Advantech 2012 Financial Results 2013,02,27 By Eric Chen, AVP of Finance & IT [email protected] 1 Y2012 Financial Overview Consolidate Y2012 NT$M Net Sales Y2010 23,031 Y2011 26,434 YoY 1Q 2Q 3Q *4Q 6,267 7,243 7,060 6,981 *Year 27,552 4% 50% 15% -4% 4% 6% 11% 4% Gross Profit % 40.0% 39.8% 39.8% 40.0% 39.7% 39.2% 39.7% -0.1% Gross Profit 9,212 10,525 2,495 2,898 2,802 2,736 10,931 4% Operating Expense 5,741 6,498 1,674 1,749 1,820 1,825 7,069 9% Operating Income 3,472 4,027 821 1,149 982 911 3,862 -4% 185 318 78 26 146 117 367 15% 16.1% 17.8% 17.6% -0.2% YoY Growth% Non-Operating Income Effective Tax Rate Net Profit AT 16.5% 16.8% 18.0% 19.1% 3,067 3,571 750 977 926 832 3,485 -2% EPS(NT$) 6.06 6.44 1.35 1.75 1.65 1.48 6.22 -3% ROE 22.9 24.4 *un-audited 20.9 Y2012 Sales By Region/Sales Force Local Sales: US 921M, +2% USD$ M Y2011 Y2012 GR% % North America 232 274 +18% 30% Europe/A-DLoG 152 136 -10% 15% Greater China 251 253 +1% 27% Asia/Intercon. 121 135 +12% 15% DMS/E2E 100 79 -21% 8% Affiliates/Others 43 900 44 921 +0% +2% 5% 100% Total DMS/E2E 8%, -21% Affiliates 5%, +0% North America 30%, +18% Asia/Intercon. 15%, +12% Greater China 27%, +1% % of Sales, YoY Growth Europe/A-DLoG 15%, -10% Y2012 Sales By Product - 1/2 Local Sales: US 921M, GR:+2% Services Automation US 82.0M 9%,-4% Embedded System 50% US 129.5M 14%,+5% US 462M,-1% Automation US 136.6M 15%,-6% Global Services US 114.3M 12%,+0% % of Sales, YoY Growth Y2012 Sales By Product - 2/2 Local Sales: US 921M, GR:+2% NC-DMS 50% US 121.5M 13%,-5% AC-DMS US 458M,+6% US 122.7M 13%,-1% Embedded Core US 214.7M 23%,+20% % of Sales, YoY Growth Y2012 Working Capital NT M 2010 2011 Year Year 2012 1Q End 2Q End 3Q End *4Q End Cash Position 2,288 3,397 4,596 5,718 3,491 5,022 Accounts Receivable 3,338 3,808 4,164 4,863 4,883 4,274 47 53 59 65 61 55 3,531 3,895 3,850 3,998 4,459 3,919 83 90 92 89 95 83 1,759 1,710 2,353 2,873 2,828 2,312 41 46 56 64 59 49 DSO(Days) Inventory DHO(Days) Accounts Payable Days *un-audited