Egis Technology Inc. Reports EPS of NT$3.46 in 2Q19

TAIPEI, Taiwan, Aug. 13, 2019 /PRNewswire/ — Egis Technology Inc. (6462.TWO) reported 2Q19 revenue of NT$1,899mn, up 36% QoQ, and up 28% YoY. 
2Q19 GM declined 3 ppts QoQ to 38%. But on a pro forma basis (excluding write-off impact), GM was slightly higher than 1Q19 level.
2Q19 OPM was 12%, improved by 1 ppt from 1Q19 but declined versus 2Q18’s OPM of 17%.
EPS was NT$3.46, improved from NT$1.96 in 1Q19 but down from NT$4.20 in 2Q18.
Demand from key Korean customer was affected by model transition as well as other macro factors in recent months.
3Q19 revenues may see mild QoQ growth, with July being the trough in terms of monthly pattern. Nonetheless, visibility remains short due to macro events like Korea/Japan dispute, US/China Huawei trade tensions, etc.