UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
(Exact name of registrant as specified in its charter)
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||||||||||||
(Address of principal executive offices, including zip code)
(480 ) 821-5000
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
| Title of Each Class | Trading Symbol | Name of Each Exchange on Which Registered | ||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Item 2.02. Results of Operations and Financial Condition.
On February 13, 2023, Amkor Technology, Inc. announced in a press release its financial performance for the fourth quarter and year ended December 31, 2022. The information in this Current Report on Form 8-K, including the exhibit attached hereto, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to liability under that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits.
| Exhibit | Description | |||||||
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) | |||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| AMKOR TECHNOLOGY, INC. | ||||||||||||||
| By: | /s/ Megan Faust | |||||||||||||
| Megan Faust | ||||||||||||||
| Executive Vice President, Chief Financial Officer and Treasurer | ||||||||||||||
Date: February 13, 2023
 | |||||
Amkor Technology Reports Record Financial Results
for the Fourth Quarter and Full Year 2022
TEMPE, Ariz. -- February 13, 2023 -- Amkor Technology, Inc. (Nasdaq: AMKR), a leading provider of semiconductor packaging and test services, today announced financial results for the fourth quarter and full year ended December 31, 2022.
Fourth Quarter 2022 Highlights:
•Record fourth quarter net sales $1.91 billion, up 11% year-on-year
•Net income $164 million, earnings per diluted share $0.67
Full Year 2022 Highlights:
•Record net sales $7.09 billion, up 16% year-on-year
•Record gross profit $1.33 billion, record operating income $897 million
•Gross margin 18.8%, operating income margin 12.7%
•Record net income $766 million, record earnings per diluted share $3.11
•Record EBITDA $1.53 billion
•Net cash from operations $1.10 billion, free cash flow $194 million
“2022 was another great year for Amkor. We achieved record revenue of $7.1 billion and record EPS of $3.11. All end markets set new record revenue levels for the year, resulting in significant outperformance compared to the semiconductor market,” said Giel Rutten, Amkor’s president and chief executive officer. “Amkor’s strategic focus on advanced packaging, geographic diversity, and industry megatrends positions us well to continue to outperform the semiconductor industry through this cycle.”
Financial Results
| ($ in millions, except per share data) | Q4 2022 | Q3 2022 | Q4 2021 | 2022 | 2021 | ||||||||||||
| Net sales | $1,906 | $2,084 | $1,725 | $7,092 | $6,138 | ||||||||||||
| Gross margin | 17.5% | 20.2% | 21.0% | 18.8% | 20.0% | ||||||||||||
| Operating income | $225 | $319 | $252 | $897 | $763 | ||||||||||||
| Operating income margin | 11.8% | 15.3% | 14.6% | 12.7% | 12.4% | ||||||||||||
| Net income attributable to Amkor | $164 | $306 | $217 | $766 | $643 | ||||||||||||
| Earnings per diluted share | $0.67 | $1.24 | $0.88 | $3.11 | $2.62 | ||||||||||||
| EBITDA (1) | $382 | $481 | $398 | $1,529 | $1,331 | ||||||||||||
| Net cash provided by operating activities | $1,099 | $1,121 | |||||||||||||||
| Annual free cash flow (1) | $194 | $344 | |||||||||||||||
(1) EBITDA and free cash flow are non-GAAP measures. The reconciliations to the comparable GAAP measures are included below under “Selected Operating Data.”
At December 31, 2022, total cash and short-term investments was $1.24 billion, and total debt was $1.23 billion.
On November 15, 2022, Amkor’s Board of Directors announced a 50% increase in the company’s quarterly cash dividend, from $0.05 per share to $0.075 per share, on the company’s common stock. The increase was effective with the dividend paid on December 27, 2022. The declaration and payment of future dividends, as well as any record and payment dates, are subject to the approval of the Board of Directors.
