FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
February 17, 2005
Commission File Number 001-31335
AU Optronics Corp.
(Translation of registrant’s name into English)
No. 1 Li-Hsin Road 2
Hsinchu Science Park
Hsinchu, Taiwan
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
Form 20-F X Form 40-F ___
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
____Note: Regulation S-T Rule 101(b)(1) only permits the submission in paper of a Form 6-K if submitted solely to provide an attached annual report to security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
____Note: Regulation S-T Rule 101(b)(7) only permits the submission in paper of a Form 6-K if submitted to furnish a report or other document that the registrant foreign private issuer must furnish and make public under the laws of the
jurisdiction in which the registrant is incorporated, domiciled or legally organized (the registrant’s “home country”), or under the rules of the home country exchange on which the registrant’s securities are traded, as long as the report or other document is not a press release, is not required to be and has not been distributed to the registrant’s security holders, and, if discussing a material event, has already been the subject of a Form 6-K submission or other Commission filing on EDGAR.
Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes ___ No X
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
Not applicable
INDEX TO EXHIBITS
| Item | |
| 1. | Investor Conference Materials entitled, “AU Optronics Corp. FY 2004 Annual Results”, dated February 17, 2005 |
| 2. | FY 2004 Condensed Financial Statements of AU Optronics Corp. |
| 3. | Press release entitled, “AU Optronics Reports FY 2004 Results”, dated February 17, 2005. |
Signatures
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| AU Optronics Corp. | |||
| Date: February 17, 2005 | By: | /s/ Max Weishun Cheng | |
| Name: | Max Weishun Cheng | ||
| Title: | Chief Financial Officer | ||
Item 1
AU OPTRONICS CORP.
FY 2004 Annual Results
Investor Conference
2004
February 17, 2005
|
 |
AGENDA
o Welcome and Introduction
o FY 2004 Financial Results
o Remarks
o Q&A
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Safe Harbor Notice
The statements included in this presentation that are not historical in nature
are "forward-looking statements" within the meaning of Section 27A of the United
States Securities Act of 1933 and Section 21E of the United States Securities
Exchange Act of 1934. These forward-looking statements, which may include
statements regarding AU Optronics' future results of operations, financial
condition or business prospects, are subject to significant risks and
uncertainties and are based on AU Optronics' current expectations.
Actual results may differ materially from those expressed or implied in these
forward-looking statements for a variety of reasons, including, among other
things: the cyclical nature of our industry; our dependence on introducing new
products on a timely basis; our dependence on growth in the demand for our
products; our ability to compete effectively; our ability to successfully expand
our capacity; our dependence on key personnel; general economic and political
conditions, including those related to the TFT-LCD industry; possible
disruptions in commercial activities caused by natural and human-induced
disasters, including terrorist activity and armed conflict; and fluctuations in
foreign currency exchange rates.
In addition, financial information contained here within is presented in
conformity with accounting principles generally accepted in the Republic of
China ("ROC GAAP"). Readers should be cautioned that these accountinU principles
differ in many material respects from accounting principles generally accepted
in the United States of America ("US GAAP"). Our release of financial forecasts
and forward-looking statements at any particular time does not create any duty
of disclosure beyond that which is imposed by law, and we expressly disclaim any
obligation to publicly update or revise any forecasts or forward-looking
statements, whether as a result of new information, future events or otherwise.
Additional information as to these and other factors that may cause actual
