WT Microelectronics (3036 TT) held the Investor Conference today to update the unaudited financial results of the second quarter of 2018 and business outlook. Consolidated revenue for the second quarter of 2018 was NT$53.2bn, up 7% QoQ and 32% YoY. Operating profit margin continued to improve to 2.31%, better than 2.25% for the second quarter of 2017. Net profit was NT$620mn, up 7% QoQ and 14% YoY, and weighted average EPS was NT$1.12. For the revenue breakdown by applications, Communication sector decreased QoQ, due to the final stage of smartphone customer’ inventory adjustment. All other applications increased double digit QoQ, due mainly to seasonal demand.

For the first half of 2018, consolidated revenue was NT$102.9bn, up 31% YoY. Operating profit margin continued to improve to 2.21%, better than 2.19% for the first half of 2017. Operating profit increased 31% YoY to NT$2,269mn, net profit grew 14% YoY to NT$1,200mn, and weighted average EPS was NT$2.17.

For the outlook of the third quarter of 2018, revenue is expected to be between NT$74bn to NT$78bn, up 46% to 53% YoY, and operating profit margin is expected to be 1.9% to 2.1%. Communication segment is expected to grow strongest QoQ and YoY, thanks to order pull-in from smartphone customer and share gain. All other applications are expected to grow single digit QoQ and double digit YoY, due to stable demand growth.

For the future outlook, WT Microelectronics maintains optimistic view on business outlook and forecasts continued strong growth, due to aggressive market share gain in the trend of semiconductor suppliers’ consolidation. In addition, WT continues to pursue operation efficiency improvement by deep operation management and operating expense control in order to reduce the impact of financial cost increase and target long-term stable earnings growth and shareholder interest maximum.