Company: AMKR
Filing Date: 2025-04-29
Form Type: 10-Q
Source: 0001047127-25-000087
Chunk: 120

Company: AMKOR TECHNOLOGY, INC.
Filing Date: 2025-04-29
Form: 10-Q
Item: Part I, Item 1
Chunk 120
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 was primarily focused on investments in advanced packaging and test equipment. 

Net cash provided by operating activities was $24.1 million for the three months ended March 31, 2025 compared to $162.3 million for the three months ended March 31, 2024.  This decrease was primarily due to changes in working capital and lower operating profits.

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Results of Operations

The following table sets forth certain operating data as a percentage of net sales for the periods indicated:

For the Three Months Ended March 31,20252024Net sales100.0 %100.0 %Cost of sales:Materials52.4 %51.9 %Labor12.0 %11.2 %Depreciation10.6 %9.5 %Other manufacturing costs13.1 %12.6 %Gross margin11.9 %14.8 %Selling, general and administrative6.1 %6.6 %Research and development3.5 %2.8 %Operating income2.4 %5.4 %Net income attributable to Amkor1.6 %4.3 %

Net Sales

For the Three Months Ended March 31,20252024Change(In thousands, except percentages)Net sales$1,321,575 $1,365,511 $(43,936)(3.2)%

The decrease in net sales for the three months ended March 31, 2025 compared to the three months ended March 31, 2024 was primarily due to lower sales in our communications end market, partially offset by growth in the consumer and computing end markets.  The communications end market decreased 19% compared to 2024 primarily due to lower supported content in premium tier smartphones.  The consumer and computing end markets grew 23% and 21%, respectively, compared to 2024 primarily driven by strong demand for IoT wearables, AI devices and ARM-based PCs.  

Gross Profit and Gross Margin

For the Three Months Ended March 31,20252024Change(In thousands, except percentages)Gross profit$157,583 $201,643 $(44,060)Gross margin11.9 %14.8 %(2.9)%

Our cost of sales consists principally of materials, labor, depreciation and manufacturing overhead.  Since a substantial portion of the costs at our factories is fixed, there tends to be a strong relationship between