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Chang Wah Electromaterials (par value NT$1 per share) Announces Preliminary Financial Results for the Second Quarter of 2025
Issued by: Chang Wah Electromaterials Inc.
Issued on: July 30, 2025
Chang Wah Electromaterials Inc. (Chang Wah*, 8070) announced its preliminary operating results for the second quarter of 2025 on July 30. The Company reported unaudited consolidated revenue of NT$4,747 million for the quarter. Gross margin and operating margin were 17.6% and 11.1%, respectively. Net profit attributable to of the parent company totaled NT$110 million, with earnings per share (EPS) of NT$0.16, based on a par value of NT$1 per share.
Benefiting from continued growth in customer orders, Chang Wah's preliminary consolidated revenue increased for the fifth consecutive quarter. However, exchange rate fluctuations partially offset overall growth, resulting in a quarter-over-quarter increase of 5%. Gross profit declined slightly by 2% from the previous quarter, with gross margin down 1.3 percentage points to 17.6%. Despite the modest decline in gross profit, effective cost controls led to lower operating expenses compared to the previous quarter. As a result, operating profit rose by 6% quarter over quarter, with the operating margin improving to 11.1%, slightly higher than in the first quarter.
Regarding non-operating income and expenses, while dividend income contributed positively in the second quarter, the sharp appreciation of the New Taiwan dollar against the U.S. dollar led to foreign exchange losses. As a result, non-operating income turned into a loss, impacting overall profitability. Net profit attributable to owners of the parent company amounted to NT$110 million, down 67% from the previous quarter, with EPS of NT$0.16. Although recent exchange rate volatility has resulted in short-term foreign exchange losses, the overall impact remains within a manageable range, and the Company continues to maintain a solid and stable financial structure.
Unit: NT$ Million
| Item/Period | Q2 2025 | Q1 2025 | Q2 2024 | QoQ | YoY |
|---|---|---|---|---|---|
| Consolidated revenue | 4,747 | 4,504 | 4,255 | 5% | 12% |
| Gross profit | 834 | 850 | 879 | -2% | -5% |
| Profit from operations | 527 | 495 | 486 | 6% | 8% |
| Profit before income tax | 131 | 675 | 852 | -81% | -85% |
|
Net profit attributable to owners of the Corporation |
110 | 332 | 497 | -67% | -78% |
| After-tax EPS (NT$) | 0.16 | 0.47 | 0.74 | -66% | -78% |
| Gross margin | 17.6% | 18.9% | 20.7% | - 1.3 ppt | - 3.1 ppt |
| Operating margin | 11.1% | 11% | 11.4% | +0.1 ppt | -0.3 ppt |
| Pre-tax profit margin | 2.8% | 15% | 20% | -12.2 ppt | -17.2 ppt |
| Net profit margin | 2.6% | 12.2% | 16.9% | -9.6 ppt | -14.3 ppt |
Note 1: After-tax EPS is calculated based on a par value of NT$1 per share.
Note 2: The financial figures for the second quarter of 2025 are preliminary and may be adjusted following the auditor's review.
【About Chang Wah Electromaterials (CWE)】
Chang Wah* (8070.TW) specializes in the sales and technical services of semiconductor packaging materials and advanced packaging equipment, including lead frames, EME, silver paste, and IC substrates. The Company is also dedicated to strengthening its presence in the packaging materials market for key components of electric vehicles and automotive electronics. Furthermore, it partners with manufacturers to advance the IC substrate market for Micro LED and Mini LED packaging. Looking ahead, CWE will drive operational growth through its three primary business focuses: 3Cs (computer, communication, and consumer electronics), automotive, and industrial applications. Additionally, through strategic investments, the Company has expanded into the semiconductor front-end process materials, enabling CWE Group to build a comprehensive semiconductor material ecosystem and strengthen its influence within the industry. For more information, please visit the CWE official website: https://www.cwei.com.tw/