Business Outlook
The following information presents Amkor’s guidance for the first quarter 2023 (unless otherwise noted):
•Net sales of $1.40 billion to $1.50 billion, a year-on-year decrease of 9% at midpoint
•Gross margin of 10.5% to 13.5%
•Net income of $15 million to $55 million, or $0.06 to $0.22 per diluted share
•Full year 2023 capital expenditures of approximately $800 million
Conference Call Information
Amkor will conduct a conference call on Monday, February 13, 2023, at 5:00 p.m. Eastern Time. This call may include material information not included in this press release. To access the live audio webcast and the accompanying slide presentation, visit the Investor Relations section of Amkor’s website, located at ir.amkor.com. The live call can also be accessed by dialing 1-877-407-4019 or 1-201-689-8337.
About Amkor Technology, Inc.
Amkor Technology, Inc. is one of the world’s largest providers of outsourced semiconductor packaging and test services. Founded in 1968, Amkor pioneered the outsourcing of IC packaging and test and is now a strategic manufacturing partner for the world’s leading semiconductor companies, foundries and electronics OEMs. Amkor’s operational base includes production facilities, product development centers and sales and support offices located in key electronics manufacturing regions in Asia, Europe and the USA. For more information visit amkor.com.
Jennifer Jue
Senior Director, Investor Relations and Finance
480-786-7594
jennifer.jue@amkor.com
AMKOR TECHNOLOGY, INC.
Selected Operating Data
| Q4 2022 | Q3 2022 | Q4 2021 | 2022 | 2021 | |||||||||||||||||||||||||
| Net Sales Data: | |||||||||||||||||||||||||||||
| Net sales (in millions): | |||||||||||||||||||||||||||||
| Advanced Products (1) | $1,488 | $1,640 | $1,273 | $5,368 | $4,409 | ||||||||||||||||||||||||
| Mainstream Products (2) | 418 | 444 | 452 | 1,724 | 1,729 | ||||||||||||||||||||||||
| Total net sales | $1,906 | $2,084 | $1,725 | $7,092 | $6,138 | ||||||||||||||||||||||||
| Packaging services | 88 | % | 87 | % | 86 | % | 87 | % | 86 | % | |||||||||||||||||||
| Test services | 12 | % | 13 | % | 14 | % | 13 | % | 14 | % | |||||||||||||||||||
| Net sales from top ten customers | 67 | % | 67 | % | 66 | % | 65 | % | 63 | % | |||||||||||||||||||
End Market Distribution Data: | |||||||||||||||||||||||||||||
| Communications (smartphones, tablets) | 50 | % | 47 | % | 42 | % | 44 | % | 41 | % | |||||||||||||||||||
| Automotive, industrial and other (ADAS, electrification, infotainment, safety) | 20 | % | 18 | % | 20 | % | 20 | % | 21 | % | |||||||||||||||||||
| Consumer (AR & gaming, connected home, home electronics, wearables) | 17 | % | 20 | % | 22 | % | 20 | % | 22 | % | |||||||||||||||||||
| Computing (data center, infrastructure, PC/laptop, storage) | 13 | % | 15 | % | 16 | % | 16 | % | 16 | % | |||||||||||||||||||
| Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | |||||||||||||||||||
| Gross Margin Data: | |||||||||||||||||||||||||||||
| Net sales | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | |||||||||||||||||||
| Cost of sales: | |||||||||||||||||||||||||||||
| Materials | 55.1 | % | 53.3 | % | 47.4 | % | 51.4 | % | 46.1 | % | |||||||||||||||||||
| Labor | 9.0 | % | 8.6 | % | 11.4 | % | 10.0 | % | 12.3 | % | |||||||||||||||||||
| Other manufacturing | 18.4 | % | 17.9 | % | 20.2 | % | 19.8 | % | 21.6 | % | |||||||||||||||||||
| Gross margin | 17.5 | % | 20.2 | % | 21.0 | % | 18.8 | % | 20.0 | % | |||||||||||||||||||
(1) Advanced products include flip chip, memory and wafer-level processing and related test services.
(2) Mainstream products include all other wirebond packaging and related test services.
AMKOR TECHNOLOGY, INC.
