AUO Corporation ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today held its investor conference and announced its consolidated financial results for the fourth quarter and fiscal year of 2018(1).
Consolidated revenues for the fourth quarter of 2018 were NT$77.09 billion, down by 4.9% quarter-over-quarter. AUO’s net profit attributable to owners of the Company for the fourth quarter of 2018 was NT$0.28 billion, with a basic EPS(2) of NT$0.03.
For the fiscal year of 2018, consolidated revenues totaled NT$307.63 billion, a decrease of 9.8% year-over-year. Net profit attributable to owners of the Company was NT$10.16 billion, with a basic EPS(2) of NT$1.06.
In the fourth quarter of 2018, large-sized panel(3) shipments exceeded 28.45 million units, down by 4.5% quarter-over-quarter. Shipments of small-and-medium-sized panels in the same quarter reached around 32.15 million units, down by 24.5% quarter-over-quarter.
For the full year of 2018, large-sized panel(3) shipments exceeded 114.79 million units, an increase of 2.7% from the previous year. Small-and-medium-sized panel shipments totaled 166.60 million units, down by 1.3% year-over-year.
Highlights of consolidated results for the fourth quarter of 2018:
Highlights of consolidated results for the fiscal year of 2018:
In the fourth quarter, as new capacity being added to the market, industry supply and demand balance became looser. As a result, panel prices were on the decline, and net profit attributable to owners of the Company amounted to only NT$0.28 billion in the fourth quarter. In terms of the full year of 2018, revenues declined by 9.8% year over year to NT$307.63 billion. However, with consistent focus on the value transformation strategy, the Company was still able to maintain a good level of profitability. For the full year of 2018, operating profit reached NT$6.67 billion, net profit attributable to owners of the Company reached NT$10.16 billion, and basic earnings per share were NT$1.06. The Company’s financial structure was also maintained at a stable and healthy status.
Looking into 2019, as new capacity continues to ramp up, oversupply may become a display industry normal in the next few years. Furthermore, there could be uncertainties coming from both global economy and international trade situations. Facing the challenging business environment, the Company will insist on its core strategy, focusing on sustaining financial health, value enhancement and continuous innovation. In that way, the Company will be able to strengthen its long-term competitiveness, and march forward to the goal of value creation.
(1) All financial information was prepared by the Company in accordance with Taiwan IFRS.
(2) Basic EPS in the fourth quarter and the fiscal year of 2018 were calculated based on the weighted average outstanding shares of the fiscal year of 2018 (9,624 million shares).
(3) Large size refers to panels that are 10 inches and above.
(4) EBITDA = Operating Profit + D&A, that is, operating profit before depreciation and amortization.