Parade Technologies (4966) 2026Q2 法說會簡報

Company Overview

Parade Technologies, Ltd. is a leading ICs supplier for a variety of popular display and high-speed interface standards used in computers, servers, consumer electronics and display panels.

Key Strengths:

• Leading expertise in DisplayPort technology and high-speed digital interface transmission
• Industry's rich portfolio of high-speed interface product
• Market leader in DP/eDP timing controller and integrate display solutions
• Rich portfolio of touchscreen solutions
• Strategic collaboration with leading CPU/GPU vendors and tier-1 global brand end customers

Company Milestones & Metrics:

• Company founded: 2005
• TPEX IPO (4966): 2011
• Employees: 770+
• Patents worldwide: 295+
• Acquisitions:
  • Acquire Cypress TrueTouch: 2015
  • Acquire Fresco Logic: 2020
  • Acquire Spectra7: 2025
• FY25 revenue: $531M

Disclaimer: This presentation includes forward-looking statements. All statements, other than statements of historical facts, that address activities, events or developments that Parade Technologies Ltd. expects or anticipates will or may occur in the future (including but not limited to projections, targets, estimates and business plans) are forward-looking statements. Parade's actual results or developments may differ materially from those indicated by these forward-looking statements as a result of various factors and uncertainties, including but not limited to price fluctuations, actual demand, exchange rate fluctuations, market share, competition, environmental risks, change in legal, financial and regulatory frameworks, government policies, international economic and financial market conditions, political risks, cost estimates and other risks and factors beyond our control. Parade does not undertake any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement is made or to reflect the occurrence of unanticipated events.

Financial Highlights

(US$ in millions; EPS in US$)

FY25 Performance:

• Revenue:
  • FY24: $506
  • FY25: $531
  • Growth: +5%
• Operating income:
  • FY24: $76
  • FY25: $87
  • Growth: +14%
• Diluted earnings per share:
  • FY24: $1.01
  • FY25: $1.10
  • Growth: +9%

Q2 FY26 YoY Performance:

• Revenue:
  • Q2 FY25: $260
  • Q2 FY26: $261
  • Growth: +0%
• Operating income:
  • Q2 FY25: $43
  • Q2 FY26: $36
  • Growth: -16%
• Diluted earnings per share:
  • Q2 FY25: $0.54
  • Q2 FY26: $0.45
  • Growth: -17%

Q2 FY26 QoQ Performance:

• Revenue:
  • Q1 FY26: $126
  • Q2 FY26: $134
  • Growth: +6%
• Operating income:
  • Q1 FY26: $17
  • Q2 FY26: $19
  • Growth: +12%
• Diluted earnings per share:
  • Q1 FY26: $0.21
  • Q2 FY26: $0.24
  • Growth: +14%

Business Segments

Q2 2026 Product Mix:

• HS I/F (High-Speed Interface): 47%~52%
  • Includes Repeater, Jitter Cleaning Converter
• DP (DisplayPort): 29%~34%
  • Includes eDP Tcons
• Source Dr. (Source Driver): 7%~12%
  • Includes SIPI Driver, iSP Driver
• Touch (Touch Controller): 8%~13%
  • Includes Single Touch, Muti-Touch

Products & Technologies

High-Speed I/F:

• Products: Re-driver/Re-timer/Mux/Convertors/Hub/Host/PD
• Support: DP2.1a, USB3.2 Gen 2x2, USB4 v2, HDMI 2.1, PCIe6
• Controllers: DP 2.1a/HBR3 Multi-Stream Hub Controller
• Ethernet: Linear Re-drivers support 56Gbps, 112Gbps and 224 Gbps
• Applications: PC/Notebook/Desktop/Tablet/ TV/ Server/ Automotive/ game console/ Dongle applications

DP/eDP TCON (Timing Controller):

• eDP v1.5 Tcon: Supports Panel Replay up to UHD 144Hz and FHD360Hz
• AMOLED Support: eDP Tcon support AMOLED panels
• Mini-LED: Mini-LED backlight controller (Bcon) support local dimming display
• Integrated Solutions: Highly integrated eDP v1.2/1.4b/1.5 Tcon with embedded driver (TED) and touch (tTED)
• Applications: Tablet/ Notebook/All-in-One / Monitor/ Automotive applications

