10q10k10q10k.net

What changed in Himax Technologies, Inc.'s 20-F — 2023 vs 2024

vs

Paragraph-level year-over-year comparison of Himax Technologies, Inc.'s 2023 and 2024 20-F annual filings, covering the Business, Risk Factors, Legal Proceedings, Cybersecurity, MD&A and Market Risk sections. Every new, removed and edited paragraph is highlighted side-by-side so you can see exactly what management changed in the 2024 report.

+356 added−355 removedSource: 20-F (2025-04-02) vs 20-F (2024-04-02)

Top changes in Himax Technologies, Inc.'s 2024 20-F

356 paragraphs added · 355 removed · 261 edited across 6 sections

Item 2. Properties

Properties — owned and leased real estate

1 edited+0 added−0 removed0 unchanged
Biggest changeITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE 7 ITEM 3. KEY INFORMATION 7 3.A. [Reserved] 7 3.B. Capitalization and Indebtedness 7 3.C. Reason for the Offer and Use of Proceeds 7 3.D. Risk Factors 7 ITEM 4. INFORMATION ON THE COMPANY 22 4.A. History and Development of the Company 22 4.B. Business Overview 23 4.C. Organizational Structure 54 4.D.
Biggest changeITEM 2. OFFER STATISTICS AND EXPECTED TIMETABLE 4 ITEM 3. KEY INFORMATION 4 3.A. [Reserved] 4 3.B. Capitalization and Indebtedness 4 3.C. Reason for the Offer and Use of Proceeds 4 3.D. Risk Factors 4 ITEM 4. INFORMATION ON THE COMPANY 20 4.A. History and Development of the Company 20 4.B. Business Overview 21 4.C. Organizational Structure 53 4.D.

Item 3. Legal Proceedings

Legal Proceedings — active lawsuits and investigations

45 edited+15 added−11 removed177 unchanged
Biggest changeIf such a reduction in demand is not offset by the general growth of the industry, our market share or average selling prices, or our revenues may decline. In order to reduce costs, Panel Manufacturers generally seek to have display drivers with higher channel counts and new panel designs to reduce the number of display drivers required for each panel.
Biggest changeTechnological innovation may reduce the number of display drivers typically required for each panel, thereby reducing the number of display drivers we are able to sell per panel. If such a reduction in demand is not offset by the general growth of the industry, our market share or average selling prices, or our revenues may decline.
Therefore, suppliers could be in a better position to bargain for higher prices, longer contract terms, higher deposit and/or higher contract breach penalties for their services and products, which could result in an increase in our average unit cost and/or penalty expenses.
Therefore, suppliers could be in a better position to bargain for higher prices, longer contract terms, higher deposit and/or higher contract breach penalties for their services and products, which could result in an increase in our average unit cost and/or penalty expenses.
Proposed and existing efforts to address climate change by reducing greenhouse gas emissions could directly or indirectly affect our costs of compliance, including costs associated with changes to manufacturing processes or the procurement of raw materials used in manufacturing processes, increased capital expenditures to improve facilities and equipment, and higher compliance and energy costs to reduce emissions, as well as increased indirect costs resulting from our customers, suppliers or both incurring additional compliance costs that are passed on to us, which could harm our business and financial results by increasing our expenses or requiring us to alter our operations and product design activities. 17 Table of Contents In addition, climate change could cause certain natural disasters to occur more frequently or with greater intensity.
Proposed and existing efforts to address climate change by reducing greenhouse gas emissions could directly or indirectly affect our costs of compliance, including costs associated with changes to manufacturing processes or the procurement of raw materials used in manufacturing processes, increased capital expenditures to improve facilities and equipment, and higher compliance and energy costs to reduce emissions, as well as increased indirect costs resulting from our customers, suppliers or both incurring additional compliance costs that are passed on to us, which could harm our business and financial results by increasing our expenses or requiring us to alter our operations and product design activities. 15 Table of Contents In addition, climate change could cause certain natural disasters to occur more frequently or with greater intensity.
