AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today held its investor conference and announced its unaudited consolidated financial results for the fourth quarter and fiscal year of 2015(1).
Consolidated revenues in the fourth quarter of 2015 were NT$83.44 billion, down 6.6% from the previous quarter. Gross profit was NT$4.49 billion, with gross margin of 5.4%. Operating loss was NT$1.17 billion, with the operating margin of -1.4%. AUO’s net loss for the fourth quarter of 2015 was NT$8.24 billion. Net loss attributable to owners of the Company was NT$8.18 billion, with a basic EPS(2) of -NT$0.85.
For the fiscal year of 2015, unaudited consolidated revenues totaled NT$360.35 billion, a decrease of 11.7% year-over-year. Net profit was NT$4.84 billion, with a basic EPS(2) of NT$0.51.
In the fourth quarter of 2015, large-sized panel(3) shipments reached around 27.61 million units, increased by 4.8% quarter-over-quarter. Shipments of small-and-medium-sized panels in the same quarter exceeded 33.41 million units, down by 31.4% quarter-over-quarter. For the full year of 2015, large-sized panel shipments exceeded 105.65 million units, a decrease of 9.6% from the previous year. Small and medium-sized panel shipments totaled around 172.81 million units, up by 1.2% year-over-year.
AUO's unaudited consolidated results for the fourth quarter of 2015 were highlighted as below:
- Revenues of NT$83.44 billion
- Net loss of NT$8.24 billion
- Basic EPS(2) of -NT$0.85
- Gross margin was 5.4%
- Operating margin was -1.4%
- EBITDA(4) margin was 11.2%
- Operating margin of Display Segment was -1.0%
- EBITDA(4) margin of Display Segment was 11.8%
AUO's unaudited consolidated results for the fiscal year of 2015 were highlighted as below:
- Revenues of NT$360.35 billion
- Net profit of NT$4.84 billion
- Basic EPS(2) of NT$0.51
- Gross margin was 11.1%
- Operating margin was 4.9%
- EBITDA(4) margin was 18.1%
- Operating margin of Display Segment was 5.8%
- EBITDA(4) margin of Display Segment was 19.2%
Looking back to the fourth quarter, the Company's loss came mainly from non-operating items. Among which, M.Setek, a subsidiary of AUO, conducted a one-time impairment of all of its plants and equipments associated with polysilicon production and recognized associated asset impairment charge of around NT$6.75 billion. For the core operations, as the fourth quarter was the traditional slow season, AUO’s revenue decreased by 6.6% from the previous quarter, and operating loss came in at NT$1.17 billion. Nevertheless, in terms of the full year of 2015, AUO tackled the challenges posed by macroeconomic uncertainties and was able to perform quite well by progressing firmly and steadily. AUO's operating and EBITDA(4) margins for the year of 2015 remained at 4.9% and 18.1%, respectively. Furthermore, the Company's interest-bearing debt level has been significantly decreased by NT$33.45 billion in 2015. As of the end of the fourth quarter, the Company's net debt to equity ratio was lowered to 14.8%, again the lowest since 2009.
Over the past few years, AUO has proactively adjusted its business structure to substantially lower its financial burdens and to significantly improve its soundness of the operations. Looking forward to the future, by leveraging its solid foundations, the Company hopes to be more well prepared in the face of the fierce industry competition. Meanwhile, led by its professional management team, the Company looks forward to extending its strengths and developing new growth momentum to elevate its operating performance.
(1) All financial information was unaudited and was prepared by the Company in accordance with Taiwan IFRS.
(2) Basic EPS in the fourth quarter and the fiscal year of 2015 were calculated based on the weighted average outstanding shares of the fiscal year of 2015 (9,624 million shares).
(3) Large size refers to panels that are 10 inches and above in diagonal measurement.
(4) EBITDA = Operating Profit + D&A, that is, operating profit before depreciation and amortization.