Source Driver:

• Types: Point-to-Point source driver; SIPI / iSP source driver
• Solutions: TSD (Touch Source Driver); TLS (Touch Level Shifter)
• Applications: Notebook/Tablet/Automotive panel applications

Touch Controller:

• Capabilities: Single touch, two-finger touch and muti-touch for screen size from 1.5"~17"
• Advanced Controllers: TDDI/Flexible AMOLED touch controller
• Applications: Smart phone/Tablet/Wearables/E-reader/Automotive/Post machines

Notebook Inter-connection solutions – 3Gb/s ~ 16Gb/s:

• Market leader in USB Type-C 10Gb/s re-timer and re-driver
• HDMI 2.0 repeater with Jitter cleaning for HDMI 2.0 design challenges
• HDMI 2.1 re-timer fully compliant to HDMI 1.4/2.0/2.1, low standby power, robust performance targeting 8K applications
• DP 2.0 to HDMI 2.1 converters to expand HDMI2.1 connectivity
• PCIe3/4 low power linear re-driver to extend topology of on-board design
• DP1.4 retiming Mux/DeMux for discrete GPU on gaming/workstation applications

Notebook Inter-connection solutions - ≥ 20Gb/s:

• Introduced PS8833/PS8778 USB4 Re-timer/Re-driver, industry's first USB4/DP 2.1/TBT4 re-timer/re-driver solution
• DP2.1 re-timer solution supports 8k and above with higher refresh rate for optimized gaming experience
• USB4 Hub for docking station/monitor application
• DP 2.1 MST Hub for docking station, MST video hub, daisy-chain monitor, signage application, and automotive infotainment
• USB4v2 (40 Gb/s) re-timer with new technology for next generation platform

Server Inter-connection solutions – 8Gb/s ~ 64Gb/s:

• PCIe 4/5 re-driver and re-timer introduced in January 2023.
• PCIe 6 re-driver introduced in September 2025, with increasing business opportunities for PCIe 6 and PCIe7 re-driver.
• Mass production Ethernet 56Gbps re-driver. 112/224 Gbps re-driver engaged with Tier-1 customers.

Mainstream ≥FHD Panel: Bundle solution (eDP Tcon + SIPI Source Driver):

• Parade provides advanced products:
  • Very low power eDP 1.5 Tcon with Smart-Backlight™ feature
  • eDP 1.5 Tcon support up to UHD and 144 Hz refresh rate
  • eDP Tcon for AMOLED Panels supports eDP 1.5 for Extended Battery Life
• Bundle solution (eDP 1.2 and eDP 1.5 TCON paired with SIPI source driver) is a mainstream solution for NB/Tablet panel, with design-in/win with many panel makers.

Advance Panel: Flexible/Integrated in-cell solution:

• TED (Tcon embedded driver) solution for thin-profile panel in mass production.
• tTED (Tcon embedded driver and touch) in mass production, with MSO and PSR features, supports in-cell and stylus touch.
• Discrete in-cell solutions for Touch/Stylus GRID Integrate Panel: TTCON (Touch TCON), TSD (Touch Source Driver) and TLS (Touch Level Shifter) form a complete in-cell touch solution for high resolution displays.
• Integrated in-cell solution may support Wacom/MS/USI active pen.
• SIPI 2.0 with embedded in-cell touch data channels is a point-to-point interface between the Touch Embedded Timing Controller (TTCON) and the Touch Source Driver (TSD).

Clients & Markets

Applications across various markets:

• PC/Notebook/Desktop/Tablet/ TV/ Server/ Automotive/ game console/ Dongle applications
• Smart phone/Tablet/Wearables/E-reader/Automotive/Post machines
• Docking station/monitor application, MST video hub, daisy-chain monitor, signage application, and automotive infotainment
• Data Center or workstations
• Gaming/workstation applications (discrete GPU)
• Central infotainment and instrument cluster display in Automotive

ESG / Sustainability

ESG Highlights (2025 data unless specified):

Governance:

• Board Independence: 42% Members of the BoD are independent
• Disaster Preparedness: Disaster Recovery Drills Conducted
• Board Diversity: Currently 2 female independent directors
• Compliance Training: 100% All employees completed the compliance training in 2025
• Board Performance: Excellent Board performance evaluation results In 2025
• Internal Controls: Sustainability Procedures Integrated into Internal Controls

Environment:

• GHG Reporting: Report the quarterly progress of GHG Disclosure Schedule to BoD in 2025
• Emission Reduction: Scope 1+2 Emission Intensity Reduced by 2.78%
• Power Efficiency: Power Intensity Reduced by 1.1%
• GHG Inventory: Scope 1 & 2 GHG Inventory Assured
• Renewable Energy: Headquarters in San Jose adopted 60% renewable energy in 2025
• Sustainable Paper: 100% Sustainable paper usage (SFI/PEFC) in US/TW/HK offices

Social:

• Employee Satisfaction: Employee Satisfaction Survey score of 4.47/5
• Safety: Frequency-severity Indicator (FSI) in 2025: 0%
• Supply Chain Ethics: 100% Suppliers are compliance to Conflict Minerals legislation (3TG)
• Community Investment: Invested NT$3M in Local Education & Communities
• Employee Retention: Employee Turnover Rate: 4.7%
• Employee Development: 17,651 Training Hours via Mineral Platform

Outlook & Strategy

Growth Drivers:

• Data Interface Migration: Data interfaces are migrating to higher speeds (USB Type-C to 40 Gbps; HDMI to 24 Gbps; DP to 20 Gbps; PCIe to 128 Gbps).
• High-Speed Demand: Strong demand for high-speed technologies to solve high-speed transmission problems.
• Integrated Solutions: Ability to provide rich portfolio and integrated solution for USB-Type C and next generation high-speed interface applications.
• Data Center Growth: Increasing demand for signal integrity in data centers and workstations (PCIe >128 Gbps, Ethernet >224 Gbps).
• Display Evolution: Industry increasing adoption of eDP 1.5 Tcon and bundle solutions (Tcon + Source Drivers). NB/Tablet panels trending towards borderless and in-cell touch, demanding highly integrated chips (TED/tTED).
• Automotive Adoption: Automotive industry leaning towards DP-like standards for advanced panel displays, demanding less wires and high-speed transmission.

Market TAM Expansion – Leverage by High-Speed Solution:

• TV: 6 Gb/s~24 Gb/s (HDMI Jitter Cleaning Converters, eDP Tcon/Source Driver/Touch, tTED, Re-timer/Re-driver/Mux Converters)
• Automotive: 5.4 Gb/s~20 Gb/s (eDP Tcon/Source Driver/Touch, tTED, Re-timer/Re-driver/Mux Converters)
• Data Center: 16Gb/s~224Gb/s (PCIe 4 Re-timer(16Gb/s), PCIe 5 Re-timer(32Gb/s), PCIe 6 Re-driver(64Gb/s), Re-driver(112Gb/s), Re-driver(224Gb/s))
• NB Tablet All-in-one: 3 Gb/s~20Gb/s (eDP Tcon V1.2/V1.4, SIPI/ISP Source Drover, TED/tTED/TSD/TTCON/TLS, USB Re-driver/Re-timer/Host/Hub/Dock, USB 3.2 Gen 1/Gen 2 Active Switch, USB 4 Re-timer/Re-driver, PCIe 3/4/5 Re-driver, DP Re-driver/Re-timer/Mux/DeMux, HDMI Jitter Cleaning repeater/Converter)
• 7"~28' Amorphous/LTPS/AMOLED Panel: 1 Gb/s~3.2 Gb/s COG (eDP Tcon V1.2/V1.4, SIPI/ISP Source Drover, TED/tTED/TSD/TTCON/TLS)
• ~6.5' LTPS Panel: 1.2 Gb/s~ COG (Touch Controller, TDDI)

Q3 FY26 Business Outlook: Based on current business outlook, Parade is providing the following guidance for the third quarter of fiscal 2026:

• Revenue: US$139–153 Million
• Gross margin: 40% - 44%
• Operating expenses: US$33.0 – 36.0 Million

Additional Data

Growth Engine (Y2015-Y2025 Trend):

• DP: Stable/Mature
• High-Speed I/F: Growing
• Touch: Growing
• Source Driver: Growing