Au Optronics (NYSE:AUO)

1Q 2012 Result Highlights

AUO's unaudited consolidated results for the first quarter of 2012 were highlighted as below:

• Revenue was NT$81,102 million, down 9.4% quarter-over-quarter
• Net loss was NT$13,796 million
• Basic EPS was -NT$1.54 per common share
• Gross margin was -8%
• Operating margin was -16.6%
• EBITDA(3) margin was 8.2%

In the first quarter of 2012, shipments for AUO's large-sized panels reached around 27.3 million units, up by 1.8% quarter-over-quarter. Shipments for small and medium-sized panels were around 36.7 million units, down 21.1% quarter-over-quarter.

Due to the seasonal weakness in panel demand, the Company's revenue in the first quarter declined compared to the fourth quarter of last year. Nonetheless, because of effective cost control by AUO's management team, the operating margin and EBITDA margin improved sequentially over the previous quarter.

Looking forward to the second quarter, some of AUO's products that have been in development for a long time, such as the panels with new sizes or the products applying new display technologies, are expected to kick off mass production consecutively. The Company hopes the introduction of these new products could help it establish a base to capture the peak-season demand in the second half of this year, and meanwhile help improve revenues and shipments quarter over quarter.

HSINCHU, April 10, 2012 /PRNewswire-Asia-FirstCall/ -- AU Optronics Corp.("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced its preliminary consolidated March 2012 revenue of NT$31,441 million, up by 12.5% month-over-month and down by 12.5% year-over-year. AUO's unaudited consolidated revenues for the first quarter of 2012 totaled NT$81,102 million, down by 9.4% quarter-over-quarter and 13% year-over-year.

For March 2012, Large-sized panel(a) shipments, with applications on desktop monitor, notebook PC, LCD TV and other applications, surpassed 10.43 million units, an increase of 9.8% from the previous month. As for small-and-medium-sized panels, the shipments were around 13.22 million units, up by 0.8% month-over-month.

In the first quarter of 2012, large-sized panel shipments exceeded 27.25 million units, an increase of 1.8% from last quarter and a decrease of 4% over last year. On the other hand, shipments of small-and-medium-sized panels for the same quarter totaled 36.67 million units, down by 21.1% quarter-over-quarter and 15.7% year-over-year.

Fourth Quarter 2011 Results

HSINCHU, Taiwan, Jan. 9, 2012 /PRNewswire-Asia-FirstCall/ -- On January 9, 2012, in San Francisco, AU Optronics Corporation begins trial in the case brought against it, its subsidiary AUO America and five of its current and former executives by the United States Department of Justice ("DOJ"). Despite the huge fines sought by the DOJ, AUO continues to fight the case because it is the right thing to do as it wishes that the real facts be presented through trial. The Company believes that the allegations made by the DOJ and the large fines the DOJ seeks to obtain are not warranted by the law and facts, and the Company believes the executives who have been charged are innocent of the charges. The Company continues to fight because it believes in the integrity of those who have worked tirelessly to make the company what it is.  If a company, for expediency reasons, chooses to plead guilty and requires its executives to cooperate with the plea and serve prison terms, not only would it fail to protect the shareholders' and investors' interests, but it would also mean rejecting the diligence and hard work of all those who built the company, and instead to cast aspersions on their character and conduct in building the company, which goes against AUO's core value.  This, AUO will not do.

The story of AUO is very much the story of Taiwan itself.  The growth of AUO was filled with competition and challenges.  When AUO entered this industry more than a decade ago, the Company knew that the international competitors were dominant, and had been in the business for years.  Despite the odds, AUO took on the challenge and has fully and fiercely competed with its rivals. The Company did not, as the DOJ alleges, fix prices with its competitors to get to where it is now.  AUO competed with others through its innovation, hard work and the efficiency of its employees to gradually become a global leader in the TFT-LCD industry.

Doing the right thing, however, is not always the easiest thing.  The executives have paid a high price for their stance.  In 2010, after the indictments were finally issued, and although the executives appeared in court voluntarily, they were accused by the DOJ of being "flight risks" merely because there was no extradition treaty between the US and Taiwan.  The executives were forced to stay in the United States.  The executives then tried as best as they could to maintain their obligations to the Company, their peers, co-workers, employees, and most importantly, their families thousands of miles from home.  Some had elderly parents in failing health who they could not see and could not take care of in their twilight years.  Others had young children who they could not see grow up, and could only communicate with on the phone or on-line.  Professionally, the executives had to try to do their job based thousands of miles away without the ability to interact with others face-to-face.