Moreover, the scarcity of high-voltage foundry capacity may necessitate us making investments in foundries in order to secure capacity, which would require us to substantially increase our capital outlays and possibly raise additional capital, which may not be available to us on satisfactory terms, if at all. 11 Table of Contents We generally do not enter long - term agreements with our foundry partners that guarantee production capacity, prices, lead times, or delivery schedules.
Moreover, the scarcity of high-voltage foundry capacity may necessitate us making investments in foundries in order to secure capacity, which would require us to substantially increase our capital outlays and possibly raise additional capital, which may not be available to us on satisfactory terms, if at all. 9 Table of Contents We generally do not enter long - term agreements with our foundry partners that guarantee production capacity, prices, lead times, or delivery schedules.
Accordingly, our failure to successfully design, develop and introduce new products and product enhancements could harm our business, financial condition and results of operations. 13 Table of Contents Our products are complex and may require modifications to resolve undetected errors or failures in order for them to function with panels at the desired specifications, which could lead to higher costs, customer dispute, a loss of customers or a delay in market acceptance of our products.
Accordingly, our failure to successfully design, develop and introduce new products and product enhancements could harm our business, financial condition and results of operations. 11 Table of Contents Our products are complex and may require modifications to resolve undetected errors or failures in order for them to function with panels at the desired specifications, which could lead to higher costs, customer dispute, a loss of customers or a delay in market acceptance of our products.
Therefore, our public shareholders may have more difficulty in protecting their interests through actions against our management, directors or major shareholders than shareholders of a corporation incorporated in a jurisdiction in the United States. 21 Table of Contents You may face difficulties in protecting your interests as a shareholder because judicial precedents regarding shareholders’ rights are more limited under Cayman Islands law than under U.S. law, and because Cayman Islands law generally provides less protection to shareholders than U.S. law.
Therefore, our public shareholders may have more difficulty in protecting their interests through actions against our management, directors or major shareholders than shareholders of a corporation incorporated in a jurisdiction in the United States. ​ 19 Table of Contents You may face difficulties in protecting your interests as a shareholder because judicial precedents regarding shareholders’ rights are more limited under Cayman Islands law than under U.S. law, and because Cayman Islands law generally provides less protection to shareholders than U.S. law.
Our inability to secure sufficient capacity from any of our third-party tape, assembly and testing houses at reasonable and competitive prices could disrupt our shipments, harm our customer relationships and reduce our sales.
Our inability to secure sufficient capacity from any of our third-party tape, assembly and testing houses at competitive prices could disrupt our shipments, harm customer relationships and reduce sales.
In addition, as a result of uncertain demand conditions, our customers may hesitate to build inventory on hand and tend to release orders on short notice. 12 Table of Contents We rely on the services of our key personnel, and if we are unable to retain our current key personnel and hire additional personnel, our ability to design, develop and successfully market our products could be harmed.
In addition, as a result of uncertain demand conditions, our customers may hesitate to build inventory on hand and tend to release orders on short notice. 10 Table of Contents We rely on the services of our key personnel, and if we are unable to retain our current key personnel and hire additional personnel, our ability to design, develop and successfully market our products could be harmed.
As of March 31, 2024, we are not aware of any material cyberattacks or incidents that had or would be expected to have a materially adverse effect on our business and operations, nor had we been involved in any legal proceedings or regulatory investigations related thereto. Our data centers are subject to the risk of break-ins and sabotage.
As of March 31, 2025, we are not aware of any material cyberattacks or incidents that had or would be expected to have a materially adverse effect on our business and operations, nor had we been involved in any legal proceedings or regulatory investigations related thereto. Our data centers are subject to the risk of break-ins and sabotage.
We cannot assure you that we will be able to increase or maintain our revenues and market share or compete successfully against our competitors in the semiconductor industry. 16 Table of Contents Our business could be materially and adversely affected if we fail to anticipate changes in evolving industry standards, fail to achieve and maintain technological leadership in our industry or fail to develop and introduce new and enhanced products.
