Company: AMKR
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001047127-25-000030
Chunk: 14

Company: AMKOR TECHNOLOGY, INC.
Filing Date: 2025-02-21
Form: 10-K
Item: Item 1
Chunk 14
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.  Together, these direct and extended support teams deliver an array of services to our customers. 

SEASONALITY

Our sales have generally been higher in the second half of the year than in the first half due to consumer buying patterns in the U.S., Europe and Asia and the timing of flagship mobile device launches.  In addition, semiconductor companies generally reduce their production during the holidays at the end of December, which generally results in a decrease in packaging and test services during the first quarter.  General economic conditions, changes in our product mix or overall demand in any of our end markets can impact our seasonality.

CUSTOMERS

Our customers include many of the largest semiconductor companies in the world.  Our ten largest customers accounted for 72% of our net sales in 2024.  Direct sales to Apple and Qualcomm accounted for 30.8% and 10.2% of our net sales, respectively, for the year ended December 31, 2024.

MATERIALS AND EQUIPMENT

Materials

Our materials are used primarily for packaging activities.  Our packaging operations depend upon obtaining adequate supplies of materials on a timely basis.  The principal materials used in our packaging process are laminate substrates, ICs, capacitors, leadframes and gold wire.  The silicon wafer is generally consigned from our customer.  We generally do not take ownership of the customer consigned wafer, and title and risk of loss remains with the customer for these materials.  Test materials constitute a very small portion of our total test cost.  Generally, we purchase materials based on Amkor’s commitments to customer forecasts, and our customers are generally responsible for any unused materials we purchase based on such commitments. 

We obtain the materials required for packaging services from various suppliers and source most of our materials, including critical materials such as leadframes, laminate substrates and gold wire, from a limited group of suppliers.  We work closely with our primary material suppliers to ensure consistent quality, availability and timely delivery.  We also negotiate worldwide pricing agreements with our major suppliers to take advantage of the scale of our operations.

Equipment

Our ability to meet the changing demand from our customers for manufacturing capacity depends upon obtaining packaging and test equipment in a timely manner.  We work closely with our main equipment suppliers to coordinate the ordering and delivery of equipment to meet our expected capacity needs.

The primary types of equipment used in providing our packaging services are wirebonders, die bonders, chip shooters and die attach.  In addition, we maintain