Selected Operating Data
In this press release, we refer to EBITDA, which is not defined by U.S. GAAP. We define EBITDA as net income before interest expense, income tax expense and depreciation and amortization. We believe EBITDA to be relevant and useful information to our investors because it provides additional information in assessing our financial operating results. Our management uses EBITDA in evaluating our operating performance, and our ability to service debt, and our ability to fund capital expenditures and pay dividends. However, EBITDA has certain limitations in that it does not reflect the impact of certain expenses on our consolidated statements of income, including interest expense, which is a necessary element of our costs because we have borrowed money in order to finance our operations, income tax expense, which is a necessary element of our costs because taxes are imposed by law, and depreciation and amortization, which is a necessary element of our costs because we use capital assets to generate income. EBITDA should be considered in addition to, and not as a substitute for, or superior to, operating income, net income or other measures of financial performance prepared in accordance with U.S. GAAP. Furthermore, our definition of EBITDA may not be comparable to similarly titled measures reported by other companies. Below is our reconciliation of EBITDA to U.S. GAAP net income.
| Non-GAAP Financial Measures Reconciliation: | |||||||||||||||||||||||||||||
| (in millions) | Q4 2022 | Q3 2022 | Q4 2021 | 2022 | 2021 | ||||||||||||||||||||||||
| EBITDA Data: | |||||||||||||||||||||||||||||
| Net income | $ | 164 | $ | 306 | $ | 217 | $ | 767 | $ | 646 | |||||||||||||||||||
| Plus: Interest expense | 15 | 15 | 13 | 59 | 52 | ||||||||||||||||||||||||
| Plus: Income tax expense | 46 | 4 | 25 | 90 | 69 | ||||||||||||||||||||||||
| Plus: Depreciation & amortization | 157 | 156 | 143 | 613 | 564 | ||||||||||||||||||||||||
| EBITDA | $ | 382 | $ | 481 | $ | 398 | $ | 1,529 | $ | 1,331 | |||||||||||||||||||
AMKOR TECHNOLOGY, INC.
Selected Operating Data
In this press release, we refer to free cash flow, which is not defined by U.S. GAAP. We define free cash flow as net cash provided by operating activities less payments for property, plant and equipment, plus proceeds from the sale of and insurance recovery for property, plant and equipment, if applicable. We believe free cash flow to be relevant and useful information to our investors because it provides them with additional information in assessing our liquidity, capital resources and financial operating results. Our management uses free cash flow in evaluating our liquidity, and our ability to service debt, and our ability to fund capital expenditures and pay dividends. However, free cash flow has certain limitations, including that it does not represent the residual cash flow available for discretionary expenditures since other, non-discretionary expenditures, such as mandatory debt service, are not deducted from the measure. The amount of mandatory versus discretionary expenditures can vary significantly between periods. This measure should be considered in addition to, and not as a substitute for, or superior to, other measures of liquidity or financial performance prepared in accordance with U.S. GAAP, such as net cash provided by operating activities. Furthermore, our definition of free cash flow may not be comparable to similarly titled measures reported by other companies. Below is our reconciliation of free cash flow to U.S. GAAP net cash provided by operating activities.