We cannot assure you that we will be able to increase or maintain our revenues and market share or compete successfully against our competitors in the semiconductor industry. 14 Table of Contents Our business could be materially and adversely affected if we fail to anticipate changes in evolving industry standards, fail to achieve and maintain technological leadership in our industry or fail to develop and introduce new and enhanced products.
We cannot assure you that changes in such laws and regulations, or in their interpretation and enforcement, will not have a material adverse effect on the businesses and operations of our customers in the PRC and consequently have a material adverse effect on our business and operations. 18 Table of Contents Fluctuations in exchange rates could result in foreign exchange losses and affect our results of operations.
We cannot assure you that changes in such laws and regulations, or in their interpretation and enforcement, will not have a material adverse effect on the businesses and operations of our customers in the PRC and consequently have a material adverse effect on our business and operations. 16 Table of Contents Fluctuations in exchange rates could result in foreign exchange losses and affect our results of operations.
If we borrow funds to finance acquisitions, such debt instruments may contain restrictive covenants that can, among other things, restrict us from distributing dividends. 15 Table of Contents System security risks, data protection breaches or unexpected system outages or failures could impact our business.
If we borrow funds to finance acquisitions, such debt instruments may contain restrictive covenants that can, among other things, restrict us from distributing dividends. 13 Table of Contents System security risks, data protection breaches or unexpected system outages or failures could impact our business.
Actions may be taken even if they were opposed by our other shareholders. 14 Table of Contents Assertions against us by third parties for infringement of their intellectual property rights could result in significant costs and cause our operating results to suffer.
Actions may be taken even if they were opposed by our other shareholders. 12 Table of Contents Assertions against us by third parties for infringement of their intellectual property rights could result in significant costs and cause our operating results to suffer.
Further, our customers’ business performance may fluctuate significantly due to a number of factors, many of which are beyond their control, including and not limited to: (1) consumer demand and the general economic conditions, such as recent geopolitical tensions relating to invasion of Ukraine by Russia and China city lockdowns due to Covid mandates; (2) the cyclical nature of the TFT-LCD and OLED industry in average selling price fluctuations, as well as its downstream industries; (3) the speed at which Panel Manufacturers expand production capacity; (4) brand companies’ continued needs for original equipment manufacturing services provided by Panel Manufacturers; (5) access to raw materials, components, equipment and utilities on a timely and economical basis; (6) technological changes; (7) the rescheduling and cancellation of large orders; (8) access to funding on satisfactory terms; and (9) fluctuations in the currencies of TFT-LCD and OLED panels exporting countries against the U.S. dollar.
Further, our customers’ business performance may fluctuate significantly due to a number of factors, many of which are beyond their control, including and not limited to: (1) consumer demand and the general economic conditions, such as geopolitical tensions relating to invasion of Ukraine by Russia; (2) the cyclical nature of the TFT-LCD and OLED industry in average selling price fluctuations, as well as its downstream industries; (3) the speed at which Panel Manufacturers expand production capacity; (4) brand companies’ continued needs for original equipment manufacturing services provided by Panel Manufacturers; (5) access to raw materials, components, equipment and utilities on a timely and economical basis; (6) technological changes; (7) the rescheduling and cancellation of large orders; (8) access to funding on satisfactory terms; and (9) fluctuations in the currencies of TFT-LCD and OLED panels exporting countries against the U.S. dollar.
As of March 31, 2024, Jordan Wu and Dr. Biing-Seng Wu (who are brothers) beneficially owned approximately 2.1% and 22.0% of our ordinary shares, respectively. For information relating to the beneficial ownership of our ordinary shares, see “Item 7.A.
As of March 31, 2025, Jordan Wu and Dr. Biing-Seng Wu (who are brothers) beneficially owned approximately 2.1% and 22.0% of our ordinary shares, respectively. For information relating to the beneficial ownership of our ordinary shares, see “Item 7.A.
As a result, the cyclicality of the TFT-LCD and OLED panel industry could adversely affect our revenues, cost of revenues and results of operations. 7 Table of Contents Our strategy of expanding our product offerings to non-driver products may not be successful.