results to differ materially from AU Optronics' forward-looking statements or
some of the major differences between ROC GAAP and US GAAP can be found in AU
Optronics' registration statement on Form F-3 filed with the United States
Securities and Exchange Commission on June 17, 2004
|
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FY 2004 Financial Results
|
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Consolidated Income Statement
-- QoQ Comparison
Amount: NT$ Million Except Per Share Data
QoQ
4Q'Q4(a) 3Q'04(a) Change%
-------- -------- -------
Net Sales 39,495 100.0% 38,755 100.0% 1.9%
Cost of Goods Sold (38,113) (96.5%) (31,692) (81.8%) 20.3%
-------- ------- -------- ------- -------
Gross Profit 1,383 3.5% 7,064 18.2% (80.4%)
Operating Expenses (3,311) (8.4%) (3,006) (7.8%) 10.1%
-------- ------- -------- ------- -------
Operating Income (1,928) (4.9%) 4,058 10.5% (147.5%)
Net Non-operating Income (Expense) (209) (0.5%) 76 0.2% (375.0%)
-------- ------- -------- ------- -------
Income before Tax (2,137) (5.4%) 4,134 10.7% (151.7%)
Income Tax Benifit (Expense) (92) (0.2%) 0 0.0% 0.0%
-------- ------- -------- ------- -------
Net Income (2,229) (5.6%) 4,134 10.7% (153.9%)
Basic EPS (NT$)~ (0.46) 0.87 (152.9%)
Operating Income + D&A 5,183 13.1% 10,724 27.7% (51.7%)
Unit Shipment (MN)~
Large Size Panels 5.5 4.4 245%
Small & Medium Size Panels 9.7 11.0 (11.9%)
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b) Total weighted average outstanding shares of 4,803 million and 4,755
million were used in Basic EPS calculation for 4Q04 and 3Q04
(c) Large size refers to panels that are 10 inches and above in diagonal
measurement while small & medium size refers to those below 10 inches
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Consolidated Non-Operating Expense
Amount: NT$ Million 4Q'04(a) FY 2004(a)
Actual % of Sales Actual % of Sales
------ ---------- ------ ----------
Net Interest Income (Expense) (171) (0.4%) (621) (0.4%)
Idle Assets Impairment (137) (0.4%) (137) (0.1%)
Foreign Exchange Gain 74 0.2% 85 0.1%
Long-term Investment Income (Loss) (7) (0.0%) 65 0.0%
Other Non-operating Income 31 0.1% 21 0.0%
-------------------------- ----- ------ ----- ------
Net Non-operating Expense (209) (0.5%) (587) (0.3%)
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
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Consolidated Income Statement
-- YoY Comparison
Amount: NT$Miilion Except Per Share Data
YoY
FY 2004(a) FY 2003 Change %
---------- ------- --------
Net Sales 168,112 100.0% 104,861 100.0% 60.3%
Cost of Goods Sold (128,468) (76.4%) (81,399) (77.6%) 57.8%
-------- ------ ------- ----- ------
Gross Profit 39,643 23.6% 23,462 22.4% 69.0%
Operating Expenses (11,036) (6.6%) (7,217) (6.9%) 52.9%
-------- ------ ------- ----- ------
Operating Income 28,607 17.0% 16,245 15.5% 76.1%
Net Non-operating Income (Expense) (587) (0.3%) (672) (0.6%) (12.6%)
-------- ------ ------- ----- ------
Income before Tax 28,021 16.7% 15,573 14.9% 79.9%
Income Tax Benifit (Expense) (61) (0.0%) 87 0.1% (170.1%)
-------- ------ ------- ----- ------
Net Income 27,959 16.6% 15,660 14.9% 78.5%
-------- ------ ------- ----- ------
Basic EPS (NT$)(b) 5.82 3.65 59.5%
Return on Equity 21.4% 16.9% 23.5%
Operating Income + D&A 53,917 32.1% 32,539 31.0% 65.7%
Unit Shipment (MN)~
Large Size Panels 18.9 11.9 59.0%
Small & Medium Size Panels 33.3 21.5 54.9%
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b) Total weighted average outstanding shares of 4 803 million and 4 289
million were used in Basic EPS calculation for 2004 and 2003
(c) Large size refers to panels that are 10 inches and above in diagonal
measurement while small & medium size refers to those below 10 inches
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Consolidated Balance Sheet Highlights
-- QoQ Comparison
Amount: NT$ Million QoQ
4Q'04(a) 3Q'04(a) Change % 4Q'03
-------- -------- -------- -----
Cash & ST Investment 19,384 17,817 8.8% 20,248
Inventory 15,885 20,970 (24.2%) 9,956
ShortTermDebt~ 13,267 6,163 115.3% 7,193
Long Term Debt 46,334 34,951 32.6% 25,306
Equity 130,562 133,052 (1.9%) 92,655
Total Assets 230,691 214,586 7.5% 158,070
Inventory Turnover (Days)~ 44 56 33
Debt to Equity 45.6% 30.9% 35.1%
Net Debt to Equity 32.0% 18.7% 15.7%
