AU Optronics held a corporate briefing today to announce the consolidated financial statements for the second quarter of 2021. Total consolidated revenue in the second quarter of 2021 was NT$95.66 billion, an increase of 15.3% from the first quarter of 2021. The net profit attributable to the owners of the parent company in the second quarter of 2021 was NT$19.53 billion.
The total panel shipment area in the second quarter of 2021 reached 6.403 million square meters, an increase of 0.8% compared with the first quarter of 2021 and an increase of 0.2% compared with the same period last year.
Summary of AU Optronics' consolidated financial statements for the second quarter of 2021
Revenue was NT$95.66 billion
Operating net profit was NT$20.29 billion
Net profit attributable to the parent company was NT$19.53 billion
Gross profit margin is 28.7%
Operating net profit margin is 21.2%<
br>
Panel manufacturer AUO benefited from rising panel prices and volume in the second quarter, making a huge profit of NT$19.5 billion in a single quarter. Looking to the third quarter, AUO expects that the capacity utilization rate is expected to maintain a high level of 95% in the second quarter, and the overall average panel price will continue to increase by 5%. Shipments are expected to increase by about 2-4% as IT and commercial demand recover.
Chairman Peng Shuanglang said that in the second quarter, the industry faced challenges such as the epidemic, shortage of materials, and foreign exchange differences. However, thanks to the continued strong demand for panels in various applications, and the continued rise in panel prices, the company also improved its product mix, boosting single-quarter revenue and substantial growth in profit performance.
Looking to the future, Peng Shuanglang believes that the noise in market supply and demand comes from three major aspects, including the cooling of stay-at-home economic demand, strong price increases, and the cooling of the epidemic in some areas and the lifting of lockdowns. However, from the demand side, brand manufacturers are gradually focusing on large-size high-end TVs, which is beneficial to AUO, which focuses on the large-size high-end market. The overall channel inventory remains healthy.
Peng Shuanglang further pointed out that TV demand will remain strong in the second half of the year, and only brand manufacturers will adjust their size strategies.
, IT panels have benefited from the epidemic, which has given rise to mixed work and entertainment models. In addition, after countries/regions are lifted from lockdown, it is expected that enterprises and governments will resume equipment purchases. Others, including retail, industrial control, PID, commercial, and medical, are also expected to gradually recover.
On the supply side, Peng Shuanglang said that the delayed withdrawal of Korean factories and the expansion of production capacity of mainland peers have limited impact on the industry based on actual production capacity figures. It is expected that new production capacity in the future will not be as large and concentrated as in the past. In addition, the shortage of component materials is not expected to be alleviated in 2-3 years, which will also affect the actual development process of new production capacity in the industry.
Peng Shuanglang is still optimistic about operations in the second half of the year, and expects industry supply and demand to remain stable. He emphasizes that AUO will maintain stable operations and gradually launch specific action plans for dual-axis transformation, aiming to become a leading manufacturer of display technology combined with AIoT solutions.
ANNA