Amkor 10-Q: Q3 Sales $1.99B, EPS $0.76, Margin Jumps to 18.3%
AMKR sits 33% above its 52-week low of $29.5 on elevated volume (1.9× avg).
Summary
Amkor's Q3 10-Q confirms $1.99B of sales and $0.76 EPS with gross margin up to 18.3%, but heavy capex pushed nine-month free cash flow to negative $319.1M, funded partly by roughly $1.9B of expected customer prepayments.
Key Events · Earnings and Guidance · AMKR
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Q3 Sales Flat, Margins Expand Sharply
Net sales of $1,990.6 million were up just 0.2% year over year, but gross margin rose to 18.3% from 14.3% and operating income jumped to $224.7 million from $158.9 million.
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Free Cash Flow Turns Negative on Capex
Nine-month operating cash flow of $868.3 million against $1,236.8 million of property, plant and equipment payments left free cash flow at negative $319.1 million, versus negative $13.2 million a year earlier.
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Debt Rises After $1.15B Convertible
Total debt reached $2,467.2 million from $1,445.2 million at year-end 2025, driven by the May 2026 0.00% convertible notes due 2031 with a $106.37 conversion price and $56.4 million of capped calls.
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Customer Prepayments Fund Expansion
About $1.9 billion of customer advance payments are expected within 12 months, and an October 2026 agreement adds roughly $1.3 billion expected in 2027; contract liabilities rose to $547.6 million from $390.8 million.
Analysis · AMKR · Manufacturing
The headline numbers were already out on October 26, but the full 10-Q fills in what the press release did not. Gross margin expanded to 18.3% from 14.3% a year ago on a richer product mix, pushing operating income to $224.7 million from $158.9 million. The offset is cash. Nine-month capex of $1,236.8 million against $868.3 million of operating cash flow left free cash flow at negative $319.1 million, and total debt climbed to $2,467.2 million after the $1.15 billion convertible notes issued in May. That spending is being underwritten by customers: roughly $1.9 billion of advance payments are expected within 12 months, and an October agreement adds about $1.3 billion for 2027. The thesis now rests on whether that prepayment-backed capacity build converts into revenue before depreciation and interest catch up.
How filings like this one have moved
In the 30 days to Oct 27, 2026, 29.9% of the 1374 measured filings Wiseek scored 7 moved their stock by 5% or more by the next session's close. The median move was -0.12%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, AMKR was trading at $39.34 on NASDAQ in the Manufacturing sector, with a market capitalization of approximately $9.8B. The 52-week trading range was $29.50 to $96.68. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.