2022/02/15
Coretronic Corporation Announces Fourth Quarter 2021 Results
Hsinchu, Taiwan – Coretronic Corporation (5371.TW) today announced its financial results for the fourth quarter of 2021. For the fourth quarter ended on Dec. 31, 2021, Coretronic posted consolidated sales revenue of NT$15,115 million. Benefit from the peak season effect, the sales revenue grew 15.9% QoQ and 31.5% increase compared with the same period last year. Consolidated gross profit margin decreased by 0.9% to 17.1% from 18% in the previous quarter, mainly due to product mix differences, which was a decrease of 0.4% from 17.5% in the same period last year. Operating income was NT$566 million, a drop of 8.1% from the third quarter and a significant increase of 172.7% from the same period last year. Net income was NT$535 million, representing a 9% decrease from the previous quarter but increase by 42.5% from the same period last year. Net income attributable to equity holders of the parent company was NT$527 million, which is a decrease of 7.4% from NT$569 million in the previous quarter and an increase of 26% from NT$418 million in the same period last year. The basic EPS* for the fourth quarter was NT$1.35.
For the fiscal year of 2021, Coretronic reported consolidated sales revenue of NT$49,833 million, representing an increase of 17.4% YoY, driven by the increase in revenue of the two major product lines. Consolidated gross margin was 17.5%, similar with 2020. Operating income totaled NT$1,646 million, significant growth of 138% over the same period last year. Net income was reported at NT$2,039 million, and net income attributable to equity holders of the parent company was NT$2,032 million, an increase of 46% and 30% respectively over the same period last year. The basic EPS** for 2021 was NT$5.12. Calculated based on Dec. 31, 2021 outstanding shares, EPS*** was NT$5.2.
“For the fourth quarter of 2021, the overall sales revenue of Energy Saving Business Group was NT$8,754 million, an increase of 17% QoQ and a significant increase of 59% YoY; the shipments were 17.59 million units, an increase of 6% QoQ and 39% YoY. For the fiscal year of 2021, the sales revenue amounted to NT$27,158 million, and shipment was 60.84 million units, up 23% and 33% YoY, respectively, this was mainly due to the growth of TV/PID and NB model shipments driven by the WFH and distance education demand” said Ms. Sarah Lin, President of Coretronic. Looking forward to the first quarter of 2022, Sarah pointed out that due to the off-season and the Lunar New Year holiday effect, the overall shipments of Energy Saving products in the first quarter will decrease by about 10% QoQ. Looking forward to the future development of operations, Sarah expects the overall shipments will grow by 20% this year, mainly due to the increase in TV/PID demand and the new business of NB application. Facing the changing competitive environment and industry development trends, Sarah said that in addition to pure backlight modules/free-form backlight modules and LCD modules, video walls, privacy displays and other system/semi-system products, Coretronic also provide a combined platform with touch modules, mechanism design, electronic solutions, etc., aim to provide customers complete and diversified integrated customized display solutions, with the goal of pursuing higher profits and value, and grow steadily.
The shipment of Visual Solutions products was 246.3K unit in 4Q21, up 17% QoQ and 14% YoY respectively, while the sales revenue was NT$3,498 million, representing a 5% QoQ increase and 15% growth YoY, it was mainly driven by the shipment growth of Large Venue models and embedded solutions. For the fiscal year of 2021, the shipment was 870.5K units, an increase of 12% YoY and sales revenue was NT$12,863 million, benefiting from the growth in shipments of SSI and Large Venue models led ASP increased by 5.4% YoY, and revenue grew steadily by 18% over 2020.” said Ms. Sarah Lin. Although the first quarter is a traditional low season and fewer working days due to Lunar New Year holiday, however, thanks to the mass production of new micro-projector models, Sarah estimates that the overall shipment will grow by 10%~20% QoQ. Looking into future development, Sarah said that Coretronic will continue to leverage the leading SSI technology in mainstream market to consolidate the position of DLP #1, while expand the smart Pico projector market aggressively to acquire new customers to tap into new sectors including TV and gaming. In addition, Coretronic will continue to develop on high resolution/brightness and smart projection with computing edge, and accelerate and extend simulation projector design, customer and application development, and further expanding the application to commercial immersive/metaverse related business. “Expect the overall shipments in 2022 will grow by more than 50% YoY.” said Sarah Lin.
In response to the post-pandemic era and the issue of global carbon reduction, President Sarah Lin said, the Display Business Group (DBG) would actively building a sustainable supply chain, and integrate the internal resources of the Coretronic Group to continue to implement smart manufacturing, smart warehousing and other projects, implement the strategy of cultivating localization while expending globally to enhance the overall competitiveness and consolidate global market share.
