The contract manufacturer posted a record second quarter and first-half profit, while approving capacity expansions in Taiwan, the U.S. and Vietnam and a planned GDR issue.
Wistron's AI server business powered record second-quarter and first-half results, prompting the board on Aug. 4 to approve a broad expansion program spanning Taiwan, the U.S. and Vietnam, along with a planned overseas capital raise. Second-quarter after-tax net profit rose 54% from the prior quarter to NT$14.83 billion, while EPS climbed to NT$4.72. First-half after-tax net profit reached NT$24.46 billion, with EPS of NT$7.78, both new highs. The company said second-quarter revenue was NT$895.44 billion and operating income was NT$33.45 billion, with pre-tax net income of NT$31.08 billion. First-half revenue totaled NT$1.74 trillion, operating income NT$62.59 billion and pre-tax net income NT$54.59 billion. Management and market analysts linked the gains to strong AI server demand from cloud service providers and enterprise customers, with shipments of server motherboards, full racks and related components scaling up. To support future demand, Wistron approved capital spending for its Hsinchu and Kaohsiung plants in Taiwan, increased investment in two U.S. subsidiaries, and expanded funding for its Vietnam unit. It also resolved to invest nearly NT$4 billion to establish an AI computing center at National Yang Ming Chiao Tung University's Tainan campus, part of a plan to support internal computing needs and donate capacity for research and education. Separately, the board approved a plan to seek overseas fundraising through the issuance of up to 250 million common shares in the form of Global Depositary Receipts.