The easy route would have been to plead, but pleading would have meant sacrificing core values and admitting to something that was not true.  During trial, AUO is confident that the facts will come out related to how competitive the TFT-LCD business has been; how competition in the industry has been fierce, driving many companies to abandon the business and leaving only those who are the most efficient and with the lowest cost; and most importantly, how the fierce competition drove the price for panels down lower and lower, making products from monitors to notebooks to flat screen televisions more affordable for everyone.

AUO and its executives have made many sacrifices in the past years.  The sacrifices have been made to protect the interest of its shareholders and investors, to guard the core value of the Company and to seek justice, and because, while others may have forgotten, AUO still remembers the story of how it fiercely competed with its rivals in the TFT-LCD industry.

The Company will continue to evaluate and take appropriate actions in the interest of the Company regarding antitrust related matters.

HSINCHU, Taiwan, July 7, 2011 /PRNewswire-Asia-FirstCall/ -- AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced its preliminary consolidated June 2011 revenue of NT$31,273 million, down by 6.9% month-over-month and 28.3% year-over-year. Due to customers' inventory adjustments, panel's order momentum was weaker than expected. In the second quarter of 2011, AUO's unaudited consolidated revenues totaled NT$98,050 million, up by 5.2% quarter-over-quarter and down by 23.7% year-over-year.

For June 2011, large-sizedpanel(a) shipments, with applications on desktop monitor, notebook PC, LCD TV and other applications, exceeded 9.2 million units, a decrease of 11.9% from the previous month. As for small-and-medium-sized panels, the shipments were around 16.55 million units, up by 11.7% month-over-month.

In the second quarter of 2011, large-sized panel shipments totaled over 29.63 million units, up 4.3% quarter-over-quarter and flattish year-over-year. Shipments of small-and-medium-sized panels in the same quarter reached around 45.47 million units, up by 4.6% quarter-over-quarter and down by 18% year-over-year.

We need cash primarily for capacity expansion and working capital. Although we have historically been able to meet our working capital requirements through cash flow from operations, our ability to expand our capacity has largely depended upon, and to a certain extent will continue to depend upon, our financing capability through the issuance of equity securities, long-term borrowings and the issuance of convertible and other debt securities.

We believe that our existing cash, cash equivalents, short-term investments, expected cash flow from operations and borrowings under our existing and future credit facilities should be sufficient to meet our present capital expenditure, working capital, cash obligations under our existing debt and lease arrangements and other requirements. We frequently need to invest in new capacity to improve our economies of scale and reduce our production costs, which may require us to raise additional capital.

HSINCHU, June 8, 2011 /PRNewswire-Asia/ --AU Optronics Corp. ("AUO" or the "Company") (TAIEX: 2409; NYSE: AUO) today announced its preliminary consolidated May 2011 revenue of NT$33,603 million, up by 1.3% month-over-month and down by 23.3% year-over-year.

For May 2011, large-sized panel(a) shipments, with applications on desktop monitor, notebook PC, LCD TV and other applications, were around 10.45 million units, an increase of 4.7% from the previous month. As for small-and-medium-sized panels, the shipments were nearly 14.82 million units, up by 5.0% month-over-month.

HSINCHU, Taiwan, April 27, 2011 /PRNewswire-Asia-FirstCall/ -- AU Optronics Corp. today held its investors conference and announced its unaudited results for the first quarter of 2011(1).

• AUO posted consolidated revenue of NT$93,230 million (US$3,171 million)(2), down 9.1% from the previous quarter.
• Gross profit was at -NT$6,270 million (-US$213 million), with the gross margin of -6.7%.
• Operating loss was at NT$14,227 million(US$484 million), with the operating margin of -15.3%.
• AUO's net loss for the first quarter was at NT$13,899 million (US$473 million).
• Net loss attributable to equity holders of the parent company was NT$13,978 million (US$475 million), with basic EPS of -NT$1.58 per common share (-US$0.54 per ADR).

"Owing to the weaker-than-expected TV panel prices and the currency influence of NT dollar appreciation, AUO's operating performance in the first quarter of 2011 fell short of expectations," said Mr. Andy Yang, Chief Financial Officer of AUO