WT Microelectronics (3036 TT), a Taiwan based IC distributor, today held its earnings conference for the fourth quarter of 2014 and announced financial results and future outlook. Consolidated revenue for the fourth quarter of 2014 was NT$30.327 billion, representing an increase of 5.59% compared with the third quarter of 2014. Gross profit margin for the quarter was 5.47%, operating profit was NT$657 million, operating profit margin was 2.17%, net income before taxes was NT$578 million, net income after taxes was NT$487 million, ratio for net income after taxes was 1.61%, and earnings per share was NT$1.56.

Consolidated revenue for 2014 was NT$107.766 billion, gross profit margin was 5.74%, operating profit was NT$2.461 billion, operating profit margin was 2.28%, net income before taxes was NT$2.245 billion, net income after taxes was NT$1.837 billion, ratio for net income after taxes was 1.70%, and earnings per share was NT$5.18.

Driven by a strong demand for the smartphone customers, consolidated revenue for the fourth quarter of 2014 was NT$30.327 billion, which exceeded the higher end of the guidance of NT$29.8 billion and hit record highs for three consecutive quarters. Due to a higher revenue contribution from the low margin business, gross profit margin for the further quarter was below annual average. As a result of an appropriate expenses control, operating expenses was in line with guidance, slightly higher than the third quarter. Inventory turnover day was better than expected, dropped from 49 days for the third quarter to 48 days for the fourth quarter.

Looking forward, due to fewer work days in the Chinese New Year holiday season, the company now expected consolidated revenue for the first quarter of 2015 to be between NT$28.5 billion and NT$30.1 billion; gross profit margin to be between 5.5% and 5.7%; operating expenses to be slightly down sequentially; and inventory turnover day to be flat compared with the fourth quarter of 2014.