* Basic EPS was calculated based on the total weighted average outstanding shares of each quarter (391m shares in 4Q21, 434m shares in 4Q20)
** Basic EPS was calculated based on the total weighted average outstanding share (397m shares in 2021 and 434m shares in 2020)
*** Basic EPS was calculated based on the outstanding share of the balance sheet date (391m share in 2021 and 434m shares in 2020)
For the fiscal year of 2021, Coretronic reported consolidated sales revenue of NT$49,833 million, representing an increase of 17.4% YoY, driven by the increase in revenue of the two major product lines. Consolidated gross margin was 17.5%, similar with 2020. Operating income totaled NT$1,646 million, significant growth of 138% over the same period last year. Net income was reported at NT$2,039 million, and net income attributable to equity holders of the parent company was NT$2,032 million, an increase of 46% and 30% respectively over the same period last year. The basic EPS** for 2021 was NT$5.12. Calculated based on Dec. 31, 2021 outstanding shares, EPS*** was NT$5.2.
“For the fourth quarter of 2021, the overall sales revenue of Energy Saving Business Group was NT$8,754 million, an increase of 17% QoQ and a significant increase of 59% YoY; the shipments were 17.59 million units, an increase of 6% QoQ and 39% YoY. For the fiscal year of 2021, the sales revenue amounted to NT$27,158 million, and shipment was 60.84 million units, up 23% and 33% YoY, respectively, this was mainly due to the growth of TV/PID and NB model shipments driven by the WFH and distance education demand” said Ms. Sarah Lin, President of Coretronic. Looking forward to the first quarter of 2022, Sarah pointed out that due to the off-season and the Lunar New Year holiday effect, the overall shipments of Energy Saving products in the first quarter will decrease by about 10% QoQ. Looking forward to the future development of operations, Sarah expects the overall shipments will grow by 20% this year, mainly due to the increase in TV/PID demand and the new business of NB application. Facing the changing competitive environment and industry development trends, Sarah said that in addition to pure backlight modules/free-form backlight modules and LCD modules, video walls, privacy displays and other system/semi-system products, Coretronic also provide a combined platform with touch modules, mechanism design, electronic solutions, etc., aim to provide customers complete and diversified integrated customized display solutions, with the goal of pursuing higher profits and value, and grow steadily.
The shipment of Visual Solutions products was 246.3K unit in 4Q21, up 17% QoQ and 14% YoY respectively, while the sales revenue was NT$3,498 million, representing a 5% QoQ increase and 15% growth YoY, it was mainly driven by the shipment growth of Large Venue models and embedded solutions. For the fiscal year of 2021, the shipment was 870.5K units, an increase of 12% YoY and sales revenue was NT$12,863 million, benefiting from the growth in shipments of SSI and Large Venue models led ASP increased by 5.4% YoY, and revenue grew steadily by 18% over 2020.” said Ms. Sarah Lin. Although the first quarter is a traditional low season and fewer working days due to Lunar New Year holiday, however, thanks to the mass production of new micro-projector models, Sarah estimates that the overall shipment will grow by 10%~20% QoQ. Looking into future development, Sarah said that Coretronic will continue to leverage the leading SSI technology in mainstream market to consolidate the position of DLP #1, while expand the smart Pico projector market aggressively to acquire new customers to tap into new sectors including TV and gaming. In addition, Coretronic will continue to develop on high resolution/brightness and smart projection with computing edge, and accelerate and extend simulation projector design, customer and application development, and further expanding the application to commercial immersive/metaverse related business. “Expect the overall shipments in 2022 will grow by more than 50% YoY.” said Sarah Lin.
In response to the post-pandemic era and the issue of global carbon reduction, President Sarah Lin said, the Display Business Group (DBG) would actively building a sustainable supply chain, and integrate the internal resources of the Coretronic Group to continue to implement smart manufacturing, smart warehousing and other projects, implement the strategy of cultivating localization while expending globally to enhance the overall competitiveness and consolidate global market share.
* Basic EPS was calculated based on the total weighted average outstanding shares of each quarter (391m shares in 4Q21, 434m shares in 4Q20)
** Basic EPS was calculated based on the total weighted average outstanding share (397m shares in 2021 and 434m shares in 2020)
*** Basic EPS was calculated based on the outstanding share of the balance sheet date (391m share in 2021 and 434m shares in 2020)