| Non-GAAP Financial Measures Reconciliation: | |||||||||||
| (in millions) | 2022 | 2021 | |||||||||
| Free Cash Flow Data: | |||||||||||
| Net cash provided by operating activities | $ | 1,099 | $ | 1,121 | |||||||
| Less: Purchases of property, plant and equipment | (908) | (780) | |||||||||
| Plus: Proceeds from sale of and insurance recovery for property, plant and equipment | 3 | 3 | |||||||||
| Free cash flow | $ | 194 | $ | 344 | |||||||
AMKOR TECHNOLOGY, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share data)
(Unaudited)
| For the Three Months Ended December 31, | For the Year Ended December 31, | ||||||||||||||||||||||
| 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
| Net sales | $ | 1,906,210 | $ | 1,724,644 | $ | 7,091,585 | $ | 6,138,329 | |||||||||||||||
| Cost of sales | 1,571,936 | 1,362,276 | 5,761,598 | 4,912,775 | |||||||||||||||||||
| Gross profit | 334,274 | 362,368 | 1,329,987 | 1,225,554 | |||||||||||||||||||
| Selling, general and administrative | 69,598 | 72,546 | 283,372 | 296,084 | |||||||||||||||||||
| Research and development | 39,594 | 37,413 | 149,429 | 166,037 | |||||||||||||||||||
| Total operating expenses | 109,192 | 109,959 | 432,801 | 462,121 | |||||||||||||||||||
| Operating income | 225,082 | 252,409 | 897,186 | 763,433 | |||||||||||||||||||
| Interest expense | 14,943 | 13,175 | 58,563 | 51,508 | |||||||||||||||||||
| Other (income) expense, net | 520 | (2,633) | (18,309) | (3,141) | |||||||||||||||||||
| Total other expense, net | 15,463 | 10,542 | 40,254 | 48,367 | |||||||||||||||||||
| Income before taxes | 209,619 | 241,867 | 856,932 | 715,066 | |||||||||||||||||||
| Income tax expense | 45,731 | 24,584 | 89,890 | 69,459 | |||||||||||||||||||
| Net income | 163,888 | 217,283 | 767,042 | 645,607 | |||||||||||||||||||
| Net income attributable to noncontrolling interests | 413 | (757) | (1,219) | (2,612) | |||||||||||||||||||
| Net income attributable to Amkor | $ | 164,301 | $ | 216,526 | $ | 765,823 | $ | 642,995 | |||||||||||||||
| Net income attributable to Amkor per common share: | |||||||||||||||||||||||
| Basic | $ | 0.67 | $ | 0.89 | $ | 3.13 | $ | 2.64 | |||||||||||||||
| Diluted | $ | 0.67 | $ | 0.88 | $ | 3.11 | $ | 2.62 | |||||||||||||||
| Shares used in computing per common share amounts: | |||||||||||||||||||||||
| Basic | 244,957 | 244,267 | 244,676 | 243,878 | |||||||||||||||||||
| Diluted | 246,693 | 245,894 | 246,205 | 245,704 | |||||||||||||||||||
AMKOR TECHNOLOGY, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
| December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| ASSETS | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ | 959,072 | $ | 826,744 | |||||||
| Restricted cash | — | 962 | |||||||||
| Short-term investments | 281,964 | 251,530 | |||||||||
| Accounts receivable, net of allowances | 1,365,504 | 1,258,767 | |||||||||
| Inventories | 629,576 | 484,959 | |||||||||
| Other current assets | 65,123 | 33,601 | |||||||||
| Total current assets | 3,301,239 | 2,856,563 | |||||||||
| Property, plant and equipment, net | 3,135,614 | 2,871,058 | |||||||||
| Operating lease right of use assets | 171,163 | 159,742 | |||||||||
| Goodwill | 21,517 | 24,516 | |||||||||
| Restricted cash | 3,334 | 3,815 | |||||||||
| Other assets | 188,890 | 122,860 | |||||||||
| Total assets | $ | 6,821,757 | $ | 6,038,554 | |||||||
| LIABILITIES AND EQUITY | |||||||||||
| Current liabilities: | |||||||||||
| Short-term borrowings and current portion of long-term debt | $ | 143,813 | $ | 153,008 | |||||||
| Trade accounts payable | 899,164 | 828,727 | |||||||||
| Capital expenditures payable | 146,602 | 210,875 | |||||||||
| Short-term operating lease liability | 70,991 | 64,233 | |||||||||
| Accrued expenses | 401,841 | 422,892 | |||||||||
| Total current liabilities | 1,662,411 | 1,679,735 | |||||||||
| Long-term debt | 1,088,521 | 984,988 | |||||||||
| Pension and severance obligations | 93,540 | 120,472 | |||||||||
| Long-term operating lease liabilities | 75,745 | 83,937 | |||||||||
| Other non-current liabilities | 201,839 | 196,876 | |||||||||
| Total liabilities | 3,122,056 | 3,066,008 | |||||||||
| Amkor stockholders’ equity: | |||||||||||
| Preferred stock | — | — | |||||||||
| Common stock | 291 | 290 | |||||||||
| Additional paid-in capital | 1,996,344 | 1,977,134 | |||||||||
| Retained earnings | 1,874,644 | 1,163,939 | |||||||||
| Accumulated other comprehensive income | 16,699 | 19,978 | |||||||||
| Treasury stock | (219,226) | (219,065) | |||||||||
| Total Amkor stockholders’ equity | 3,668,752 | 2,942,276 | |||||||||
| Noncontrolling interests in subsidiaries | 30,949 | 30,270 | |||||||||