As a result, the cyclicality of the TFT-LCD and OLED panel industry could adversely affect our revenues, cost of revenues and results of operations. 4 Table of Contents Our strategy of expanding our product offerings to non-driver products may not be successful.
Our functional and reporting currency is U.S. dollars. In 2023, more than 99% of our revenues and cost of revenues were denominated in U.S. dollars. However, we have foreign currency exposure and are primarily affected by fluctuations in exchange rates between the U.S. dollar and the NT dollar.
Our functional and reporting currency is U.S. dollars. In 2024, more than 99% of our revenues and cost of revenues were denominated in U.S. dollars. However, we have foreign currency exposure and are primarily affected by fluctuations in exchange rates between the U.S. dollar and the NT dollar.
We may have to seek alternative foundries, which may not be available on commercially reasonable terms, or which may expose us to qualifying-new-foundry risks, as further discussed below. 10 Table of Contents We use several foundries for different semiconductor products, and certain of our products are manufactured at only one of these foundries.
We may have to seek alternative foundries, which may not be available on commercially reasonable terms, or which may expose us to qualifying-new-foundry risks, as further discussed below. We use several foundries for different semiconductor products, and certain of our products are manufactured at only one of these foundries.
Accordingly, holders of our ADSs may be unable to participate in our rights offerings and may experience dilution in their holdings as a result. You may be subject to limitations on transfer of your ADSs. Your ADSs represented by the ADRs are transferable on the books of the depositary.
Accordingly, holders of our ADSs may be unable to participate in our rights offerings and may experience dilution in their holdings as a result. 18 Table of Contents You may be subject to limitations on transfer of your ADSs. Your ADSs represented by the ADRs are transferable on the books of the depositary.
Failure to grow or maintain our revenues generated from the sales of display drivers could adversely and materially affect our results of operations and financial condition. We face risks related to public health epidemics, including the novel coronavirus outbreaks.
Failure to grow or maintain our revenues generated from the sales of display drivers could adversely and materially affect our results of operations and financial condition. ​ 6 Table of Contents We face risks related to public health epidemics, including the novel coronavirus outbreaks.
Such cyclicality and price fluctuations could negatively impact our business or results of operations. In 2022 and 2023, 86.8% and 85.1% of our revenues, respectively, were attributable to display drivers that were incorporated into TFT-LCD and OLED panels. We expect to continue to substantially depend on sales to the TFT-LCD and OLED panel industry for the foreseeable future.
Such cyclicality and price fluctuations could negatively impact our business or results of operations. In 2023 and 2024, 85.1% and 82.9% of our revenues, respectively, were attributable to display drivers that were incorporated into TFT-LCD and OLED panels. We expect to continue to substantially depend on sales to the TFT-LCD and OLED panel industry for the foreseeable future.
For example, in December 2023, approximately 70% of our operating expenses were denominated in NT dollars, with a small percentage denominated in Japanese Yen, Korean Won and Chinese Renminbi, and the majority of the remainder in U.S. dollars.
For example, in December 2024, approximately 62% of our operating expenses were denominated in NT dollars, with a small percentage denominated in Japanese Yen, Korean Won and Chinese Renminbi, and the majority of the remainder in U.S. dollars.
Our non-driver technologies cover Timing controller (TCON), LCoS microdisplay, CMOS image sensor, wafer level optics (“WLO”), 3D sensing and ultralow power WiseEye smart image sensing, etc. We offer TCON for large sized TV and monitor displays, automotive display and AMOLED panels.
Our non-driver technologies cover Timing controller (TCON), LCoS microdisplay, CMOS image sensor, wafer level optics (“WLO”), 3D sensing and WiseEye ultralow power AI sensing, etc. We offer TCON for large sized TV, notebook and monitor displays, automotive display and OLED panels.
The market price of our ADSs could decline as a result of sales of ADSs or shares or the perception that these sales could occur. As of March 31, 2024, we had 349,448,102 outstanding shares and a significant number of our shares were beneficially owned by certain major shareholders such as our directors and executive officers. See “Item 7.A.
