Amkor Technology Inc. reported its 2014 revenues Tuesday (Feb. 10) stating it was a record year for the company driven by strength in its mobile communications packaging and test technologies.
Revenues for the year rose to $3.13 billion, up from $2.96 billion from 2013. In the past two years, Amkor revenues have grown 13 percent, the company said. Gross margin for the year was 17.7 percent, down from 18.4 percent in 2013. In the fourth quarter, revenues were $853 million, up from $813 million in the third quarter and up year-over-year from $755 million in the fourth quarter of 2013.
Steve Kelley, president and CEO of Amkor, said in a statement the company ended the year strong and above guidance because of “strength in mobile communications using our advanced packaging and test technologies.” The growth of Amkor over the past two years has been because “our strategic initiatives are gaining traction” and the company expects “another year of sales and earnings growth in 2015,” Kelley added.
Looking ahead to the first quarter of 2015, Amkor said it expects net sales to be between $715 million to $765 million, down 10 percent to 16 percent from the fourth quarter. Gross margin is expected to be anywhere between 16 percent and 19 percent.
Kelley said first quarter of 2015 revenues would be up 6 percent year-over-year but down sequentially 13 percent. For the full year of 2015, Amkor expects capital expenditures of about $600 million including “around $150 million of spending for our new K5 factory and R&D center in Incheon, Korea.”
This growth in 2015 is expected despite Amkor having to pay Tessera in a recent settlement.
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