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b) Short term debt refers to all interest bearing debt maturing within one
year
(c) Annualized, calculated by dividing the average inventory into the cost of
goods sold during such period, then multiplying by 365 days
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Consolidated Cash Flow Highlights
-- QoQ Comparison
Amount: NT$ Million QoQ
4Q'04a 3Q'04a Change
------ ------ ------
From Operation 14,241 5,427 8,814
Net Profit (2,229) 4,134 (6,363)
Depreciation & Amortization 7,111 6,667 444
-------- -------- --------
From Investment (31,112) (20,412) (10,700)
Capital Expenditure (26,676) (22,074) (4,602)
-------- -------- --------
From Financing 18,711 (7,059) 25,770
Repayment of Long Term Debt (1,847) (1,599) (248)
Long Term Debt 14,373 221 14,152
Short Term Debt 6,183 (21) 6,204
Cash Dividend 0 (5,208)
(a) Unaudited prepared by AU Optronics Corp on a consolidated basis
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Consolidated Cash Flow Highlights
-- YoY Comparison
YoY
FY2004 FY2003 Change
------ ------ ------
From Operation 49,394 37,041 12,353
Net Profit 27,959 15,660 12,299
Depreciation &Amortization 25,309 16,295 9,014
From Investment (87,010) (40,339) (46,671)
Capital Expenditure (81,869) (39,301) (42,568)
-------- -------- --------
From Financing 37,615 (4,673) 42,288
Repayment ofLong Term Debt (6,892) (10,792) 3,900
Long Term Debt 28,316 8,740 19,576
Short Term Debt 5,882 (470) 6,352
Cash Dividend (5,208) (2,007) (3,201)
(a) Unaudited prepared by AU Optronics Corp on a consolidated basis
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Consolidated Large Size Panel Shipment
& Blended ASP
[GRAPHIC OMITTED]
(a) Unaudited prepared by AU Optronics Corp on a consolidated basis
(b) Large size refers to panels that are 10 inches and above in diagonal
measurement
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Quarterly Consolidated Small & Medium Size
Panel Shipment & Revenues
[GRAPHIC OMITTED]
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
(b) Small & Medium size refers to panels that are under 10 inches in diagonal
measurement
|
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Consolidated Revenue by Application
[GRAPHIC OMITTED]
(a) Unaudited, prepared by AU Optronics Corp. on a consolidated basis
|
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Installed Capacity by Fab
Substrate 12/2004 3/2005(F) 6/2005(F) 12/2005(F)
FAB Size (mm) Capacity(a) Capacity(a) Capacity(a) Capacity(a)
--- --------- ----------- ----------- ----------- -----------
L3A (G3.5) 610 x 720 45,000 45,000 45,000 45,000
L3B (03.5) 610 x 720 5,000 LTPS 5,000 LTPS 5,000 LTPS 5,000 LTPS
25,000 a-Si 25,000 a-Si 25,000 a-Si 25,000 a-Si
L5 (G3.5) 600 x 720 60,000 60,000 60,000 60,000
L6 (G4.0) 680 x 880 60,000 60,000 60,000 60,000
L8A (05.0) 1100 x 1250 50,000 50,000 50,000 50,000
L8B (05.0) 1100 x 1300 70,000 70,000 70,000 70,000
L8C (G5.0) 1100 x 1300 n.a. n.a. n.a. 40,000
L10 (06.0) 1500 x 1850 n.a. 5,000 30,000 60,000
(a) Monthly capacity based on glass input
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Enrich Digital Lifestyle
http://www.auo.com
------------------
IR@auo.com
----------
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Item 2
AU OPTRONICS CORP.
CONSOLIDATED BALANCE SHEET
(UNAUDITED)
December 31, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and U.S. Dollars (USD))
| December 31, 2004 | December 31, 2003 | YoY | |||||||||
| ASSETS | USD | NTD | % | NTD | % | Change | % | ||||
| Cash and Cash Equivalents | 561 | 17,798 | 7.7 | 17,962 | 11.4 | (164) | (0.2) | ||||
| Short-term Investment | 50 | 1,587 | 0.7 | 2,286 | 1.4 | (700) | (1.0) | ||||
| Notes & Accounts Receivables | 653 | 20,718 | 9.0 | 16,961 | 10.7 | 3,757 | 5.2 | ||||
| Inventories | 500 | 15,885 | 6.9 | 9,956 | 6.3 | 5,929 | 8.2 | ||||
| Other Current Financial Assets | 19 | 603 | 0.3 | 285 | 0.2 | 318 | 0.4 | ||||
| Other Current Assets | 99 | 3,157 | 1.3 | 3,232 | 2.0 | (75) | (0.1) | ||||
| Total Current Assets | 1,882 | 59,747 | 25.8 | 50,682 | 32.1 | 9,065 | 12.5 | ||||
| Long-term Investments | 187 | 5,947 | 2.6 | 887 | 0.6 | 5,061 | 7.0 | ||||
| Fixed Assets | 6,994 | 221,987 | 96.2 | 140,409 | 88.8 | 81,578 | 112.3 | ||||
