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Parade Technologies Ltd

Parade Technologies Reports First Quarter 2025 Financial Results

Financial Highlights:

  • Q125 consolidated revenue US$126.23 million, compared with US$121.28 million in the year-ago quarter
  • Q125 consolidated net income US$20.19 million; Basic and Fully diluted after-tax EPS US$0.25 (NT$8.38) and US$0.25 (NT$8.33), respectively

SAN JOSE, Calif.--(BUSINESS WIRE)--Apr. 23, 2025-- Parade Technologies, Ltd. (Taipei Exchange: 4966.TWO), a leading high-speed interface IC supplier, today announced financial results for the first quarter fiscal year 2025 ended March 31, 2025, and provided guidance for the second quarter of fiscal year 2025.

Consolidated revenue was US$126.23 million and consolidated net income was US$20.19 million. Basic and fully diluted after-tax earnings per share (“EPS”) were US$0.25 (NT$8.38) and US$0.25 (NT$8.33), respectively. These results compared to consolidated revenue US$121.28 million and consolidated net income of US$18.21 million, or US$0.23 (NT$7.21) and US$0.23 (NT$7.17) per basic and fully diluted share, in the year-ago quarter.

In US dollars, the first quarter of 2025 consolidated revenue decreased 0.93% sequentially and was up 4.08% year-over-year.

The gross profit in the first quarter of 2025 was US$53.72 million, representing a decrease of 0.07% from the previous quarter and an increase of 3.40% compared to the same quarter of last year.

On March 9, 2025, Parade and Spectra7, a Canadian analog semiconductor company, announced that they have entered into a definitive agreement under which Parade will acquire the majority of Spectra7’s assets. These assets include intellectual property (IP), products, designs, inventory, and other specified items. With the purchase of the majority of Spectra7’s assets, Parade is positioned to further strengthen its global leadership in high-speed connectivity solutions. The purchase will enable Parade to both continue marketing Spectra7’s existing advanced active cable product portfolio and to leverage Spectra7’s technology in new high speed solutions. Parade anticipates that Spectra7’s cutting-edge SiGe-technology, achieving data speeds of 112 Gbps and higher, will provide valuable support for Parade’s efforts to expand into high-growth markets such as data centers, AI-powered computing, and next-generation consumer electronics. In addition, as part of the acquisition, a significant number of Spectra7’s employees will join Parade, ensuring continuity of technical expertise and customer support. This strategic purchase will further empower Parade’s ongoing efforts to deliver faster, more energy-efficient signal integrity connectivity solutions that meet the evolving demands of today’s data-driven world.

Based on current business outlook, Parade is providing the following guidance for the second quarter of fiscal 2025:

  • Revenue: US$121.0 ~134.0 Million
  • Gross Margin: 42% ~46%
  • Operating Expense: US$32.0 ~35.0 Million
  • The actual demand in Q2 will be impacted by tariff situation which is hard to predict

The financial figures detailed above for the first quarter of 2025 have been reviewed by independent accountants.

About Parade Technologies, Ltd.

Parade Technologies, Ltd. is a leading supplier of mixed-signal ICs for a variety of popular display and high-speed interface standards used in computers, consumer electronics and display panels. The fabless semiconductor company was founded in 2005 and publicly listed on Taipei Exchange (“TPEx”) in 2011 (stock code: 4966). Parade’s portfolio of IC products serves the growing demand for HDMI™, DisplayPort™, SATA, and USB ICs for display, storage and interface applications.

In addition to being a technology innovator, Parade is an active participant and leader in industry standards-setting organizations. Parade Technologies, Inc., a wholly owned US-based subsidiary of Parade Technologies, Ltd., is a member of VESA (Video Electronics Standard Association). Parade Technologies, Inc. has made key contributions to the development of VESA’s DisplayPort™ digital video interface standard.

Parade leverages its close relationships with market leading Tier-1 OEMs to develop ICs that provide unique system capabilities. Many of the company’s devices integrate proprietary technologies that offer superior system signal integrity, advanced system integration and enhanced power efficiency. As a result of the company’s “standards-plus” design philosophy, Parade ICs have been designed into products offered by nearly every leading computer and display vendor worldwide.

Parade Technologies, Ltd. and Subsidiaries.
 

