Siliconware Precision Industries Reports Unaudited Consolidated Financial Results for the Fourth Quarter of 2017

TAICHUNG, Taiwan, Jan. 26, 2018 /PRNewswire/ -- Siliconware Precision Industries Co., Ltd. ("SPIL" or the "Company") (Taiwan Stock Exchange: 2325, NASDAQ: SPIL) today announced that its consolidated sales revenues for the fourth quarter of 2017 were NT$ 21,623 million, which represented a 1.5% decline in revenues compared to the third quarter of 2017 and a 2.5% decline in revenues compared to the fourth quarter of 2016. SPIL reported a net income of NT$ 1,489 million for the fourth quarter of 2017, compared with a net income of NT$ 2,257 million and a net income of NT$ 2,829 million for the third quarter of 2017 and the fourth quarter of 2016, respectively.

Basic earnings per share for this quarter was NT$ 0.48, and diluted earnings per ordinary share was NT$ 0.48. Basic earnings per ADS for this quarter was US$ 0.08, and diluted earnings per ADS was US$ 0.08.

All figures were prepared in accordance with T-IFRS on a consolidated basis.

Operating results review:

  • For the fourth quarter of 2017, net revenues from IC packaging were NT$ 18,195 million and represented 84% of total net revenues. Net revenues from testing operations were NT$ 3,428 million and represented 16% of total net revenues.
  • Cost of goods sold was NT$ 17,138 million, which remained flat compared to the third quarter of 2017, and represented an increase of 1.1% compared to the fourth quarter of 2016.
    • Raw materials costs were NT$ 7,266 million for the fourth quarter of 2017 and represented 33.6% of total net revenues, whereas raw materials costs were NT$ 7,282 million and represented 33.2% of total net revenues for the third quarter of 2017.
    • The accrued expenses of bonuses to employees accounted for under cost of goods sold totaled NT$ 120 million.
  • Gross profit was NT$ 4,485 million for the fourth quarter of 2017, representing a gross margin of 20.7%, which decreased from a gross margin of 21.9% for the third quarter of 2017 and decreased from 23.6% for the fourth quarter of 2016.
  • Total operating expenses for the fourth quarter of 2017 were NT$ 2,165 million, which included selling expenses of NT$ 279 million, administrative expenses of NT$ 942 million and R&D expenses of NT$ 944 million. Total operating expenses represented 10.0% of total net revenues for the fourth quarter of 2017.
    • The accrued expenses of bonuses to employees, directors accounted for under operating expenses totaled NT$ 85 million.
  • Operating income was NT$ 2,320 million for the fourth quarter of 2017, representing an operating margin of 10.7%, which decreased from 12.5% for the third quarter of 2017 and decreased from 13.7% for the fourth quarter of 2016.
  • Non-operating items:
    • Our non-operating expense was NT$ 389 million, including net losses of NT$ 463 million on fair value change of financial liabilities at fair value through profit or loss and net foreign exchange gains of NT$ 103 million.
  • Net income before tax was NT$ 1,931 million for the fourth quarter of 2017, which decreased from a net income before tax of NT$ 2,558 million for the third quarter of 2017 and decreased from a net income before tax of NT$ 3,392 million for the fourth quarter of 2016.
  • Income tax expense was NT$ 442 million for the fourth quarter of 2017, compared with income tax expense of NT$ 301 million for the third quarter of 2017 and income tax expense of NT$ 563 million for the fourth quarter of 2016.
  • Net income was NT$ 1,489 million for the fourth quarter of 2017, which decreased from a net income of NT$ 2,257 million for the third quarter of 2017 and decreased from a net income of NT$ 2,829 million for the fourth quarter of 2016.
  • Total number of shares outstanding was 3,116 million shares as of Dec. 31, 2017. Basic earnings per share for this quarter was NT$ 0.48, and diluted earnings per ordinary share was NT$ 0.48. Basic earnings per ADS for this quarter was US$ 0.08, and diluted earnings per ADS was US$ 0.08.