| Less Accumulated Depreciation | (1,961) | (62,244) | (27.0) | (39,857) | (25.2) | (22,387) | (30.8) | ||||
| Net Fixed Assets | 5,033 | 159,743 | 69.2 | 100,553 | 63.6 | 59,191 | 81.5 | ||||
| Other Assets | 166 | 5,253 | 2.3 | 5,949 | 3.9 | (696) | (1.0) | ||||
| Total Assets | 7,268 | 230,691 | 100.0 | 158,071 | 100.0 | 72,620 | 100.0 | ||||
| LIABILITIES | |||||||||||
| Short-term borrowings | 195 | 6,183 | 2.7 | 301 | 0.2 | 5,882 | 8.1 | ||||
| Accounts Payable | 1,104 | 35,046 | 15.2 | 29,322 | 18.5 | 5,724 | 7.9 | ||||
| Current Installments of Long-term Liabilities | 223 | 7,084 | 3.1 | 6,892 | 4.4 | 192 | 0.3 | ||||
| Other Current Liabilities | 167 | 5,287 | 2.3 | 3,275 | 2.1 | 2,012 | 2.8 | ||||
| Total Current Liabilities | 1,688 | 53,601 | 23.2 | 39,790 | 25.2 | 13,811 | 19.0 | ||||
| Long-term Borrowings | 1,271 | 40,334 | 17.5 | 25,306 | 16.0 | 15,028 | 20.7 | ||||
| Bonds Payable | 189 | 6,000 | 2.6 | 0 | 0.0 | 6,000 | 8.3 | ||||
| Other Long-term Liabilities | 6 | 194 | 0.1 | 320 | 0.2 | (126) | (0.2) | ||||
| Total Liabilities | 3,154 | 100,129 | 43.4 | 65,416 | 41.4 | 34,713 | 47.8 | ||||
| SHAREHOLDERS’ EQUITY | |||||||||||
| Common Stock | 1,562 | 49,580 | 21.5 | 43,522 | 27.5 | 6,058 | 8.3 | ||||
| Capital Surplus | 1,423 | 45,165 | 19.6 | 32,198 | 20.4 | 12,967 | 17.9 | ||||
| Retained Earnings | 1,143 | 36,270 | 15.7 | 17,181 | 10.9 | 19,089 | 26.3 | ||||
| Cumulative Translation Adjustment | (6) | (202) | (0.1) | 5 | 0.0 | (207) | (0.3) | ||||
| Treasury Stock | (8) | (251) | (0.1) | (251) | (0.02) | 0 | (0.0) | ||||
| Total Stockholders’ Equity | 4,113 | 130,562 | 56.6 | 92,655 | 58.6 | 37,907 | 52.2 | ||||
| Total Liabilities & Stockholders’ Equity | 7,268 | 230,691 | 100.0 | 158,071 | 100.0 | 72,619 | 100.0 | ||||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP |
| (2) Amount in New Taiwan dollars translated into US dollars at the exchange rate of NTD 31.74 per US dollar as of December 31, 2004 |
AU OPTRONICS CORP.
CONSOLIDATED INCOME STATEMENT
(UNAUDITED)
For the Three Months Ended December 31, 2004 and 2003
(Figures in Millions of New Taiwan Dollars (NTD) and U.S. Dollars (USD)
Except for Per Share Data and Shares Outstanding)
| Year over Year Comparison | Sequential Comparison | ||||||||||||||||||
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| 4Q 2004 | 4Q 2004 | % of | 4Q 2003 | YoY | 4Q 2004 | 4Q 2004 | % of | 3Q 2004 | QoQ | ||||||||||
| USD | NTD | Sales | NTD | Chg % | USD | NTD | Sales | NTD | Chg % | ||||||||||
| Net Sales | 1,244 | 39,495 | 100.0 | 34,379 | 14.9 | 1,244 | 39,495 | 100.0 | 38,755 | 1.9 | |||||||||
| Cost of Goods Sold | 1,201 | 38,113 | 96.5 | 24,742 | 54.0 | 1,201 | 38,113 | 96.5 | 31,692 | 20.3 | |||||||||
| Gross Profit | 44 | 1,383 | 3.5 | 9,638 | (85.7) | 44 | 1,383 | 3.5 | 7,064 | (80.4) | |||||||||
| Operating Expenses | |||||||||||||||||||
| SG&A | 51 | 1,624 | 4.1 | 922 | 76.1 | 51 | 1,624 | 4.1 | 1,810 | (10.3) | |||||||||
| R&D | 53 | 1,686 | 4.3 | 1,205 | 40.0 | 53 | 1,686 | 4.3 | 1,196 | 41.0 | |||||||||
| Total Operating Expenses | 104 | 3,311 | 8.4 | 2,127 | 55.6 | 104 | 3,311 | 8.4 | 3,006 | 10.1 | |||||||||
| Total Operating Income | (61) | (1,928) | (4.9) | 7,510 | (125.7) | (61) | (1,928) | (5.0) | 4,058 | (147.5) | |||||||||
| Net Non-Operating Expenses | (7) | (209) | (0.5) | (31) | 571.8 | (7) | (209) | (0.5) | 76 | (374.3) | |||||||||
| Income before Income Tax | (67) | (2,137) | (5.4) | 7,479 | (128.4) | (67) | (2,137) | (5.4) | 4,134 | (151.7) | |||||||||
| Income Tax Benefit (Expense) | (3) | (92) | (0.2) | 87 | 0.0 | (3) | (92) | (0.2) | 0 | - | |||||||||
| Net Income | (70) | (2,229) | (5.6) | 7,566 | (129.5) | (70) | (2,229) | (5.6) | 4,134 | (153.9) | |||||||||
| Basic Earnings Per Share | (0.01) | (0.46) | 1.76 | (0.01) | (0.46) | 0.87 | |||||||||||||
| Basic Earnings Per ADS (3) | (0.15) | (4.64) | 17.64 | (0.15) | (4.64) | 8.69 | |||||||||||||
| Weighted Average Number of Shares Outstanding (Million) | 4,803 | 4,289 | 4,803 | 4,755 | |||||||||||||||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP | |||||||||
| (2) New Taiwan dollars amounts translated into U.S. dollars at the exchange rate of NT$31.74 per US dollar as of December 31, 2004 | ||||||||||
| (3) 1 ADR equals 10 ordinary shares | ||||||||||
AU OPTRONICS CORP.
CONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
December 31, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and U.S. dollars (USD))
| 2004 | 2003 | ||||
| USD | NTD | NTD | |||
| Cash Flows from Operating Activities: | |||||
| Net Income | 881 | 27,959 | 15,660 | ||
| Depreciation & Amortization | 797 | 25,309 | 16,295 | ||
| Provision for Inventory Devaluation | 19 | 588 | 324 | ||
| Short-term Investment Loss Recovery Profit | (2) | (72) | (14) | ||
| Changes in Working Capital & Others | (138) | (4,392) | 4,777 | ||
| Net Cash Provided by Operating Activities | 1,556 | 49,394 | 37,041 | ||
| Cash Flows from Investing Activities: | |||||
| Decrease (Increase) in Short-term Investments | 22 | 709 | 974 | ||
| Acquisition of Property, Plant and Equipment | (2,579) | (81,869) | (39,301) | ||
| Proceeds from Disposal of Property, Plant and Equipment | 0 | 0 | 11 | ||
| Increase in Long-term Equity Investments | (170) | (5,385) | (817) | ||
| Proceeds from Disposal of Long-term Investment | 7 | 231 | 0 | ||
| Increase in Restricted Cash in Bank | 0 | 0 | 23 | ||
| Increase in Intangible Assets | (23) | (721) | (1,093) | ||
| Decrease (Increase) in Other Assets | 1 | 26 | (137) | ||
| Net Cash Used in Investing Activities | (2,741) | (87,010) | (40,339) | ||
| Cash Flows from Financing Activities: | |||||
| Decrease in Short-term Borrowings | 185 | 5,882 | (470) | ||
| Increase (Decrease) in Long-term Borrowings | 675 | 21,424 | (2,052) | ||
| Issuance of Common Stock for Cash | 503 | 15,967 | 0 | ||
| Cash Dividend | (164) | (5,208) | (2,007) | ||
| Increase in Treasury Stock | 0 | 0 | (68) | ||
| Others | (14) | (450) | (76) | ||
| Net Cash Provided by (Used in) Financing Activities | 1,185 | 37,615 | (4,673) | ||
| Effect of Exchange Rate Change on Cash | (5) | (163) | (25) | ||
| Net Increase (Decrease) in Cash and Cash Equivalents | (5) | (164) | (7,995) | ||
| Cash and Cash Equivalents at Beginning of Period | 566 | 17,962 | 25,957 | ||
| Cash and Cash Equivalents at End of Period | 561 | 17,798 | 17,962 | ||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP |
| (2) Amount in New Taiwan dollars translated into US dollars at the exchange rate of NT$ 31.74 per US dollar |
AU OPTRONICS CORP.
UNCONSOLIDATED BALANCE SHEET
(UNAUDITED)
December 31, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and US dollars (USD))
| December 31, 2004 | December 31, 2003 | YoY | |||||||||
| ASSETS | USD | NTD | % | NTD | % | Change | % | ||||
| Cash and Cash Equivalents | 521 | 16,529 | 7.5 | 16,624 | 10.8 | (95) | (0.6) | ||||
| Short-term Investments | 50 | 1,587 | 0.7 | 2,137 | 1.4 | (550) | (25.7) | ||||
| Notes & Accounts Receivable | 655 | 20,779 | 9.4 | 19,406 | 12.6 | 1,373 | 7.1 | ||||
| Other Current Financial Assets | 16 | 504 | 0.2 | 247 | 0.2 | 257 | 104.0 | ||||
| Inventories | 435 | 13,794 | 6.2 | 8,515 | 5.5 | 5,279 | 62.0 | ||||
| Other Current Assets | 96 | 3,057 | 1.4 | 3,219 | 2.1 | (162) | (5.0) | ||||
| Total Current Assets | 1,772 | 56,249 | 25.4 | 50,147 | 32.6 | 6,102 | 12.2 | ||||
| Long-term Investments | 353 | 11,216 | 5.1 | 3,241 | 2.1 | 7,975 | 246.1 | ||||
| Fixed Assets | 6,593 | 209,250 | 94.5 | 133,962 | 87.1 | 75,288 | 56.2 | ||||
| Less Accumulated Depreciation | (1,895) | (60,162) | (27.2) | (39,119) | (25.4) | (21,043) | 53.8 | ||||
| Net Fixed Assets | 4,697 | 149,088 | 67.3 | 94,843 | 61.6 | 54,245 | 57.2 | ||||
| Other Assets | 154 | 4,888 | 2.2 | 5,620 | 3.7 | (732) | (13.0) | ||||
| Total Assets | 6,977 | 221,440 | 100.0 | 153,851 | 100.0 | 67,589 | 43.9 | ||||
