Business Context and Reporting Period
Advanced Semiconductor Engineering, Inc. (ASE) filed this Form 6-K on February 7, 2012, to report unaudited consolidated net revenues for the month of January 2012. ASE is a leading provider of outsourced semiconductor packaging and testing services. The reporting period covers January 2012, with comparisons to December 2011 and January 2011.
Key Financial Metrics
The filing provides revenue data in both New Taiwan Dollars (NT$) and US Dollars (US$). Profit, cash flow, margins, debt, and liquidity metrics are not disclosed in this specific monthly revenue announcement.
| Metric | Jan 2012 (NT$M) | Dec 2011 (NT$M) | Jan 2011 (NT$M) | Seq. Change | YoY Change |
|---|---|---|---|---|---|
| Consolidated Net Revenues | 13,555 | 14,940 | 15,607 | -9.3% | -13.1% |
| Consolidated Net Revenues (US$M) | 450 | 494 | 533 | -8.8% | -15.6% |
| ATM Net Revenues (NT$M) | 9,343 | 9,846 | 10,464 | -5.1% | -10.7% |
| ATM Net Revenues (US$M) | 310 | 325 | 358 | -4.6% | -13.3% |
Note: ATM refers to Assembly, Test, and Material business excluding Universal Scientific Industrial Co., Ltd. (USI), which has been consolidated since February 1, 2010.
Material Changes
- Sequential Decline: Consolidated net revenues decreased by 9.3% (NT$) and 8.8% (US$) compared to December 2011.
- Year-Over-Year Decline: Consolidated net revenues decreased by 13.1% (NT$) and 15.6% (US$) compared to January 2011.
- ATM Segment Performance: The core ATM business showed a sequential decline of 5.1% and a year-over-year decline of 10.7% in NT$ terms.
Guidance, Outlook, and Risks
The filing contains no specific financial guidance or quantitative outlook for future periods. Management included a Safe Harbor Notice regarding forward-looking statements, cautioning that actual results may differ materially due to various risks. Key risks identified include:
- Cyclicality and market conditions in the semiconductor industry.
- Demand for outsourced packaging and testing services.
- Highly competitive industry environment.
- Ability to introduce new technologies and integrate mergers/acquisitions.
- International business activities and general economic/political conditions.
- Fluctuations in foreign currency exchange rates.
- Strained relations between the Republic of China and the People's Republic of China.
Investor Verification Checklist
- Verify the impact of foreign currency exchange rate fluctuations on the reported US$ revenue figures versus NT$ figures.
- Confirm the specific contribution of the Universal Scientific Industrial Co., Ltd. (USI) segment to the total consolidated revenue decline.
- Review the company's most recent Form 20-F for detailed risk factors and historical financial context not present in this monthly report.
- Monitor subsequent monthly reports to determine if the sequential revenue decline is a trend or a seasonal anomaly.