Wah Lee Industrial Corp. (3010.TT) announced its cumulative 1-3Q2022 consolidated financials after board approval. Despite continuous Sino-American chip technology competition, rising interest rates, and slowing end consumer demands, Wah Lee’s profit still posted a decent growth.
With the aids from semiconductor high end manufacturing processes, EV, and 5G base stations and communications, Wah Lee’s 3Q22 consolidated sales reached NT$19.15 billion, setting 2nd highest quarterly sales. 3Q22 sales QoQ and YoY growth are both positive. 3Q22 net profit after tax and minority reached NT$737 million, a growth of 12.27% over that of 2Q22. 3Q22 EPS stood at NT$3.12 per share, well above investors’ expectations. 1-3Q22 consolidated sales reached NT$57 billion, also a record high and a growth of 9.8% YoY. Cumulative 1-3Q22 net profit was NT$2.16 billion, still a YoY growth of 4% and the cumulative EPS was NT$9.16 in spite of the downward economic pressures.
Wah Lee’s semiconductor raw material sales are critical to the advanced processes. Photoresists, specialty gases, and CMP slurry helped the semi sales post double-digit growth so far this year.
EVs are more and more widely adopted across all countries nowadays. Wah Lee has positioned itself well in the supply of upstream raw materials for the rechargeable batteries. In China, which is already the largest EV market, Wah Lee supplies upstream raw materials to various battery makers. In Taiwan, separator films from a Japanese supplier are catered to the largest MnNiCo ternary battery maker.