ASE Technology Holding Reports Q2 2025 Earnings Highlights

Author: Henry Turner Updated: 07-31-2025 03:28 AM

ASE Technology Holding Co., Ltd. Financial Overview

ASE Technology Holding Co., Ltd. (TWSE: 3711, ASX) is a frontrunner in semiconductor assembly and testing services. In its recent financial update for the second quarter of 2025 (2Q25), ASE reported impressive results, reflecting a solid growth trajectory despite some fluctuations in net income. The company achieved net revenues of NT$150,750 million, marking a 7.5% increase year-over-year and a 1.8% uptick from the previous quarter.

Operational Performance Highlights

During 2Q25, ASE's operational metrics showcased a well-balanced growth across its diverse service lines:

Approximately 49% of revenues stemmed from packaging operations, while testing operations contributed 11%.
Electronic Manufacturing Services (EMS) accounted for 39% of total revenues.
The company reported a cost of revenues amounting to NT$125,063 million, showcasing a steady increase from the previous quarter's NT$123,260 million.
Raw material costs represented 47% of total net revenues, highlighting the importance of material management in their operations.
ASE's gross margin increased slightly to 17.0% from 16.8% in the preceding quarter.
Operating margin also improved to 6.8% from 6.5% in the first quarter of 2025.

Net Income and Earnings per Share

For 2Q25, ASE Technology's net income attributable to shareholders reached NT$7,521 million, although this is a decrease from NT$7,778 million in the same quarter of 2024. Basic earnings per share stood at NT$1.74, while diluted earnings per share were reported at NT$1.70. The earnings per share figures are essential for investors, as they reflect the company's performance on a per-share basis.

Financial Activity and Liquidity

ASE's financial activities reflect significant capital expenditure plans:

The company invested US$992 million in equipment capital expenditures in 2Q25.
NT$355,299 million remained in unused credit lines, ensuring adequate liquidity for future operations and investments.
The current ratio was reported at 1.02, and the net debt to equity ratio stood at 0.52, indicating a strong financial position.

Customer Dynamics and Market Position

ASE’s customer base consists of a diversified portfolio of clients:

The top five customers contributed approximately 43% of total net revenues in 2Q25, showing a slight decrease from 44% in the previous quarter.
Integrated Device Manufacturers (IDMs) represented 35% of total net revenues.

Investment and Operational Strategies

ASE has positioned itself strategically with an array of innovative manufacturing solutions and advanced technology initiatives. These efforts are designed to enhance operational efficiencies while meeting the growing demand in the semiconductor market.

Frequent Questions

What were the main financial results for ASE Technology in Q2 2025?

ASE Technology reported net revenues of NT$150,750 million, with a net income of NT$7,521 million.

How did ASE's earnings per share change in Q2 2025?

The basic earnings per share were NT$1.74, and diluted earnings per share were NT$1.70 for Q2 2025.

What were the primary segments of ASE's revenue?

ASE's revenue segments included packaging operations (49%), testing operations (11%), and EMS operations (39%).

How much did ASE invest in capital expenditures in Q2 2025?

ASE invested US$992 million in equipment capital expenditures during the second quarter of 2025.

What is the current state of ASE's liquidity?

ASE reported a current ratio of 1.02 and a net debt to equity ratio of 0.52, indicating a solid liquidity position.

About The Author

Hi there, As a writer and financial specialist, Henry Turner is passionate about guiding people through the complex world of finance. Having worked in finance for many years, I am an expert at simplifying difficult financial ideas into understandable, useful insights for my blog and articles. My goal is to arm you with the confidence and information you need to make wise financial choices.

Writing for a number of financial blogs has allowed me to interact with readers from novice investors looking for fresh ideas to seasoned investors starting their financial journeys. My mission is to enable everyone to understand and access finance, so enabling you to confidently and clearly reach your financial goals. I appreciate you traveling with me toward success and financial literacy.

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