The reader is advised that these consolidated financial statements have been prepared originally in NT$ and conformed with the adoption of IFRSs. In the event of any differences between NT$ and US$ version, the NT$ version shall prevail.

 
 

UNAUDITED CONSOLIDATED INCOME STATEMENTS

USD in Thousands NTD in Thousands
Sequential Quarter Three Months ended Sequential Quarter Three Months ended
Mar 31, Dec 31, Mar 31, Mar 31, Mar 31, Dec 31, Mar 31, Mar 31,

2025

2024

2025

2024

2025

2024

2025

2024

 
Revenue

126,227

127,413

126,227

121,278

4,151,599

4,120,533

4,151,599

3,814,192

Cost of goods sold

72,505

73,651

72,505

69,321

2,384,682

2,381,895

2,384,682

2,180,148

Gross profit

53,722

53,762

53,722

51,957

1,766,917

1,738,638

1,766,917

1,634,044

Research & development expenses

22,622

21,983

22,622

22,845

744,030

710,934

744,030

718,474

Sales & marketing expenses

6,384

6,492

6,384

7,413

209,969

209,940

209,969

233,130

General & administrative expenses

4,732

4,727

4,732

5,078

155,652

152,869

155,652

159,691

Total operating expenses

33,738

33,202

33,738

35,336

1,109,651

1,073,743

1,109,651

1,111,295

Operating income

19,984

20,560

19,984

16,621

657,266

664,895

657,266

522,749

Non-operating income

2,149

2,586

2,149

2,527

70,673

83,646

70,673

79,477

Income before income taxes

22,133

23,146

22,133

19,148

727,939

748,541

727,939

602,226

Income tax expense

1,941

1,842

1,941

937

63,838

59,574

63,838

29,477

Net income

20,192

21,304

20,192

18,211

664,101

688,967

664,101

572,749

EPS - Basic (In Dollar)

$0.25

$0.27

$0.25

$0.23

$8.38

$8.69

$8.38

$7.21

Shares used in computing EPS-Basic (In thousands)

79,290

79,263

79,290

79,483

79,290

79,263

79,290

79,483

EPS - Diluted (In Dollar)

$0.25

$0.27

$0.25

$0.23

$8.33

$8.66

$8.33

$7.17

Shares used in computing EPS-Diluted (In thousands)

79,727

79,541

79,727

79,850

79,727

79,541

79,727

79,850

UNAUDITED CONSOLIDATED BALANCE SHEETS

As of March 31, 2025 and 2024

USD in Thousands NTD in Thousands
Mar 31, Mar 31, Mar 31, Mar 31,

2025

2024

2025

2024

Current assets
Cash & cash equivalents

290,422

 

290,654

 

9,644,907

 

9,300,922

 

Accounts receivable, net

47,047

 

47,187

 

1,562,436

 

1,509,969

 

Inventories, net

117,316

 

118,948

 

3,896,071

 

3,806,334

 

Other current assets

20,094

 

19,981

 

667,325

 

639,409

 

Total current assets

474,879

 

476,770

 

15,770,739

 

15,256,634

 

Non-current assets
Property, plant and equipment, net

10,043

 

12,435

 

333,520

 

397,929

 

Right-of-use assets

8,955

 

8,354

 

297,393

 

267,320

 

Intangible assets

103,913

 

101,152

 

3,450,916

 

3,236,859

 

Deferred income tax assets

12,117

 

12,479

 

402,417

 

399,322

 

Other non-current assets

148,655

 

154,214

 

4,936,846

 

4,934,861

 

Total non-current assets

283,683

 

288,634

 

9,421,092

 

9,236,291

 

Total Assets

758,562

 

765,404

 

25,191,831

 

24,492,925

 

 
Current Liabilities
Accounts payable

42,238

 

45,116

 

1,402,714

 

1,443,712

 

Other payables

22,342

 

22,201

 

741,973

 

710,430

 

Current income tax liabilities

11,606

 

10,705

 

385,458

 

342,556

 

Lease liabilities - current

3,579

 

3,278

 

118,873

 

104,906

 

Other current liabilities

6,700

 

6,956

 

222,498

 

222,605

 

Total current liabilities

86,465

 

88,256

 

2,871,516

 

2,824,209

 

Non-current Liabilities
Lease liabilities - non-current

5,375

 

5,076

 

178,520

 

162,414

 

