Overview

• Himax Q3 2025 revenue beats analyst expectations, despite a 7.3% sequential decline

• Company's Q3 gross margin was 30.2%

• Q3 after-tax profit per diluted ADS exceeds guidance, indicating stronger-than-expected performance

Outlook

• Himax sees Q4 2025 revenue flat QoQ, gross margin flat to slightly up

• Profit per diluted ADS for Q4 2025 expected to be 2.0 to 4.0 cents

• Himax optimistic about automotive business outlook for next few years

Result Drivers

• AUTOMOTIVE IC AND TCON SALES - Better-than-expected sales in automotive IC and Tcon product lines drove Q3 revenue performance

• AUTOMOTIVE BUSINESS OUTLOOK - Himax optimistic about automotive business due to advanced technology offerings and customer coverage

• EMERGING TECHNOLOGIES - Focus on ultralow power AI and smart glasses as future growth drivers

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductors peer group is "buy"

• Wall Street's median 12-month price target for Himax Technologies Inc is $9.15, about 0.8% above its November 5 closing price of $9.08

• The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 16 three months ago

Press Release: ID:nGNX6qQlcs

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)