Capital expenditure and balance sheet highlight:

  • Our cash balances totaled NT$ 24,444 million as of Dec. 31, 2017 from NT$ 20,783 million as of Sep. 30, 2017, and NT$ 24,476 million as of Dec. 31, 2016.
  • Capital expenditures for the fourth quarter of 2017 totaled NT$ 2,306 million.
  • Total depreciation expenses for the fourth quarter of 2017 totaled NT$ 3,800 million.

IC packaging service:

  • Net revenues from IC packaging operations were NT$ 18,195 million for the fourth quarter of 2017, which represented a decrease of NT$ 510 million or 2.7% compared to the third quarter of 2017.
  • Substrate-based packaging, leadframe-based packaging and wafer bumping & Flip Chip accounted for 27%, 17% and 40%, respectively, of total net revenues for the fourth quarter of 2017.
  • As of Dec. 31, 2017 we had 8,207 wirebonders installed, of which 249 were disposed in the fourth quarter of 2017.

IC testing service:

  • Net revenues from testing operations were NT$ 3,428 million for the fourth quarter of 2017, which represented an increase of NT$ 178 million or 5.5% compared to the third quarter of 2017.
  • As of Dec. 31, 2017 we had 574 testers installed, of which 4 were added and 1 were disposed in the fourth quarter of 2017.

For more information, please visit: https://photos.prnasia.com/prnk/20180126/2042012-1

Revenue Analysis

  • Breakdown by end applications:

By application

4Q17

3Q17  

Communication

68%

65%

Computing

11%

12%

Consumer

19%

21%

Memory

2%

2%

  • Breakdown by packaging type:

By application

4Q17

3Q17 

Bumping & Flip Chip 

40%

39%

Substrate Based 

27%

29%

Leadframe Based

17%

17%

Testing 

16%

15%

About SPIL

Siliconware Precision Industries Ltd. ("SPIL")(NASDAQ:SPIL, Taiwan Stock Exchange:2325) is a leading provider of comprehensive semiconductor assembly and test services. SPIL is dedicated to meeting all of its customers' integrated circuit packaging and testing requirements, with turnkey solutions that range from design consultations, modeling and simulations, wafer bumping, wafer probe and sort, package assembly, final test, burn-in, to shipment. Products include advanced leadframe, substrate packages, wafer bumping and FCBGA, which are widely used in personal computers, communications, Internet appliances, cellular phones, digital cameras, cable modems, personal digital assistants and LCD monitors. SPIL supplies services and support to fabless design houses, integrated device manufacturers and wafer foundries globally. For further information, visit SPIL's web site at www.spil.com.tw.

Safe Harbor Statement

The information herein contains forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. We have based these forward-looking statements on our current expectation and projections about future events. Such forward-looking statements are inherently subject to known and unknown risks, uncertainties, assumptions about us and other factors that may cause the actual performance, financial condition or results of operations of SPIL to be materially different from what may be implied by such forward-looking statements. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors, including, among other things:

  • the intensely competitive personal computer, communications, consumer ICs and non-commodity memory semiconductor industries and markets;
  • cyclical nature of the semiconductor industry;
  • risks associated with global business activities;
  • non-operating losses due to poor financial performance of some of our investments;
  • our dependence on key personnel;
  • general economic and political conditions;
  • possible disruptions in commercial activities caused by natural and human induced disaster, including terrorist activities and armed conflicts and contagious disease, such as the Severe Acute Respiratory Syndrome;
  • fluctuations in foreign currency exchange rates; and
  • other risks identified in our annual reports on Form 20-F filed with the U.S. Securities and Exchange Commission each year.

The words "anticipate," "believe," "estimate," "expect," "intend," "plan" and similar expressions, as they relate to us, are intended to identify a number of these forward-looking statements. We undertake no obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events discussed herein might not occur and our actual results could differ materially from those anticipated in these forward-looking statements.

All financial figures discussed herein are prepared pursuant to TIFRS on a consolidated basis. The investment gains or losses of our company for the three months ended Dec. 31, 2017 reflect our gains or losses attributable to the fourth quarter of 2017 unaudited financial results of several of our investees which are evaluated under the equity method. Neither the consolidated financial data for our company for the three months ended Dec. 31, 2017, nor the consolidated financial data for our company for the twelve months ended Dec. 31, 2017 is necessarily indicative of the results that may be expected for any period thereafter.

