GUC Q1 revenue of NT $5.69 billion, AI chips will drive growth
ASIC chip design services and IP company Creative Electronics (GUC) released financial data for the first quarter of 2024, with a combined revenue of NT $5.69 billion (same below), a decrease of 13% annually and 9.8% quarterly; The gross profit margin is 29.7%, with an annual decrease of 2.2%; After tax net profit was 663 million yuan, a decrease of 29% annually, with an EPS of 4.94 yuan.
Although there was a short-term headwind in the first quarter due to the impact of the product cycle, the legal representative pointed out that with the increase of international major AI chips in the 5nm process, mass production will drive GUC's revenue growth. It is understood that the next generation products of major manufacturers will continue to entrust GUC with ASIC related production work, which is expected to continue to create growth momentum for it.
It is reported that GUC has an internal IP team with deep experience in 2.5D/3D advanced packaging technology, and can provide a complete set of services, from IP (HBM, GLink-2.5D, and GLink-3D) to packaging design (CoWoS, InFO, and SoIC), all of which can provide one-stop solutions.
According to the financial report, GUC's first quarter revenue from commissioned design (NRE) was NT $1.386 billion, a decrease of 7% annually; Turnkey's revenue was 4.164 billion yuan, a decrease of 16% annually. However, compared to the same period last year, the revenue contribution of 5nm and more advanced process wafer foundry in the first quarter will gradually increase in the future with the continuous increase of new product lines.
In addition, the combined contribution of artificial intelligence and network communication application chips to GUC's first quarter revenue was 39%, which is equivalent to the proportion of consumer electronics applications; Industrial applications account for 14%, while other applications account for 8%. The display shows that GUC has certain strength in the fields of AI and network communication applications.
As TSMC continues to evolve towards advanced packaging, GUC believes that the trend of improving computing power through high-end packaging technology remains unchanged, and the concept of Chiplet will become increasingly widespread in the future; GUC's long-term development of APT IP and front-end design will be able to provide customers with more services.
On April 18th, GUC announced that the GLink-3D interface (GUC's 3D grain stack link), specifically designed for TSMC's 3DFabric SoIC-X 3D stack platform, has been validated and improved through the solidification implementation process of the 3DIC interface, and has passed complete chip testing. The first GUC 3D client project, based on fully validated AI/HPC/network applications, has a full range of 3D implementation service processes and has also completed comprehensive chip testing.
It is reported that GUC has an internal IP team with deep experience in 2.5D/3D advanced packaging technology, and can provide a complete set of services, from IP (HBM, GLink-2.5D, and GLink-3D) to packaging design (CoWoS, InFO, and SoIC), all of which can provide one-stop solutions.
According to the financial report, GUC's first quarter revenue from commissioned design (NRE) was NT $1.386 billion, a decrease of 7% annually; Turnkey's revenue was 4.164 billion yuan, a decrease of 16% annually. However, compared to the same period last year, the revenue contribution of 5nm and more advanced process wafer foundry in the first quarter will gradually increase in the future with the continuous increase of new product lines.
In addition, the combined contribution of artificial intelligence and network communication application chips to GUC's first quarter revenue was 39%, which is equivalent to the proportion of consumer electronics applications; Industrial applications account for 14%, while other applications account for 8%. The display shows that GUC has certain strength in the fields of AI and network communication applications.
As TSMC continues to evolve towards advanced packaging, GUC believes that the trend of improving computing power through high-end packaging technology remains unchanged, and the concept of Chiplet will become increasingly widespread in the future; GUC's long-term development of APT IP and front-end design will be able to provide customers with more services.
On April 18th, GUC announced that the GLink-3D interface (GUC's 3D grain stack link), specifically designed for TSMC's 3DFabric SoIC-X 3D stack platform, has been validated and improved through the solidification implementation process of the 3DIC interface, and has passed complete chip testing. The first GUC 3D client project, based on fully validated AI/HPC/network applications, has a full range of 3D implementation service processes and has also completed comprehensive chip testing.