The market price of our ADSs could decline as a result of sales of ADSs or shares or the perception that these sales could occur. As of March 31, 2025, we had 349,826,828 outstanding shares and a significant number of our shares were beneficially owned by certain major shareholders such as our directors and executive officers. See “Item 7.A.
Shortages of key components for our customers’ products could decrease demand for our products. Shortages of components and other materials that are critical to the design and manufacture of our customers’ products may limit our sales. These components and other materials include, but are not limited to, color filters, backlight modules, polarizers, printed circuit boards and glass substrates.
Shortages of components and other materials that are critical to the design and manufacture of our customers’ products may limit our sales. These components and other materials include, but are not limited to, color filters, backlight modules, polarizers, printed circuit boards and glass substrates.
In 2022 and 2023, 86.8% and 85.1% of our revenues, respectively, were from the sale of display drivers used for large, small and medium-sized applications, and we expect to continue to derive a substantial portion of our revenues from these or related products.
In 2023 and 2024, 85.1% and 82.9% of our revenues, respectively, were from the sale of display drivers used for large, small and medium-sized applications, and we expect to continue to derive a substantial portion of our revenues from these or related products.
We have been increasingly selling our products to customers in the PRC. In 2022 and 2023, approximately 77.0% and 76.2% of our revenues, respectively, were from customers headquartered in the PRC. We expect to continue to increase our sales to customers in the PRC in the future.
We have been increasingly selling our products to customers in the PRC. In 2023 and 2024, approximately 76.2% and 73.4% of our revenues, respectively, were from customers headquartered in the PRC. We expect to continue to increase our sales to customers in the PRC in the future.
However, we could not assure you of the success of our AMOLED driver IC as we are unable to penetrate into the mass volume existing Korean and China supplier chain and/or find new OLED panel manufactures to design-wins our solutions into.
The growth momentum in OLED solution is promising, however, we could not assure you of the success of our OLED driver IC as we are unable to penetrate into the mass volume existing Japan, Korean and China supplier chain and/or find new OLED panel manufactures to design-wins our solutions into.
The marketplace is increasing utilization of the OLED display for smartphone and other electronics areas, including notebook, tablet, TV and automotive due to expanded OLED capacity. We continue to gear up for the AMOLED driver IC development in partnership with major Chinese and Korean panel makers.
The marketplace is increasing utilization of the OLED display for smartphone and other electronics areas, including notebook, tablet, TV and automotive due to expanded OLED capacity. We continue to gear up for the OLED driver IC development in partnership with major Chinese, Japan and Korean panel makers. Himax’s OLED IC offering includes driver ICs, TCON and touch controller ICs.
The market price for our ADSs is volatile and has ranged from a low of $5.22 to a high of $8.7 on the NASDAQ Global Select Market in 2023.
The market price for our ADSs is volatile and has ranged from a low of $4.8 to a high of $9.8 on the NASDAQ Global Select Market in 2024.
As a result, any loss of or a sharp reduction in any such customer’s sales, a default by any such customer, a prolonged delay in the payment of accounts receivable or the extension of payment terms for our customers could adversely affect our cash flow, liquidity and operating results. 8 Table of Contents Our customers may experience a decline in profitability or may not be profitable at all, which could adversely affect our results of operations and financial condition.
As a result, any loss of or a sharp reduction in any such customer’s sales, a default by any such customer, a prolonged delay in the payment of accounts receivable or the extension of payment terms for our customers could adversely affect our cash flow, liquidity and operating results.
Moreover, the scarcity and importance of services may necessitate us making investments in foundry, tape, assembly and testing service providers in order to secure capacity, which would require us to substantially increase our capital outlays and possibly raise additional capital, which may not be available to us on satisfactory terms, if at all. 9 Table of Contents Technological innovation may reduce the number of display drivers typically required for each panel, thereby reducing the number of display drivers we are able to sell per panel.
Moreover, the scarcity and importance of services may necessitate us making investments in foundry, tape, assembly and testing service providers in order to secure capacity, which would require us to substantially increase our capital outlays and possibly raise additional capital, which may not be available to us on satisfactory terms, if at all.