SILICONWARE PRECISION INDUSTRIES CO., LTD.

CONSOLIDATED BALANCE SHEET (UNAUDITED)

As of Dec 31, 2017 and 2016

(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))















Dec 31,2017


Dec 31,2016


Sequential

ASSETS


USD


NTD

%


NTD

%


Change

%

Current Assets












Cash and cash equivalent


821,374


24,444,083

20


24,476,270

20


(32,187)

(0.1)

Available-for-sale financial assets


-


-

-


178,176

-


(178,176)

(100.0)

Accounts receivable


567,103


16,876,990

14


17,378,474

14


(501,484)

(2.9)

Inventories


205,769


6,123,682

5


6,498,832

5


(375,150)

(5.8)

Other current assets


54,474


1,621,157

2


1,919,543

2


(298,386)

(15.5)

Total current assets


1,648,720


49,065,912

41


50,451,295

41


(1,385,383)

(2.7)













Non-current Assets












Available-for-sale financial assets


138,952


4,135,207

3


3,615,658

3


519,549

14.4

Long-term investment under equity method


98,535


2,932,392

2


2,400,981

2


531,411

22.1

Property, plant and equipment


2,096,709


62,398,065

52


65,380,409

52


(2,982,344)

(4.6)

Intangible assets


4,007


119,268

-


175,862

-


(56,594)

(32.2)

Other assets


75,135


2,236,011

2


1,736,036

2


499,975

28.8

Total non-current assets


2,413,338


71,820,943

59


73,308,946

59


(1,488,003)

(2.0)

Total Assets


4,062,058


120,886,855

100


123,760,241

100


(2,873,386)

(2.3)













LIABILITIES AND STOCKHOLDERS' EQUITY












Liabilities












Current Liabilities












Short-term loans


115,000


3,422,400

3


2,741,250

2


681,150

24.8

Financial liabilities at fair value through
    profit or loss - current


27,206


809,640

1


773,908

1


35,732

4.6

Accounts payable


250,570


7,456,974

6


8,194,647

6


(737,673)

(9.0)

Current portion of bonds payable


-


-

-


12,712,651

10


(12,712,651)

(100.0)

Current portion of long-term debt


106,631


3,173,333

2


3,500,747

3


(327,414)

(9.4)

Other current liability


380,789


11,332,268

9


13,165,236

12


(1,832,968)

(13.9)













Non-current liabilities












Bonds payable


403,737


12,015,229

10


-

-


12,015,229

-

Long-term loans


425,627


12,666,667

11


14,840,000

12


(2,173,333)

(14.6)

Other liabilities


56,806


1,690,552

1


1,644,482

1


46,070

2.8

Total  Liabilities


1,766,366


52,567,063

43


57,572,921

47


(5,005,858)

(8.7)













Stockholders' Equity












Capital stock


1,047,165


31,163,611

26


31,163,611

25


-

-

Capital reserve


424,819


12,642,615

10


12,641,997

10


618

0.0

Legal reserve


397,759


11,837,317

10


10,844,001

9


993,316

9.2

Retained earnings


359,504


10,698,848

9


10,252,276

8


446,572

4.4

Other equities


66,445


1,977,401

2


1,285,435

1


691,966

53.8

Total Equity


2,295,692


68,319,792

57


66,187,320

53


2,132,472

3.2

Total Liabilities & Shareholders' Equity


4,062,058


120,886,855

100


123,760,241

100


(2,873,386)

(2.3)













Forex ( NT$ per US$ ) 




29.760



32.250





(1)All figures are under T-IFRS.  


 

SILICONWARE  PRECISION  INDUSTRIES  CO.,  LTD.

