1.Date of occurrence of the event:2026/08/11
2.Company name:WPG Holdings Limited
3.Relationship to the Company (please enter ”head office” or
”subsidiaries”):head office
4.Reciprocal shareholding ratios:N/A
5.Cause of occurrence:N/A
6.Countermeasures:N/A
7.Any other matters that need to be specified (the information disclosure
also meets the requirements of Article 7, subparagraph 9 of the Securities
and Exchange Act Enforcement Rules, which brings forth a significant impact
on shareholders rights or the price of the securities on public companies.):
WPG reported second-quarter revenue, operating profit, net income and EPS,
all exceeding its financial guidance.
Second-quarter revenue reached NT$456.211 billion, up 44.1%
quarter-over-quarter and 82.2% year-over-year. Driven by strong shipment
momentum and continued optimization of the product mix, operating profit
reached NT$11.954 billion, up 41.1% quarter-over-quarter and 143.7%
year-over-year, with an operating margin of 2.62%. Supported by core
business momentum, quarterly net income surpassed NT$8 billion for the
first time, reaching NT$8.62 billion, up 55.4% quarter-over-quarter and
294.4% year-over-year, with EPS of NT$5.12. For the first half of 2026,
cumulative revenue reached NT$772.7 billion, up 54.8% year-over-year. Both
operating income and net income exceeded full-year 2025 levels, with
operating income surpassing NT$20 billion for the first time to reach
NT$20.425 billion, up 122.2% year-over-year, and net income reaching
NT$14.169 billion, up 246.9% year-over-year, with EPS of NT$8.42.
Second-quarter return on equity (ROE) and return on working capital
(ROWC) were 38.5% and 16.1%, respectively.
The strong performance was primarily driven by robust demand across power
management, servers, networking equipment, energy storage systems and
high-density connectivity components. Demand for automotive electronics
and industrial control applications also continued to progress steadily.
Meanwhile, demand for high-value-added services, including smart warehouse
management and information system integration, expanded in parallel. The
simultaneous advancement of diverse end-market applications and software
and hardware services across markets has created broad-based structural
growth momentum.
For the third quarter of 2026, based on an exchange rate assumption of
NT$32.2 to the U.S. dollar, WPG forecasts revenue of NT$460 billion to
NT$500 billion, gross margin of 4.35% to 4.55%, operating margin of 2.78%
to 2.91%, net income of NT$9.502 billion to NT$10.718 billion, and EPS of
NT$5.45 to NT$6.15.
To support its expanding operational scale and future funding needs, the
Board of Directors resolved today to raise capital through the issuance of
Convertible Bond (CB). Having assessed that CB offer lower potential
equity dilution than Global Depositary Receipts for cash (GDR), while
providing financing benefits and greater flexibility in capital structure.
The financing will support operational needs while taking into consideration
the interests of existing shareholders. Accordingly, the Board resolved to
issue the fourth domestic unsecured convertible corporate bonds.
WPG Holdings will provide a detailed explanation of its second-quarter 2026
results and third-quarter outlook in its investor conference on August 18,
2026.