| LIABILITIES | |||||||||||
| Short-term Borrowing | 183 | 5,800 | 2.6 | 0 | 0.0 | 5,800 | - | ||||
| Accounts Payable | 993 | 31,530 | 14.2 | 29,761 | 19.3 | 1,769 | 5.9 | ||||
| Current Installments of Long-term Liabilities | 186 | 5,896 | 2.7 | 6,892 | 4.5 | (996) | (14.5) | ||||
| Other Current Liabilities | 157 | 4,968 | 2.2 | 2,970 | 1.9 | 1,998 | 67.3 | ||||
| Total Current Liabilities | 1,518 | 48,194 | 21.8 | 39,623 | 25.8 | 8,571 | 21.6 | ||||
| Long-term Borrowings | 1,150 | 36,492 | 16.5 | 21,253 | 13.8 | 15,239 | 71.7 | ||||
| Bonds Payable | 189 | 6,000 | 2.7 | 0 | 0.0 | 6,000 | - | ||||
| Other Long-term Liabilities | 6 | 192 | 0.1 | 320 | 0.2 | (128) | (40.0) | ||||
| Total Liabilities | 2,863 | 90,878 | 41.0 | 61,196 | 39.8 | 29,682 | 48.5 | ||||
| SHAREHOLDERS’ EQUITY | |||||||||||
| Common Stock | 1,562 | 49,580 | 22.4 | 43,522 | 28.3 | 6,058 | 13.9 | ||||
| Capital Surplus | 1,423 | 45,165 | 20.4 | 32,198 | 20.9 | 12,967 | 40.3 | ||||
| Retained Earnings | 1,143 | 36,270 | 16.4 | 17,181 | 11.2 | 19,089 | 111.1 | ||||
| Cumulative Translation Adjustment | (6) | (202) | (0.1) | 5 | 0.0 | (207) | (4140.0) | ||||
| Treasury Stock | (8) | (251) | (0.1) | (251) | (0.2) | 0 | 0.0 | ||||
| Total Stockholders’ Equity | 4,113 | 130,562 | 59.0 | 92,655 | 60.2 | 37,907 | 40.9 | ||||
| Total Liabilities & Stockholders’ Equity | 6,977 | 221,440 | 100.0 | 153,851 | 100.0 | 67,589 | 43.9 | ||||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP |
| (2) Amount in New Taiwan dollars translated into US dollars at the exchange rate of NTD 31.74 per US dollar as of December 31, 2004 |
AU OPTRONICS CORP.
UNCONSOLIDATED INCOME STATEMENT
(UNAUDITED)
Year Ended December 31, 2004 and 2003 and for the Three Months Ended December 31, 2004 and September 30, 2004
(Figures in Millions of New Taiwan Dollars (NTD) and US Dollars (USD)
Except for Per Share Data and Outstanding Shares)
| Year over Year Comparison | Sequential Comparison | ||||||||||||||||||
| 2004 | % of | 2003 | YoY | 4Q 2004 | % of | 3Q 2004 | QoQ | ||||||||||||
| USD (1) | NTD | Sales | NTD | Chg % | USD | NTD | Sales | NTD | Chg % | ||||||||||
| Net Sales | 5,186 | 164,603 | 100.0 | 97,610 | 68.6 | 1,170 | 39,065 | 100.0 | 38,658 | 1.1 | |||||||||
| Cost of Goods Sold | 3,964 | 125,809 | 76.4 | 75,290 | 67.1 | 1,151 | 38,431 | 98.4 | 31,041 | 23.8 | |||||||||
| Gross Profit | 1,222 | 38,794 | 23.6 | 22,321 | 73.8 | 19 | 635 | 1.6 | 7,617 | (91.7) | |||||||||
| Operating Expenses | |||||||||||||||||||
| SG&A | 171 | 5,412 | 3.3 | 3,364 | 60.9 | 41 | 1,376 | 3.6 | 1,586 | (13.2) | |||||||||
| R&D | 150 | 4,772 | 2.9 | 3,386 | 40.9 | 51 | 1,686 | 4.3 | 1,196 | 41.0 | |||||||||
| Total Operating Expenses | 321 | 10,184 | 6.2 | 6,750 | 50.9 | 92 | 3,062 | 7.8 | 2,782 | 10.1 | |||||||||
| Total Operating Income | 901 | 28,610 | 17.4 | 15,570 | 83.8 | (73) | (2,428) | (6.2) | 4,835 | (150.2) | |||||||||
| Net Non-Operating Income (Expenses) | (19) | (589) | (0.4) | 3 | (19,733.3) | 9 | 290 | 0.7 | (701) | (141.4) | |||||||||
| Income before Income Tax | 883 | 28,021 | 17.0 | 15,573 | 79.9 | (64) | (2,137) | (5.5) | 4,134 | (151.7) | |||||||||
| Income Tax (Expense) Benefit | (2) | (61) | 0.0 | 87 | (170.1) | (3) | (92) | (0.02) | 0 | - | |||||||||
| Net Income | 881 | 27,959 | 17.0 | 15,660 | 78.5 | (67) | (2,229) | (5.7) | 4,134 | (153.9) | |||||||||
| Basic Earnings Per Share | 0.183 | 5.82 | 3.65 | (0.015) | (0.464) | 0.869 | |||||||||||||
| Basic Earnings Per ADS (2) | 1.83 | 58.22 | 36.51 | (0.15) | (4.64) | 8.69 | |||||||||||||
