Amkor Technology 2025 Q1 Earnings Net Income Drops 63%

Amkor Technology (AMKR) reported its fiscal 2025 Q1 earnings on April 28, 2025. The company’s Q1 2025 results saw a net income decline of 63.4% to $21.85 million, falling short of expectations. Revenue for the quarter was $1.32 billion, marking a 3.2% year-on-year decrease, but it surpassed analyst estimates of $1.28 billion. Guidance for Q2 2025 revenue was raised to $1.43 billion at the midpoint, exceeding analyst expectations by 5.6%. Despite a challenging quarter, Amkor remains optimistic about its strategic direction.
Revenue
Amkor Technology's total revenue for Q1 2025 stood at $1.32 billion, representing a decline of 3.2% compared to $1.37 billion in Q1 2024. The company noted that communications revenue exceeded expectations, contributing positively to the overall revenue picture.
Earnings/Net Income
Amkor Technology's earnings per share (EPS) for Q1 2025 fell to $0.09, a 62.5% decline from $0.24 in Q1 2024. Net income also decreased significantly to $21.85 million, down 63.4% compared to $59.79 million reported in the same quarter last year.
Price Action
The stock price of Amkor Technology edged up 0.40% during the latest trading day, jumped 10.01% during the most recent full trading week, and tumbled 9.71% month-to-date.
Post-Earnings Price Action Review
Historically, Amkor Technology (AMKR) experiences positive short-to-medium-term gains following earnings report disclosures. The stock's 3-day win rate stands at 53.11%, the 10-day win rate at 50.48%, and the 30-day win rate at 53.51%. This indicates that the stock usually performs well immediately after earnings announcements. The maximum return observed was 8.04% over 30 days, suggesting potential for notable price appreciation post-earnings.
CEO Commentary
Giel Rutten - Chief Executive Officer
"Amkor delivered revenue of $1.32 billion in the first quarter at the upper end of our guidance. Communications revenue exceeded our expectations, while other end markets performed as anticipated. We are closely monitoring the tariffs and trade regulations, but our global manufacturing operations are largely unaffected. Our strategic framework is based on three pillars: strengthening our technology leadership, expanding our geographic footprint, and partnering with lead customers in growth markets. The growing complexity of devices requires a comprehensive testing strategy, and we remain confident in our strategy to achieve long-term profitable growth."
Guidance
"We expect revenue between $1.375 billion and $1.475 billion for the second quarter, representing growth of 8% sequentially at the midpoint. Gross margin is expected to be between 11.5% and 13.5%. Operating expenses are projected at around $125 million, with second quarter net income expected between $17 million and $57 million, resulting in EPS between $0.07 and $0.23. Our CapEx forecast for 2025 remains unchanged at $850 million."
Additional News
Amkor Technology has announced a strategic partnership with a leading semiconductor company to advance its capabilities in AI-driven semiconductor packaging solutions. The partnership aims to enhance Amkor's technological leadership and broaden its footprint in emerging markets. Additionally, Amkor's Board of Directors has approved a quarterly dividend increase and a special cash dividend, reflecting confidence in long-term growth. The company is also expanding its manufacturing operations in Vietnam, aligning with its strategy to bolster global manufacturing capabilities and address industry megatrends.