Himax Technologies Reports Mixed Q1 Earnings, Declares 2024 Dividend

Himax Technologies reported mixed Q1 2025 results with a 3.7% year-over-year revenue increase to $215.1 million, driven by strong automotive segment sales up nearly 20%, despite a 9.3% sequential revenue decline attributed to seasonal factors. The company's gross margin was 30.5%, and earnings per diluted ADS exceeded expectations at 11.4 cents due to effective cost management. Himax declared a cash dividend of 37.0 cents per ADS for fiscal year 2024, representing an 81.1% payout ratio, underscoring its commitment to shareholder returns amid a focus on sustainable long-term growth. Analysts project continued growth, particularly in automotive IC solutions, with an average price target suggesting potential upside, though some caution remains due to declining revenues and cash flow challenges. The company is investing in emerging technologies like ultralow power AI and AR glasses, aiming to sustain innovation leadership. Overall, Himax maintains a robust balance sheet and positive long-term outlook despite short-term market and seasonal pressures.