CONSOLIDATED COMPREHENSIVE INCOME STATEMENT (UNAUDITED)


(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))



3 months ended on Dec 31


Sequential Comparison



4Q 2017


4Q 2016


YoY


4Q 2017


3Q 2017


QoQ



USD


NTD

%


NTD


change %


NTD


NTD


change %

Revenues


718,174


21,622,785

100.0


22,177,508


(2.5)


21,622,785


21,955,373


(1.5)

Cost of Goods Sold


(569,202)


(17,137,541)

(79.3)


(16,949,723)


1.1


(17,137,541)


(17,140,604)


(0.0)

Gross Profit


148,972


4,485,244

20.7


5,227,785


(14.2)


4,485,244


4,814,769


(6.8)

Operating Expenses
















Selling Expenses


(9,265)


(278,955)

(1.3)


(282,984)


(1.4)


(278,955)


(264,539)


5.4

Administrative Expenses


(31,287)


(941,971)

(4.3)


(873,787)


7.8


(941,971)


(809,475)


16.4

Research and Development Expenses


(31,365)


(944,345)

(4.4)


(1,029,466)


(8.3)


(944,345)


(999,827)


(5.5)



(71,917)


(2,165,271)

(10.0)


(2,186,237)


(1.0)


(2,165,271)


(2,073,841)


4.4

Operating Income


77,055


2,319,973

10.7


3,041,548


(23.7)


2,319,973


2,740,928


(15.4)

Non-operating Items


(12,906)


(388,576)

(1.8)


350,651


-


(388,576)


(182,915)


(112.4)

Income Before Income Tax 


64,149


1,931,397

8.9


3,392,199


(43.1)


1,931,397


2,558,013


(24.5)

Income Tax Expenses


(14,694)


(442,408)

(2.0)


(563,300)


(21.5)


(442,408)


(301,499)


46.7

Net Income


49,455


1,488,989

6.9


2,828,899


(47.4)


1,488,989


2,256,514


(34.0)

















Other comprehensive income
















Items that will not be reclassiflied to profit or loss
















    Remeasurements of post employment benefit obligations


354


10,647



(177,806)






-



    Income tax relating to items that will not be reclassified
        to profit or loss


(60)


(1,810)



30,227






-



Items that may be subsequently reclassified to profit or loss
















    Exchange difference on translation of foreign financial statements


(566)


(17,030)



(48,053)






162,591



    Unrealized gain(loss) on available-for-sale financial assets


(19,695)


(592,973)



(822,053)






(7,802)



    Share of other comprehensive income of associates 


1,597


48,076



(52,254)






(31,159)



    Income tax relating to items that may be reclassified to profit or loss


-


-



143,671






-



Total other comprehensive income (loss)


(18,370)


(553,090)



(926,268)






123,630



Total comprehensive income


31,085


935,899



1,902,631






2,380,144



















Earnings Per Ordinary Share- Basic




NT$    0.48



NT$    0.91






NT$    0.72



Earnings Per Ordinary Share- Diluted 




NT$    0.48



NT$    0.89






NT$    0.71



Earnings Per ADS- Basic




US$    0.08



US$    0.14






US$    0.12



Earnings Per ADS- Diluted 




US$    0.08



US$    0.14






US$    0.12



Weighted Average Outstanding Shares - Diluted ('k)




3,120,063



3,389,863






3,397,597



















Forex ( NT$ per US$ ) 




30.108



31.767






30.267



















(1) All figures are under T-IFRS.  
















(2) 1 ADS is equivalent to 5 Common Shares.   
















 

SILICONWARE  PRECISION  INDUSTRIES  CO.,  LTD.

CONSOLIDATED COMPREHENSIVE INCOME STATEMENT (UNAUDITED)

(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))



12 months ended on Dec 31



2017


2016


YoY



USD


NTD

%


NTD


change %

Revenues


2,747,394


83,554,385

100.0


85,111,913


(1.8)

Cost of Goods Sold


(2,194,345)


(66,740,290)

(79.9)


(65,762,191)


1.5

Gross Profit


553,049


16,814,095

20.1


19,349,722


(13.1)

Operating Expenses










Selling Expenses


(33,956)


(1,032,799)

(1.2)


(1,024,689)


0.8

Administrative Expenses


(107,311)


(3,264,130)

(3.9)


(3,495,613)


(6.6)

Research and Development Expenses


(126,264)


(3,841,996)

(4.6)


(4,043,290)