| Weighted Average Number of Shares Outstanding (Million) | 4,803 | 4,289 | 4,803 | 4,755 | |||||||||||||||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP |
| (2) New Taiwan dollars amounts translated into U.S. dollars at the exchange rate of NT$31.74 per US dollar as of December 31, 2004 | |
| (3) 1 ADR equals 10 ordinary shares |
AU OPTRONICS CORP.
UNCONSOLIDATED STATEMENT OF CASH FLOWS
(UNAUDITED)
December 31, 2004 and 2003
(Figures in Millions of New Taiwan dollars (NTD) and US dollars (USD))
| 2004 | 2003 | ||||
| USD | NTD | NTD | |||
| Cash Flows from Operating Activities: | |||||
| Net Income | 881 | 27,959 | 15,660 | ||
| Depreciation & Amortization | 750 | 23,816 | 15,672 | ||
| Provision for Inventory Devaluation | 18 | 560 | 224 | ||
| S.T & L.T Investment Loss (Gain) | 4 | 133 | (662) | ||
| Changes in Working Capital & Others | (143) | (4,534) | 4,422 | ||
| Net Cash Provided by Operating Activities | 1,511 | 47,934 | 35,316 | ||
| Cash Flows from Investing Activities: | |||||
| Decrease in Short-term Investments | 18 | 558 | 1,172 | ||
| Acquisition of Property, Plant and Equipment | (2,399) | (76,155) | (36,200) | ||
| Proceeds from Disposal of Property, Plant and Equipment | 10 | 318 | 561 | ||
| Increase in Long-term Equity Investments | (276) | (8,774) | (1,514) | ||
| Proceeds from Disposal of Long-term Investment | 7 | 231 | 0 | ||
| Decrease in Restricted Cash in Bank | 0 | 0 | 23 | ||
| Increase in Intangible Assets | (15) | (483) | (996) | ||
| Decrease (Increase) in Other Assets | (3) | (93) | (3) | ||
| Net Cash Used in Investing Activities | (2,659) | (84,398) | (36,958) | ||
| Cash Flows from Financing Activities: | |||||
| Decrease in Short-term Borrowings | 183 | 5,800 | 0 | ||
| Decrease in Guarantee Deposits | (0) | (0) | (22) | ||
| Increase (Decrease) in Long-term Borrowings | 644 | 20,446 | (5,240) | ||
| Issuance of Common Stock for Cash | 503 | 15,967 | 0 | ||
| Directors' and Supervisors' Remuneration | (14) | (451) | (54) | ||
| Cash Dividends | (164) | (5,208) | (2,007) | ||
| Increase in Treasury Stock | 0 | 0 | (68) | ||
| Net Cash Provided by (Used in) Financing Activities | 1,152 | 36,554 | (7,391) | ||
| Effect of Exchange Rate Change on Cash | (6) | (186) | (2) | ||
| Net Decrease in Cash and Cash Equivalents | (2) | (96) | (9,035) | ||
| Cash and Cash Equivalents at Beginning of Period | 524 | 16,624 | 25,659 | ||
| Cash and Cash Equivalents at End of Period | 521 | 16,529 | 16,624 | ||
| Note: | (1) Unaudited, prepared by AU Optronics Corp. based on ROC GAAP |
| (2) Amount in New Taiwan dollars translated into US dollars at the exchange rate of NTD 31.74 per US dollar |
Item 3
 |
News Release |
AU OPTRONICS REPORTS FY 2004 RESULTS
Consolidated Revenues of NT$168,112 Million and Net Income of NT$27,959 Million
AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO), the world’s third largest manufacturer of large-size TFT-LCD panels, today announced its unaudited consolidated results of operations for FY2004. All financial information was prepared by the Company in accordance with generally accepted accounting principles in Taiwan (“ROC GAAP”). There are many differences between ROC GAAP and U.S. GAAP, some of which are described in the notes to the financial statements contained in the Company’s annual report on Form 20-F filed with the United States Securities and Exchange Commission on May 7, 2004. The unaudited financial information mentioned herein is not necessarily indicative of our future financial results.