| Total equity | 3,699,701 | 2,972,546 | |||||||||
| Total liabilities and equity | $ | 6,821,757 | $ | 6,038,554 | |||||||
AMKOR TECHNOLOGY, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
| For the Year Ended December 31, | |||||||||||
| 2022 | 2021 | ||||||||||
| Cash flows from operating activities: | |||||||||||
| Net income | $ | 767,042 | $ | 645,607 | |||||||
| Depreciation and amortization | 612,702 | 563,582 | |||||||||
| Other operating activities and non-cash items | 422 | 36,460 | |||||||||
| Changes in assets and liabilities | (281,410) | (124,354) | |||||||||
| Net cash provided by operating activities | 1,098,756 | 1,121,295 | |||||||||
| Cash flows from investing activities: | |||||||||||
| Payments for property, plant and equipment | (908,294) | (779,779) | |||||||||
| Proceeds from sale of property, plant and equipment | 3,148 | 3,157 | |||||||||
| Proceeds from insurance recovery for property, plant and equipment | — | 104 | |||||||||
| Payments for short-term investments | (438,803) | (414,208) | |||||||||
| Proceeds from sale of short-term investments | 33,972 | 87,273 | |||||||||
| Proceeds from maturities of short-term investments | 370,924 | 204,679 | |||||||||
| Other investing activities | (68,116) | (45,105) | |||||||||
| Net cash used in investing activities | (1,007,169) | (943,879) | |||||||||
| Cash flows from financing activities: | |||||||||||
| Proceeds from revolving credit facilities | 80,000 | — | |||||||||
| Payments of revolving credit facilities | (80,000) | — | |||||||||
| Proceeds from short-term debt | 29,711 | 15,514 | |||||||||
| Payments of short-term debt | (27,187) | (19,927) | |||||||||
| Proceeds from issuance of long-term debt | 366,386 | 353,587 | |||||||||
| Payments of long-term debt | (214,290) | (316,635) | |||||||||
| Payments of finance lease obligations | (40,673) | (20,373) | |||||||||
| Payments of dividends | (55,116) | (51,213) | |||||||||
| Other financing activities | (3,234) | 8,945 | |||||||||
| Net cash provided by (used in) financing activities | 55,597 | (30,102) | |||||||||
| Effect of exchange rate fluctuations on cash, cash equivalents and restricted cash | (16,299) | (17,990) | |||||||||
| Net increase in cash, cash equivalents and restricted cash | 130,885 | 129,324 | |||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 831,521 | 702,197 | |||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 962,406 | $ | 831,521 | |||||||
Forward-Looking Statement Disclaimer
This press release contains forward-looking statements within the meaning of the federal securities laws. You are cautioned not to place undue reliance on forward-looking statements, which are often characterized by terminology such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” “potential,” “continue” or “intend,” by the negative of these terms or other comparable terminology or by discussions of strategy, plans or intentions. All forward-looking statements in this press release are made based on our current expectations, forecasts, estimates and assumptions. Because such statements include risks and uncertainties, actual results may differ materially from those anticipated in such forward-looking statements as a result of various factors, including, but not limited to, the following:
•health conditions or pandemics, such as COVID-19, impacting labor availability and operating capacity, capital availability, the supply chain and consumer demand for our customers’ products and services;
•dependence on the highly cyclical, volatile semiconductor industry;
•industry downturns and declines in global economic and financial conditions;
•our substantial investments in equipment and facilities to support the demand of our customers;
•decisions to expend cash reserves for various uses in accordance with our capital allocation policy, including the payment of dividends, debt repayment, or stock repurchases;
•laws, rules, regulations and policies imposed by U.S. or other governments, such as tariffs, customs, duties, export controls, sanctions and other restrictive trade barriers and national security, data privacy and cybersecurity, antitrust and competition, tax, currency and banking, labor, environmental, health and safety laws;
•laws, rules, regulations and policies within China and other countries that may favor domestic companies over non-domestic companies, including customer- or government-supported efforts to promote the development and growth of local competitors;
