Himax (HIMX) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Fri, May 8, 2026 astatine 10:22 AM CDT 27 min read

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Date

Thursday, May 7, 2026 astatine 8 a.m. ET

Call participants

• Chief Executive Officer — Jordan Wu

• Chief Financial Officer — Karen Tiao

Full Conference Call Transcript

On today's call, I volition archetypal reappraisal Himax's consolidated fiscal show for the archetypal 4th 2026, followed by our 2nd 4th outlook. Jordan volition past springiness an update connected the presumption of our concern and aft which we volition instrumentality questions. You tin taxable your questions online done the webcast oregon by phone. We volition reappraisal our financials connected an IFRS basis. Despite the emblematic seasonal slowdown during the Lunar New Year holidays, we are pleased to study that our Q1 nett exceeded the guidance scope announced connected February 12, 2026, portion some gross and gross borderline were astatine the precocious extremity of the projected range.

First 4th revenues registered $199.0 million, representing a flimsy sequential diminution of 2.0%, reaching the precocious extremity of our guidance scope of a diminution of 2.0% to 6.0%. Gross borderline was 30.4%, besides astatine the precocious extremity of our guidance of level to somewhat down from 30.4% successful the erstwhile quarter. Q1 profits per diluted ADS was $0.046, exceeding the guidance scope of $0.02 to $0.04. Revenues from ample show operator came successful astatine $24.2 million, representing an summation of 11.7% from the erstwhile quarter, outperforming our guidance scope of a single-digit summation sequentially. This was chiefly driven by better-than-expected restocking of high-end TV ICs by a starring sheet maker.

Sales of ample sheet operator ICs accounted for 12.2% of full revenues for the quarter, compared to 10.7% past 4th and 11.6% a twelvemonth ago. Revenue from the tiny and medium-sized show operator conception totaled $135.8 million, reflecting a flimsy diminution of 2.4% sequentially amid a emblematic debased season. In enactment with guidance, Q1 automotive operator sales, including some accepted DDIC and TDDI, declined treble digits sequentially, reflecting Lunar New Year seasonality, customers' inventory power pursuing 2 consecutive quarters of restocking, and the tapering of automotive subsidy programs successful large markets including China and the U.S.

In contrast, revenues for smartphone, covering some LCD and OLED products, accrued sequentially chiefly owed to the caller OLED solutions that began wide accumulation with a top-tier sheet shaper for a starring smartphone brand's mainstream model. Q1 tablet IC income besides accrued sequentially, driven by renewed request for mainstream models from starring lawsuit pursuing respective quarters of softness, arsenic good arsenic the commencement of IC shipments for a customer's caller premium OLED tablet. The tiny and medium-sized operator IC conception accounted for 68.2% of full income for the quarter, compared to 68.5% successful the erstwhile 4th and 70.0% a twelvemonth ago.