AMKOR TECHNOLOGY, INC.
Selected Operating Data
Since the first quarter 2013, we have reported sales data for our packaging services by the following categories: flip chip and wafer-level processing and wirebond. We have also provided quarterly and annual packaging services sales and packaged units for 2011 and 2012 under these revised sales reporting categories at the Investor Relations section of our website at www.amkor.com.
Q3 2013 | Q2 2013 | Q3 2012 | ||||||||||||||||
Sales Data: | ||||||||||||||||||
Packaging services (in millions): | ||||||||||||||||||
Flip chip and wafer-level processing | $ | 304 | $ | 339 | $ | 295 | ||||||||||||
Wirebond | 351 | 308 | 321 | |||||||||||||||
Packaging services | 655 | 647 | 616 | |||||||||||||||
Test services | 113 | 99 | 79 | |||||||||||||||
Total sales | $ | 768 | $ | 746 | $ | 695 | ||||||||||||
Packaging services: | ||||||||||||||||||
Flip chip and wafer-level processing | 39 | % | 46 | % | 43 | % | ||||||||||||
Wirebond | 46 | % | 41 | % | 46 | % | ||||||||||||
Packaging services | 85 | % | 87 | % | 89 | % | ||||||||||||
Test services | 15 | % | 13 | % | 11 | % | ||||||||||||
Total sales | 100 | % | 100 | % | 100 | % | ||||||||||||
Packaged units (in millions): | ||||||||||||||||||
Flip chip and wafer-level processing | 746 | 704 | 447 | |||||||||||||||
Wirebond | 3,101 | 1,976 | 1,753 | |||||||||||||||
Total packaged units | 3,847 | 2,680 | 2,200 | |||||||||||||||
Net sales from top ten customers | 63 | % | 63 | % | 62 | % | ||||||||||||
End Market Distribution Data (an approximation including representative devices and applications based on a sampling of our largest customers; prior periods have been revised for a refinement of our classifications) : | ||||||||||||||||||
Communications (handsets, tablets, wireless LAN, handheld devices) | 53 | % | 58 | % | 44 | % | ||||||||||||
Consumer (gaming, television, set top boxes, portable media, digital cameras) | 15 | % | 14 | % | 24 | % | ||||||||||||
Computing (desk tops, PCs, hard disk drives, servers, displays, printers, peripherals) | 11 | % | 9 | % | 11 | % | ||||||||||||
Networking (servers, routers, switches) | 11 | % | 10 | % | 12 | % | ||||||||||||
Other (automotive, industrial) | 10 | % | 9 | % | 9 | % | ||||||||||||
Total | 100 | % | 100 | % | 100 | % | ||||||||||||
Gross Margin Data: | ||||||||||||||||||
Net sales | 100.0 | % | 100.0 | % | 100.0 | % | ||||||||||||
Cost of sales: | ||||||||||||||||||
Materials | 39.0 | % | 41.7 | % | 42.8 | % | ||||||||||||
Labor | 14.1 | % | 14.0 | % | 14.8 | % | ||||||||||||
Other manufacturing | 27.2 | % | 25.8 | % | 25.6 | % | ||||||||||||
Loss contingency | 1.3 | % | — | % | — |
% |
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Gross margin | 18.4 | % | 18.5 | % | 16.8 | % | ||||||||||||
AMKOR TECHNOLOGY, INC.
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Q3 2013 | Q2 2013 | Q3 2012 | |||||||||||||
(In millions, except per share data) | |||||||||||||||
Capital Investment Data: | |||||||||||||||
Property, plant and equipment additions | $ | 97 | $ | 159 | $ | 173 | |||||||||
Net change in related accounts payable and deposits |
82 |
(49 | ) | (25 | ) | ||||||||||
Purchases of property, plant and equipment | $ |
179 |
$ | 110 | $ | 148 | |||||||||
Depreciation and amortization | $ | 106 | $ | 99 | $ | 94 | |||||||||
Free Cash Flow Data: | |||||||||||||||
Net cash provided by operating activities | $ | 174 | $ | 102 | $ | 142 | |||||||||
Less purchases of property, plant and equipment | (179 | ) | (110 | ) | (148 | ) | |||||||||
Free cash flow (1) | $ | (5 | ) | $ | (8 | ) | $ | (6 | ) | ||||||
Earnings per Share Data: | |||||||||||||||
Net income attributable to Amkor - basic | $ | 25 | $ | 30 | $ | 22 | |||||||||
Adjustment for dilutive securities on net income: | |||||||||||||||
Interest on 6.0% convertible notes due 2014, net of tax | 1 | 3 | 4 | ||||||||||||
Net income attributable to Amkor - diluted | $ | 26 | $ | 33 | $ | 26 | |||||||||
Weighted average shares outstanding - basic | 216 | 161 | 154 | ||||||||||||
Effect of dilutive securities: | |||||||||||||||
6.0% convertible notes due 2014 | 19 | 74 | 83 | ||||||||||||
Weighted average shares outstanding - diluted | 235 | 235 | 237 | ||||||||||||
Net income attributable to Amkor per common share: | |||||||||||||||
Basic | $ | 0.12 | $ | 0.18 | $ | 0.14 | |||||||||
Diluted | $ | 0.11 | $ | 0.14 | $ | 0.11 |
(1) | We define free cash flow as net cash provided by operating activities less purchases of property, plant and equipment. Free cash flow is not defined by U.S. generally accepted accounting principles ("U.S. GAAP"). We believe free cash flow to be relevant and useful information to our investors because it provides them with additional information in assessing our liquidity, capital resources and financial operating results. Our management uses free cash flow in evaluating our liquidity, our ability to service debt and our ability to fund capital additions. However, free cash flow has certain limitations, including that it does not represent the residual cash flow available for discretionary expenditures since other, non-discretionary expenditures, such as mandatory debt service, are not deducted from the measure. The amount of mandatory versus discretionary expenditures can vary significantly between periods. This measure should be considered in addition to, and not as a substitute for, or superior to, other measures of liquidity or financial performance prepared in accordance with U.S. GAAP, such as net cash provided by operating activities. Furthermore, our definition of free cash flow may not be comparable to similarly titled measures reported by other companies. | ||
AMKOR TECHNOLOGY, INC.