margin for Q1 2025 was 3.7%, up from 2.9% year-over-year, but down from 4.0% sequentially.

• PAT margin was 3.2% in Q1 2025, compared to 2.9% in Q1 2024 and 3.6% in Q4 2024.

• Return on equity (annualized) increased due to higher net income and stable equity base.

• Receivables turnover improved, with major customers accounting for 36.9% of trade receivables.

• Operating margin improved to 4% from 3% in Q1 2024.