Moreover, several Panel Manufacturers have in-house design capabilities and therefore may not need to source semiconductor products from us. If our customers successfully develop in-house capabilities to design and develop semiconductors that can substitute for our products, they would likely reduce or stop purchasing our products.
If our customers successfully develop in-house capabilities to design and develop semiconductors that can substitute for our products, they would likely reduce or stop purchasing our products.
We may also overestimate the market potential of the end products that are utilizing or will utilize our non-driver products.
We may underestimate the amount of capital, personnel and other resources required to develop and commercialize our non-driver products. We may also overestimate the market potential of the end products that are utilizing or will utilize our non-driver products.
We depend primarily on third-party foundries to manufacture our wafers, and any failure to obtain sufficient foundry capacity or loss of any of the foundries we use could significantly delay our ability to ship our products, causing us to lose revenues and damage our customer relationships.
OLED process maturity for the new manufactures and the possible specification change due to the immaturity of the OLED will also be a hurdle to our OLED driver share gain and success. ​ 8 Table of Contents We depend primarily on third-party foundries to manufacture our wafers, and any failure to obtain sufficient foundry capacity or loss of any of the foundries we use could significantly delay our ability to ship our products, causing us to lose revenues and damage customer relationships.
For automotive OLED display, we continue to win project awards for our flexible AMOLED driver, TCON, and touch controller IC with both conventional car makers and EV/NEV vendors. Finally, we are making good progress with leading panel houses for the development of OLED display drivers for smartphone, TV and notebook applications.
For automotive OLED display, we continue to win project awards for our flexible OLED driver IC, TCON, and touch controller IC with both conventional car makers and EV/NEV vendors.
Panel Manufacturers, including our customers, experience significant pressure on prices and profit margins, due largely to growing industry capacity and fluctuations in demand for TFT-LCD and OLED panels.
Our customers may experience a decline in profitability or may not be profitable at all, which could adversely affect our results of operations and financial condition. Panel Manufacturers, including our customers, experience significant pressure on prices and profit margins, due largely to growing industry capacity and fluctuations in demand for TFT-LCD and OLED panels.
Our two largest customers together accounted for over 39% of our revenues in 2023. See “Item 5.A. Operating Results—Description of Certain Statements of Profit or Loss Line Items—Revenues” for our revenues description. Our results of operations and financial condition would be significantly linked to the success and purchase policy of any such customer.
In 2024, Customer A and its affiliates accounted for 26.4% of our revenues. Our two largest customers together accounted for over 34% of our revenues in 2024. See “Item 5.A. Operating Results—Description of Certain Statements of Profit or Loss Line Items—Revenues” for our revenues description.
Major Shareholders and Related Party Transactions—Major Shareholders.” If we, our executive officers, or directors or our shareholders sell ADSs or shares, the market price for our shares or ADSs could decline. 20 Table of Contents You may not have the same voting rights as the holders of our ordinary shares and may not receive voting materials sufficiently in advance to be able to exercise your right to vote.
You may not have the same voting rights as the holders of our ordinary shares and may not receive voting materials sufficiently in advance to be able to exercise your right to vote.
If such designs or technologies become widely adopted, demand for our display drivers may decrease significantly, which would adversely and materially affect our results of operations. The strategic relationships between certain of our competitors and their customers and the development of in-house capabilities by Panel Manufacturers may limit our ability to expand our customer base and our growth prospects.
If such designs or technologies become widely adopted, demand for our display drivers may decrease significantly, which would adversely and materially affect our results of operations.
Developing and commercializing each of our non-driver products requires a significant amount of management, engineering and monetary resources. For example, we have established certain in-house facilities for key manufacturing processes of our non-driver products including LCoS microdisplay, WLO and 3D sensing.
For example, we have established certain in-house facilities for key manufacturing processes of our non-driver products including LCoS microdisplay, WLO and 3D sensing. Numerous uncertainties exist in developing new products and we cannot assure you that we will be able to develop our non-driver products successfully.
The concentration of our revenues and accounts receivable and the extension of payment terms for certain of our customers exposes us to increased credit risk and could harm our operating results and cash flows. In 2023, Customer A and its affiliates accounted for 28.7% of our revenues.