Total non-current liabilities

5,375

 

5,076

 

178,520

 

162,414

 

Equity
Ordinary shares

26,730

 

26,731

 

811,600

 

811,627

 

Capital reserves

134,400

 

138,078

 

4,135,700

 

4,222,226

 

Retained earnings

590,818

 

544,970

 

17,663,439

 

16,174,349

 

Other equity

(3,997

)

(5,514

)

2,174,846

 

1,313,487

 

Treasury shares

(81,229

)

(32,193

)

(2,643,790

)

(1,015,387

)

Total equity

666,722

 

672,072

 

22,141,795

 

21,506,302

 

Total liabilities and equity

758,562

 

765,404

 

25,191,831

 

24,492,925

 

 
 

UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS

For three months ended March 31, 2025 and 2024

USD in Thousands NTD in Thousands
Mar 31, Mar 31, Mar 31, Mar 31,

2025

 

2024

 

2025

 

2024

 

Cash flows from operating activities
Income before income tax for the period

22,133

 

19,149

 

727,939

 

602,226

 

Depreciation and amortization (including the right-of-use assets)

6,149

 

5,167

 

202,257

 

162,504

 

Loss on disposal of equipment

-

 

20

 

-

 

628

 

Loss on disposal of intangible assets

-

 

54

 

-

 

1,703

 

Share-based compensation cost

5,153

 

9,190

 

168,995

 

285,186

 

Interest income

(2,061

)

(2,480

)

(67,793

)

(77,998

)

Income and expenses having no effect on cash flows

9,241

 

11,951

 

303,459

 

372,023

 

Accounts receivable

664

 

6,917

 

22,058

 

221,335

 

Inventories

4,143

 

3,937

 

137,611

 

125,979

 

Other current assets

(6,746

)

(6,538

)

(213,040

)

(192,840

)

Net changes in assets relating to operating activities

(1,939

)

4,316

 

(53,371

)

154,474

 

Accounts payable

1,950

 

(5,911

)

64,755

 

(189,160

)

Accrued expenses

(10,326

)

(9,836

)

(342,933

)

(314,754

)

Other current liabilities

800

 

(125

)

26,571

 

(3,998

)

Net changes in liabilities relating to operating activities

(7,576

)

(15,872

)

(251,607

)

(507,912

)

Cash inflow generated from operations

21,859

 

19,544

 

726,420

 

620,811

 

Interest received

2,061

 

2,480

 

67,793

 

77,998

 

Income tax paid

(1,485

)

(1,279

)

(48,843

)

(40,223

)

Net cash provided by operating activities

22,435

 

20,745

 

745,370

 

658,586

 

Cash flows from investing activities
Acquisition of equipment

(952

)

(1,412

)

(31,311

)

(44,404

)

Acquisition of intangible assets

(110

)

(18

)

(3,608

)

(585

)

Decrease in refundable deposits

3,350

 

1,846

 

111,258

 

59,085

 

Increase in other prepayments

(2,914

)

(5,776

)

(95,848

)

(181,650

)

Net cash flows used in investing activities

(626

)

(5,360

)

(19,509

)

(167,554

)

Cash flows from financing activities
Distribution of cash dividends

(17,896

)

(12,800

)

(570,088

)

(390,871

)

Repayment of the principal portion of lease liabilities

(915

)

(807

)

(30,081

)

(25,393

)

Purchase of treasury shares

(45,790

)

-

 

(1,497,643

)

-

 

Treasury shares reissued to employees

11,408

 

12,468

 

365,679

 

378,062

 

Cash dividend regain from canceled share-based compensation

5

 

3

 

146

 

84

 

Net cash flows used in financing activities

(53,188

)

(1,136

)

(1,731,987

)

(38,118

)

Effect of exchange rate changes

608

 

26

 

119,131

 

360,407

 

Net (decrease) increase in cash and cash equivalents

(30,771

)

14,275

 

(886,995

)

813,321

 

Cash and cash equivalents at beginning of period

321,193

 

276,379

 

10,531,902

 

8,487,601

 

Cash and cash equivalents at end of period

290,422

 

290,654

 

9,644,907

 

9,300,922

 

 

Parade Technologies
Yo-Ming Chang, +886-2-2627-9109
ir@paradetech.com

Source: Parade Technologies, Ltd.