Business Context and Reporting Period
Advanced Semiconductor Engineering, Inc. (ASE) filed a Form 6-K on July 7, 2011, reporting unaudited consolidated net revenues for June 2011 and the second quarter (Q2) of 2011. ASE is a leading provider of outsourced semiconductor packaging and testing services, headquartered in Kaoshiung, Taiwan. The reporting period covers the month of June 2011 and the quarter ended June 30, 2011.
Key Financial Metrics
Consolidated Net Revenues
| Period | Currency | Amount | Sequential Change | Year-over-Year Change |
|---|---|---|---|---|
| June 2011 | NT$ Million | 14,711 | -4.7% | -9.5% |
| June 2011 | US$ Million | 511 | -5.0% | +1.4% |
| Q2 2011 | NT$ Million | 46,254 | +0.5% | -0.3% |
| Q2 2011 | US$ Million | 1,601 | +2.0% | +9.7% |
ATM (Assembly, Test, and Material) Net Revenues (Excluding USI)
| Period | Currency | Amount | Sequential Change | Year-over-Year Change |
|---|---|---|---|---|
| June 2011 | NT$ Million | 10,545 | -3.7% | -5.0% |
| June 2011 | US$ Million | 367 | -4.0% | +6.4% |
| Q2 2011 | NT$ Million | 32,255 | +4.5% | +1.8% |
| Q2 2011 | US$ Million | 1,117 | +6.0% | +12.0% |
Note: The filing does not provide data on profit, cash flow, margins, debt, or liquidity. Starting February 1, 2010, Universal Scientific Industrial Co., Ltd.'s revenues have been consolidated into ASE's results.
Material Changes vs. Prior Period
- Monthly Performance: Consolidated net revenues for June 2011 declined 4.7% sequentially from May 2011 in NT$ terms, and 9.5% year-over-year. In US$ terms, June revenues were down 5.0% sequentially but up 1.4% year-over-year, reflecting currency fluctuations.
- Quarterly Performance: Q2 2011 consolidated revenues increased 0.5% sequentially from Q1 2011 in NT$ terms, while showing a 9.7% increase year-over-year in US$ terms.
- Core Business Trend: Excluding the USI consolidation, the core ATM business showed stronger growth in Q2 2011, with US$ revenues up 12.0% year-over-year, compared to a slight decline in the consolidated NT$ figure.
Guidance, Outlook, and Risks
The filing contains no specific financial guidance or management commentary regarding future earnings projections. It includes a standard Safe Harbor Notice regarding forward-looking statements.
Identified Risks:
- Cyclicality and market conditions in the semiconductor industry.
- Competitive pressures and the need to introduce new packaging and testing technologies.
- Integration risks from pending and future mergers and acquisitions.
- Geopolitical tensions between the Republic of China and the People's Republic of China.
- Fluctuations in foreign currency exchange rates.
- Disruptions from natural or human-induced disasters.
Investor Verification Checklist
- Verify the impact of foreign exchange rate fluctuations on the divergence between NT$ and US$ reported revenue growth.
- Review the 2010 Annual Report on Form 20-F (filed June 17, 2011) for detailed risk factors and historical financial context.
- Confirm the specific contribution of Universal Scientific Industrial Co., Ltd. to the consolidated revenue figures versus the core ATM business.
- Monitor upcoming filings for profit margins and cash flow data, which are absent in this monthly revenue report.