Wistron made a huge profit of 5.74 yuan per share in Q3 and decided to increase capital expenditure by 12.8 billion yuan.

Wistron's board of directors approved a number of major investment cases today to further expand its AI-related business layout.

Wistron (3231)'s net profit attributable to owners of the parent company in the third quarter reached 18.402 billion yuan, an annual increase of 148.46%, and earnings per share were 5.74 yuan, which was better than 2.36 yuan in the same period last year. Wistron simultaneously announced the expansion of investment in AI-related businesses. The board of directors approved an additional capital expenditure of 12.839 billion yuan to invest in factories and equipment in Tainan and Hsinchu, and increased server production capacity in Mexico to continue to expand domestic and overseas production layout.

Wistron's third-quarter revenue was 1.14909 billion yuan, a quarterly increase of 28.33% and an annual increase of 102.37%; gross profit margin was 5.9%, a quarterly increase of 0.24 percentage points and an annual decrease of 1.49 percentage points; operating profit margin was 4.24%, a quarterly increase of 0.5 percentage points percentage points, an annual decrease of 0.54 percentage points; net profit attributable to owners of the parent company was 18.402 billion yuan, a quarterly increase of 24.09% and an annual increase of 148.46%; earnings per share was 5.74 yuan, which was better than 4.72 yuan in the previous quarter and 2.36 yuan in the same period last year.

Wistron's cumulative revenue in the first three quarters of this year was 2.890836 billion yuan, an annual increase of 97.25%; gross profit margin was 5.62%, an annual decrease of 0.76 percentage points; operating profit rate was 3.85%, an annual increase of 0.23 percentage points; net profit attributable to owners of the parent company was 42.86 billion yuan, an annual increase of 122.75%; earnings per share was 13.54 yuan, which was better than 6.43 yuan in the same period last year.

Wistron's board of directors approved a number of major investment projects today to further expand its AI-related business layout. Among them, 11.9 billion yuan and 939 million yuan of new capital expenditures were used for building improvements and purchasing machinery and equipment in Tainan and Hsinchu respectively, with a total investment of 12.839 billion yuan to cope with the expansion needs of new AI-related businesses.

In terms of overseas layout, Wistron's board of directors approved an additional capital expenditure of US$17.76 million (approximately NT$583 million) for the 100%-owned subsidiary Wistron InfoComm Mexico S.A. de C.V. to expand the server production capacity of the Mexican production base and continue to strengthen the overseas server manufacturing layout.

In addition, Wistron's board of directors also approved the acquisition of land and office plant real estate use rights assets in Hsinchu within a limit of no more than 2.8 billion yuan, and planned lease consolidation and lease extensions to meet subsequent operational needs. As new investment projects in Taiwan and Mexico continue to advance, Wistron continues to expand the resources required for AI-related business and server production to prepare for future operational development.