Overview

• Taiwan semiconductor service provider's Q4 revenue rose 9.6% yr/yr

• Net income for Q4 increased significantly compared to last year

• Company's Q4 gross margin improved to 19.5%

Outlook

• Company did not provide specific guidance for future quarters or full year

Result Drivers

• ATM SEGMENT GROWTH - Net revenues from ATM operations rose 24.2% yr/yr and 9.4% sequentially, contributing significantly to overall revenue growth

• GROSS MARGIN IMPROVEMENT - Gross margin increased by 2.4 percentage points to 19.5% in 4Q25, driven by revenue growth and cost control

• EMS REVENUE DECLINE - EMS net revenues fell 7.9% yr/yr, but cost management helped maintain a stable gross margin

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductor equipment & testing peer group is "buy"

• Wall Street's median 12-month price target for ASE Technology Holding Co Ltd is $19.30, about 1.6% below its February 4 closing price of $18.99

• The stock recently traded at 23 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nPn6yK6Xsa

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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.)