2025-06-13-花旗集团-台郡科技（6269）_台郡科技（6269.TW）_负面外汇影响带来的利润率逆风；中性评级_15页_652kb

Summary of Citi Research Report on Flexium Interconnect (6269.TW)

• Company Overview: Flexium Interconnect is a Taiwanese flexible PCB manufacturer focused on smartphone applications, with 50%+ revenue from smartphones. It has gained market share from Japanese competitors and secured more iPhone designs for 2025, but faces profitability challenges.

Key Issues and Analyst View:

• Analyst Rating: Neutral, citing downside risks from NT dollar appreciation, which is pressuring gross margins and leading to negative GM in Q2 2025 due to cost impacts.
• FX Headwinds: Sharp NT dollar rise is eroding margins, delaying meaningful earnings recovery until 2026E, with 2025E earnings projected at NT$2,236mn (down from estimates).

Earnings and Valuation Highlights:

• Earnings Trend: Assumed decline in 2025E to NT$1,445mn EPS, driven by FX and limited ASP growth, followed by a recovery in 2026E to NT$2,187mn with 4.01 EPS at a 51.3% growth rate.
• Valuation Update: Target price reduced from NT$76 to NT$58 (14x 2026E EPS), down from NT$76, reflecting upside risk cuts. P/E has dropped to -8.3x in 2025E due to profitability trough.

Risks and Opportunities:

• Downside Risks: Negative FX impacts, competitive pressures from FPC peers, potential weaker-than-expected iPhone demand, and slower AI server adoption.
• Upside Catalysts: iPhone SE ramp-up may support better-than-expected sales momentum in Q2 2025; potential margin healing from lower SMT business and LCP adoption in AI servers could drive growth in 2026E.

Overall, Citi maintains a Neutral stance due to persistent FX headwinds pressuring near-term performance despite iPhone-related advancements.