ASE Technology Posts NT$173.7B Q1 Revenue (+17.2%) and NT$14.1B Income
ASE Technology posted NT$173,662 million in 1Q26 net revenues, up 17.2% year-over-year, and reported NT$14,148 million net income, compared with NT$7,554 million in 1Q25. Basic EPS rose to NT$3.24, while gross margin improved to 20.1% and operating margin reached 10.1%.
1. Q1 2026 Financial Results
ASE Technology recorded NT$173,662 million in net revenues for 1Q26, up 17.2% year-over-year and down 2.4% sequentially. Net income attributable to shareholders reached NT$14,148 million, compared with NT$7,554 million in 1Q25, while basic earnings per share rose to NT$3.24 and diluted EPS to NT$3.08.
2. Segment Performance
Packaging operations comprised 51% of net revenues, testing 12%, EMS 36% and other services 1%. The ATM segment posted NT$112,434 million in revenues, up 29.7% year-over-year and 2.5% sequentially, while EMS revenues were NT$61,875 million, down 0.7% year-over-year and 10.3% sequentially.
3. Costs, Margins and Income Drivers
Gross margin improved by 0.6 percentage points to 20.1% in 1Q26 from 19.5% in 4Q25, driving an operating margin of 10.1%. Raw materials accounted for 46% of revenues, labor 12% and depreciation and rental expenses 10%, supported by NT$838 million in FX hedging gains and NT$728 million from equity-method investments.
4. Capital Expenditures and Liquidity Position
Equipment capital expenditures totalled US$1,003 million, including US$636 million for packaging and US$326 million for testing. Unused credit lines stood at NT$419,386 million as of March 31, with a current ratio of 1.15 and net debt-to-equity ratio of 0.40.