Hsin Chu, Taiwan, February 17, 2005 –AU Optronics Corp. (“AUO” or the “Company”) (TAIEX: 2409; NYSE: AUO) today held a meeting of the Board of Directors and Supervisors, at which the Board approved its results of operations for the fiscal year ended December 31, 2004. The Company also released unaudited results for 4Q 2004 and FY 2004. All financial information was unaudited and was prepared by the Company in accordance with generally accepted accounting principles in Taiwan (“ROC GAAP”).
For the year of 2004, AUO’s consolidated revenues set a new record to reach NT$168,112 million (US$ 5,297 million), a 60.3% increase from FY 2003. Net income for FY2004 grew 78.5% to NT$27,959 million (US$ 881 million) from the previous year. Basic EPS set a new record to reach NT$5.82 (US$0.18 per common share and US$1.83 per ADS) for 2004.
“Despite a particularly difficult business environment in 2H 2004, AUO was able to achieve both record sales and net profit for FY 2004, the best performance since the Company’s inception and the highest achieved ever in Taiwan’s TFT-LCD industry.” Said Mr. Max Cheng, Vice President and Chief Financial Officer of AU Optronics Corp. “This performance is attributed to AUO’s remarkable execution capability, product mix management, customer portfolio, cost competitiveness, manufacturing capability, technology, R&D and design know-how. As a result, our ROE improved from 16.9% in 2003 to 21.4% in 2004.” The management also achieved considerable success in managing production costs and working capital management, which resulted in notable 24.2% reduction in inventory and the inventory turnover days were reduced from 56 days at the end of 3Q04 to 44 days at the end of 4Q04.
AUO’s large size panel shipment (10” and above) also posted strong growth, supported by the Company’s 5G fab capacity. Shipment of large size panels reached 18.9 million, up 59.0% YoY. The company also managed to maintain the leading global
|
News Release |
position for 19” Panels for PC Monitor application and reach 2.6 million units in 2004. Shipment of small- and medium-sized panels (mostly for consumer application) broke the 30 million mark to exceed 33.3 million, a 54.9% growth from 2003.
“LCD TV is expected to be a key growth driver for the year 2005.” Dr. Hui Hsiung, Executive Vice President of AU Optronics Corp. pointed out. “AUO’s LCD TV business will also reflect its well thought out strategy, as revealed by our 48% QoQ growth in LCD TV revenues in 4Q04.” The Company is expected to play an important role in the fast emerging LCD TV market, supported by its strong research and development, design capability, product and process technology, and enhanced production efficiency from its G6 fab (1,500 x 1,850mm), which is expected to commence mass production in March 2005 and is expected to reach design capacity of 60,000 substrates per month by the end of 2005. The Company has successfully turned on the first 32”W LCD TV panel in January 2005 by its G6 fab, following its first success of 19” monitor panel by its G6 fab in November 2004. The timely capacity expansion contributed by the Company’s G6 fab is expected to be instrumental to its business opportunity in the LCD TV sector.
Conference Call & Webcast Notice:
AUO’s quarterly review conference call will be held at 8:00 pm Taiwan Time (GMT +08:00) on Thursday, February 17, 2005. The conference call will also be recorded for replay via AUO’s
web site at http://www.auo.com
Safe
Harbour Notice
Except for statements in respect of historical matters, the statements
contained in this Release are “forward-looking statements” within the meaning of Section 27A of the U.S. Securities Act of 1933 and
Section 21E of the U.S. Securities Exchange Act of 1934. These forward-looking statements were based on our management's expectations, projections and beliefs at the time regarding matters including, among other things, future revenues and costs,
financial performance, technology changes, capacity, utilization rates, yields, process and geographical diversification, future expansion plans and business strategy. Such forward looking statements are subject to a number of known and unknown
risks and uncertainties that can cause actual results to differ materially from those expressed or implied by such statements, including risks related to the flat panel display industry, the TFT-LCD market, acceptance and demand for our products,
technological and development risks, competitive factors, and other risks described in the section entitled "Risk Factors" in
our Form F-3 filed with the United States Securities and Exchange Commission on June 17, 2004.
# # #
FOR MORE INFORMATION
Yawen Hsiao
Corporate Communications
Dept.
AU Optronics Corp.
No.1, Li-Hsin Road 2, Science-Based Industrial
Park, Hsinchu City, 300, Taiwan, R.O.C.
Tel: +886-3-5008899 ext 3211 Fax: +886-3-5772730
Email: yawenhsiao@auo.com