•changes in costs, quality, availability and delivery times of raw materials, components and equipment, including any disruption in the supply of certain materials due to regulations and customer requirements, as well as supply constraints, production delays, fluctuations in commodity prices and wage inflation;
•dependence on international factories and operations and risks relating to our customers’ and vendors’ international operations;
•our substantial indebtedness and restrictive covenants in the indentures and agreements governing our current and future indebtedness;
•fluctuations in interest rates and changes in credit risk;
•difficulty funding our liquidity needs;
•dependence on key customers or concentration of customers in certain end markets, such as Communications and Automotive and Industrial;
•fluctuation in demand for semiconductors and conditions in the semiconductor industry generally, as well as by specific customers, such as inventory reductions by our customers impacting demand in key markets;
•difficulty attracting, retaining or replacing qualified personnel;
•changes in our capacity and capacity utilization rates;
•the effect of changes in revenue levels and capacity utilization on our gross margin
•competition with established competitors in the packaging and test business, the internal capabilities of integrated device manufacturers and new competitors, including foundries;
•decisions by our integrated device manufacturer and foundry customers to curtail outsourcing;
•maintaining an effective system of internal controls;
•the absence of backlog, the short-term nature of our customers’ commitments, double bookings by customers and deterioration in customer forecasts and the impact of these factors, including the possible delay, rescheduling and cancellation of large orders, or the timing and volume of orders relative to our production capacity;
•the development, transition and ramp to high volume manufacture of more advanced silicon nodes and evolving wafer, packaging and test services technologies, which may cause production delays, lower manufacturing yields and supply constraints for new wafers and other materials;
•the historical downward pressure on the prices of our packaging and test services;
•fluctuations in currency exchange rates, particularly the dollar/yen exchange rate for our operations in Japan;
•any warranty claims, product return and liability risks, and the risk of negative publicity if our products fail, as well as the risk of litigation incident to our business;
•the possibility that we may decrease or suspend our quarterly dividend;
•our continuing development and implementation of changes to, and maintenance and security of, our information technology systems;
•challenges with integrating diverse operations;
•any changes in tax laws, taxing authorities not agreeing with our interpretation of applicable tax laws, including whether we continue to qualify for tax holidays, or any requirements to establish or adjust valuation allowances on deferred tax assets;
•our ability to develop new proprietary technology, protect our proprietary technology, operate without infringing the proprietary rights of others and implement new technologies;
•our significant severance plan obligations associated with our manufacturing operations in Korea;
•natural disasters and other calamities, political instability, hostilities or other disruptions; and
•the ability of certain of our stockholders to effectively determine or substantially influence the outcome of matters requiring stockholder approval.
Other important risk factors that could affect the outcome of the events set forth in these statements and that could affect our operating results and financial condition are discussed in the company’s Annual Report on Form 10-K for the year ended December 31, 2021 (the “Form 10-K”) and from time to time in our other reports filed with or furnished to the Securities and Exchange Commission (“SEC”). You should carefully consider the trends, risks and uncertainties described in this press release, the Form 10-K and other reports filed with or furnished to the SEC before making any investment decision with respect to our securities. If any of these trends, risks or uncertainties continues or occurs, our business, financial condition or operating results could be materially and adversely affected, the trading prices of our securities could decline, and you could lose part or all of your investment. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by this cautionary statement. We assume no obligation to review or update any forward-looking statements to reflect events or circumstances occurring after the date of this press release except as may be required by applicable law.