Amkor Technology Q2 Results Beat Street View; Shares Up 10%

Shares of Amkor Technology, Inc. (AMKR) gained over 10% on extended session Monday after the company reported a second-quarter earnings and revenues that trumped Wall Street estimates.

AMKR closed Monday’s regular trading at $13.64, up $1.57 or 12.96%, on the Nasdaq. The stock further gained $1.40 or 10.26% in the after-hours trading.

Tempe, Arizona-based Amkor reported second-quarter profit of $55 million or $0.23 per share compared to last year’s loss of $9 million or $0.04 per share. Analysts polled by Thomson Reuters expected loss of $0.03 per share. Analysts’ estimates typically exclude special items.

Revenues for the quarter rose to $1.173 billion from $895 million last year. Analysts had a consensus revenue estimate of $1.05 billion.

“Broad based demand drove revenue well above the high end of expectations,” said Giel Rutten, Amkor’s president and chief executive officer. “The strategic investments we made in both advanced packaging technology and manufacturing capacity enabled significant growth in revenue and profitability.”

Looking forward to the third quarter, Amkor expects sales of $1.2 billion to $1.3 billion million and earnings of $0.17 to $0.35 per share. Analysts currently estimate earnings of $0.13 per share and revenues of $1.16 billion.

“We expect sequential revenue growth in the third quarter, driven by the launch of flagship smart phones, including more 5G models where we have a strong footprint,” said Rutten. “We believe mid- and long-term growth drivers remain intact, and we will continue to invest in markets, including 5G, high performance computing and IoT, where we see the highest potential for growth.”

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