Business Context and Reporting Period
Advanced Semiconductor Engineering, Inc. (ASE) filed this Form 6-K on May 9, 2011, to report unaudited consolidated net revenues for the month ended April 30, 2011. ASE is a leading provider of outsourced semiconductor packaging and testing services.
Key Financial Metrics
| Metric (NT$ Million) | April 2011 | March 2011 | April 2010 | Sequential Change | Year-over-Year Change |
|---|---|---|---|---|---|
| Consolidated Net Revenues | 16,106 | 16,527 | 14,663 | -2.5% | +9.8% |
| ATM Net Revenues (Excl. USI) | 10,759 | 10,995 | 9,972 | -2.1% | +7.9% |
Note: Starting February 1, 2010, Universal Scientific Industrial Co., Ltd. (USI) revenues have been consolidated into ASE's totals. The filing does not provide data on profit, cash flow, margins, debt, or liquidity for this period.
Material Changes
- Sequential Decline: Consolidated net revenues decreased by 2.5% from March 2011 to April 2011. The core Assembly, Test, and Material (ATM) business excluding USI also saw a 2.1% sequential decline.
- Year-over-Year Growth: Despite the monthly dip, consolidated revenues increased by 9.8% compared to April 2010. The ATM business (excluding USI) grew by 7.9% year-over-year.
Guidance, Outlook, and Risks
The filing contains no specific financial guidance or management commentary regarding future quarters beyond standard forward-looking statements. The document includes a Safe Harbor Notice identifying several material risks that could cause actual results to differ from expectations:
- Cyclicality and market conditions in the semiconductor industry.
- Highly competitive industry environment and demand for outsourced services.
- Ability to introduce new packaging and testing technologies.
- Integration of 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 the Universal Scientific Industrial Co., Ltd. (USI) consolidation on year-over-year comparisons.
- Monitor the sequential revenue decline to determine if it indicates a broader industry downturn or seasonal fluctuation.
- Review upcoming filings for profit margins and cash flow data, which are absent in this monthly revenue report.
- Assess the company's exposure to geopolitical risks between Taiwan and mainland China as highlighted in the risk factors.