(5.0)



(267,531)


(8,138,925)

(9.7)


(8,563,592)


(5.0)

Operating Income


285,518


8,675,170

10.4


10,786,130


(19.6)

Non-operating Items


1,231


26,165

0.0


898,437


(97.1)

Income Before Income Tax 


286,749


8,701,335

10.4


11,684,567


(25.5)

Income Tax Expenses


(59,363)


(1,801,170)

(2.1)


(1,751,407)


2.8

Net Income


227,386


6,900,165

8.3


9,933,160


(30.5)











Other comprehensive income










Items that will not be reclassiflied to profit or loss










   Remeasurements of post employment benefit obligations


354


10,647



(177,806)



   Income tax relating to items that will not be  reclassified to profit or loss


(60)


(1,810)



30,227



Items that may be subsequently reclassified to profit or loss










   Exchange difference on translation of foreign financial statements


(6,951)


(226,323)



(908,801)



   Unrealized gain (loss) on available-for-sale financial assets


14,779


465,175



(1,469,105)



   Share of other comprehensive income of associates 


14,873


456,665



(132,938)



   Income tax relating to items that may be reclassified to profit or loss


(403)


(12,388)



154,113



Total other comprehensive income (loss)


22,592


691,966



(2,504,310)



Total comprehensive income


249,978


7,592,131



7,428,850













Earnings Per Ordinary Share- Basic




NT$   2.21



NT$   3.19



Earnings Per Ordinary Share- Diluted 




NT$   1.86



NT$   2.68



Earnings Per ADS- Basic




US$   0.36



US$   0.50



Earnings Per ADS- Diluted 




US$   0.31



US$   0.42



Weighted Average Outstanding Shares - Diluted ('k)




3,413,871



3,410,681













Forex ( NT$ per US$ ) 




30.345



32.151













(1) All figures are under T-IFRS.  










(2) 1 ADS is equivalent to 5 Common Shares.   










 

SILICONWARE  PRECISION  INDUSTRIES  CO.,  LTD.

CONSOLIDATED  STATEMENTS  OF  CASH  FLOWS (UNAUDITED)

For 12 Months Ended on Dec 31, 2017 and 2016

(Expressed in Thousands of New Taiwan Dollars (NTD) and U.S. Dollars (USD))










12 months, 2017


12 months, 2016



USD


NTD


NTD

Cash Flows from Operating Activities:







   Income before income tax


286,749


8,701,335


11,684,567

   Depreciation  


474,015


14,415,980


12,905,830

   Amortization


6,863


209,319


385,360

   Change in working capital &others


(128,250)


(3,931,151)


(4,131,205)

Net cash flows provided from operating activities


639,377


19,395,483


20,844,552








Cash Flows from Investing Activities:







   Acquisition of property, plant, and equipment


(424,797)


(12,932,655)


(15,295,121)

   Proceeds from disposal of available-for-sale financial assets


-


-


1,454,403

   Proceeds from disposal of property, plant, and equipment


20,210


622,487


167,021

   Others


(1,872)


(54,519)


(368,014)

Net cash used in investing activities


(406,459)


(12,364,687)


(14,041,711)








Cash Flows from Financing Activities:







   Increase in short-term loans


74,867


2,265,169


-

   Decrease in short-term loans


(44,721)


(1,353,089)


-

   Proceeds from long-term loans


32,160


1,000,000


9,000,000

   Repayment of long-term loans


(111,279)


(3,413,112)


(4,228,721)

   Cash dividends distributed to shareholders 


(180,184)


(5,453,632)


(11,842,172)

   Others


718


21,749


(90,440)

Net cash used in financing activities


(228,439)


(6,932,915)


(7,161,333)








Foreign currency exchange effect 


(4,126)


(130,068)


(356,612)

Net decrease in cash and cash equivalents


353


(32,187)


(715,104)

Cash and cash equivalents at beginning of period


787,145


24,476,270


25,191,374

Cash and cash equivalents at end of period


787,498


24,444,083


24,476,270








Forex ( NT$ per US$ ) 




30.345


32.151








(1) : All figures are under T-IFRS.  







 

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