Dynamic Holding Co., Ltd. (定穎投控) Q2 2025 法說會簡報

Company Overview

• Company Name: Dynamic Holding Co., Ltd. (定穎投控)
• Report Title: Dynamic Holding Q2 2025 Operating Results Report (定穎投控2025年第二季營運成果報告)
• Date: August 5, 2025
• Copyright: 2025 Dynamic Holding Co., Ltd. All Rights Reserved.

Disclaimer

• Except for statements of historical events, forward-looking statements in this presentation are subject to unknown risks and uncertainties, which may cause actual operating results to differ materially from such forward-looking statements.
• The forward-looking statements in this presentation reflect the company's views as of the current date. The company is not responsible for updating or revising these views if there are any changes or adjustments in the future.

Market Information

Tariffs (關稅)

• External Concerns & AI Demand: Concerns about early Q1 shipments impacting H2 exports due to tariffs. However, global AI demand provides fundamental support, evidenced by cloud giants (Meta, Google, Microsoft) continuously expanding capital expenditure, driving AI and server demand.
• Taiwan's Export Structure: 70% of Taiwan's exports are electronics and ICT. In April, almost all were on the US exemption list, not subject to reciprocal tariffs. The market remains optimistic about full-year economic growth.
• Dynamic Holding's Exposure: Direct sales to the US account for less than 5% of revenue. Trade terms stipulate customers pay tariffs, so Dynamic Holding is currently unaffected. No customer requests for the supply chain to share US reciprocal tariffs.
• Top Ten ICT Products Exported from Taiwan to the US (2024):

  Product (產品)	2024 Export Value to US (US$100M) (2024年輸美金額(億美元))	US Share of Total Exports (%) (美國佔總出口比重(%))
  ...	...	...

Capital Expenditure & Investment Trends

• Definition: This metric indicates how aggressively a company is investing for the future. A higher ratio is common in high-growth industries (e.g., cloud services, data centers, semiconductor fabs), where high capital expenditure signifies capacity expansion, equipment investment, future strategic positioning, or long-term strategic investment (e.g., AI, large-scale infrastructure, energy transition industries).
• Chart Data (Capex in $Bn):

  Quarter	2020	2021	2022	2023	2024	2025
  Q1	16.0	26.0	33.2	38.2	41.9	55.8
  Q2	16.7	27.3	32.5	41.9	50.1	50.1
  Q3	19.7	27.7	31.1	38.2	71.7
  Q4	20.1	28.8	31.4	41.9	64.8

• Companies represented in the chart: Oracle, Baidu, Tencent, Alibaba, IBM, Apple, AWS, Meta, Microsoft, Alphabet.
• Source: Prismark (2025/06)

Automotive Electronics Market Trends

• Overall Growth: Growth in automotive electronics is primarily concentrated in electrification (i.e., the development of electric vehicles) and ADAS (Advanced Driver-Assistance Systems).
• Key Data Points:
  • Electronic Content/Vehicle:
    • 2020: $2.8k
    • 2025F: $3.0k
    • 2029F: $3.5k
    • CAAGR (2024-2029): 3.8%
  • Automotive Electronics Market Size:
    • 2020: $214Bn
    • 2024: $268Bn
    • 2025F: $272Bn
    • 2029F: $342Bn
    • CAAGR (2024-2029): 5.0%
    • Breakdown for 2029F: Electrification ($62Bn), ADAS* ($38Bn), Other ($30Bn).
  • EV Production:
    • 2020: 5M units
    • 2024: 24M units
    • 2025F: 29M units (22.9% growth rate from 2024)
    • 2029F: 47M units (accounting for 48% of all vehicles)
    • CAAGR (2024-2029): 14.3%
  • Total Vehicle Production:
    • 2020: 77.7M units
    • 2025F: 92.0M units
    • 2029F: 98.0M units
    • CAAGR (2024-2029): 1.2%
• Footnotes:
  • • Includes Ultrasound sensors.
  • Forecasts are at constant currency exchange. Vehicle production includes light and heavy vehicles; EV production includes BEV, PHEV, HEV. Automotive electronics excludes Li-ion batteries.
• Source: Prismark (2025/06)

2025 PCB Market Outlook

• Overall Growth: Prismark forecasts the 2025 PCB market to grow by 7.6% in value and 7.8% in area.
• Key Drivers: The 2025 PCB market will primarily be driven by AI servers and related high-speed network infrastructure.
• Multilayer Board (多層板):
  • 18 Layers and above: Expected to be the fastest-growing category in terms of value and area.
  • 8-16 Layers: Show strong growth in AI personal computer and server applications but face more market competition and price pressure.
• High-Density Interconnect (HDI):
  • Growth Forecast: HDI is expected to grow by 12.9% in value and 14.3% in area in 2025.
  • Growth Drivers: Strong growth mainly comes from the continuous adoption of HDI boards in AI servers, network communication equipment, satellite communication, and new applications like automotive.
• Source: Prismark (2025/06)

Recent Performance and Results

2025 Q2 Sales Analysis - Technology Type

• Sales Mix (Q1 & Q2 2025):
  • HDI: 35%
  • Multilayer Board (多層板): 65%
• Quarterly Change (QoQ):
  • Multilayer Board: +1%
  • HDI: +2%

Consolidated Income Statement (合併損益表)

• Unit: NT$100M (新台幣億元)
• Key Metrics (2Q25 vs. 1Q25 vs. 2Q24):

Consolidated Balance Sheet & Key Financial Ratios

• Unit: NT$100M (新台幣億元)
• Balance Sheet Items: