Amkor Technology (NASDAQ: AMKR) reported Q1 EPS of ($0.04), $0.02 worse than the analyst estimate of ($0.02). Revenue for the quarter came in at $914 million versus the consensus estimate of $902.06 million.

GUIDANCE:

Amkor Technology sees Q2 2017 revenue of $955-1035 million, versus the consensus of $978.79 million.

Business Outlook

"Looking ahead to Q2, we expect that revenues will increase around 9% sequentially, driven by strength in communications and other markets," said Kelley.

"We expect to complete our acquisition of Nanium in the second quarter. Nanium is the leader in wafer-level fan-out technology and has already shipped over 1 billion units to major customers. This acquisition will strengthen our position in the wafer-level packaging market," continued Kelley.

"In Q2, we expect to complete the sale of our K1 factory in Korea," said Faust. "The sale price is approximately $140 million, and we expect to recognize an after-tax gain of approximately $80 million ($0.33 per diluted share)."

Second quarter 2017 outlook (unless otherwise noted):

• Net sales of $955 million to $1.035 billion, up 5% to 13% from the prior quarter
• Gross margin of 16% to 20%
• Net income of $86 million to $125 million, or $0.36 to $0.52 per share (includes gain from the sale of our K1 factory)
• Full year capital expenditures of around $500 million, unchanged from our previous forecast

For earnings history and earnings-related data on Amkor Technology (AMKR) click here.