Moreover, we will be subject to higher ramp-up expenses in the early stage of mass production of our non-driver products. ​ 5 Table of Contents The concentration of our revenues and accounts receivable and the extension of payment terms for certain of our customers exposes us to increased credit risk and could harm our operating results and cash flows.
The lower capacity utilization rate of our factories will negatively affect our gross margin and our results of operations. Moreover, we will be subject to higher ramp-up expenses in the early stage of mass production of our non-driver products.
The lower capacity utilization rate of our factories will negatively affect our gross margin and our results of operations.
Certain of our competitors have established or may establish strategic or strong relationships with Panel Manufacturers that are also our existing or potential customers. Marketing our display drivers to such Panel Manufacturers that have established relationships with our competitors may be difficult.
The strategic relationships between certain of our competitors and their customers and the development of in-house capabilities by Panel Manufacturers may limit our ability to expand our customer base and our growth prospects. ​ 7 Table of Contents Certain of our competitors have established or may establish strategic or strong relationships with Panel Manufacturers that are also our existing or potential customers.
As of December 31, 2023, our accounts receivable from Customer A and its affiliates were $67.1 million, which represented approximately 28.5% of our accounts receivable, net. The concentration of our accounts receivable exposes us to increased credit risk. Moreover, we have at times agreed to extend the payment terms for certain of our customers.
Our results of operations and financial condition would be significantly linked to the success and purchase policy of any such customer. As of December 31, 2024, our accounts receivable from Customer A and its affiliates were $69.0 million, which represented approximately 29.1% of our accounts receivable, net. The concentration of our accounts receivable exposes us to increased credit risk.
Removed
For our ultralow power WiseEye smart image sensing business, we focus on providing leading end-point AI solutions, in both total solution and discrete key component, to meet diversified customer and application needs. Himax’s ultralow power WiseEye smart image sensing solution integrates in-house AoS sensor, ultralow power AI processor and CNN-based AI algorithm from in house or third-party algorithm partners.
Added
Himax’s WiseEye ultralow power AI sensing business delivers total solutions, discrete key components, and modules to meet diverse application needs. Our WiseEye AI solution was adopted by Dell in 2022 and expanded to other leading notebook vendors, with some projects slated for production in 2025.
Removed
Our WiseEye AI solution had already been adopted by one global leading notebook vendor and went into mass production from early 2022. We also see growing adoption of our WiseEye technology in a broad range of applications, covering shared bike parking, automotive, door lock, battery-powered surveillance camera, panoramic video conferencing, and medical capsule endoscope among others.
Added
Beyond notebooks, we partnered with DESMAN to introduce the world’s first smart door lock with 24/7 sentry monitoring and real-time event recording, which entered production in 2024. Additional smart door lock projects are underway, with more solutions expected in late 2025. To further expand market reach, Himax offers ultralow power, compact WiseEye Modules with no-code/low-code AI capabilities, simplifying AI integration.
Removed
Some of these applications already commenced production since 2022. As we focus on scaling adoption in this relatively untapped market, we also collaborate closely with numerous AI ecosystem partners and communities as well as system integration companies to make our AI solution more diverse and accessible.
Added
Leveraging WiseEye’s broad solution offerings, we continue expanding beyond the driver IC market into applications such as smart door locks, battery-powered surveillance cameras, access control, and smart home devices. In June 2024, Himax, in partnership with FOCI Fiber Optic Communications, Inc.
Removed
Progress has been made in areas such as notebook, smart city / home / office, surveillance, healthcare, smart agriculture and smart retail. Himax is more committed than ever to strengthening the Company’s WiseEye product roadmap and retaining the leadership position in ultralow power AI processor and image sensor for end-point AI applications.
Added
(FOCI), a world leader in silicon photonics connector, unveiled an industry-leading co-packaged optics (CPO) technology, leveraging Himax state-of-the-art WLO technology. This innovation integrates silicon photonic chips and optical connectors within MCM, replacing traditional metal wire transmission with high-speed optical communication.
Removed
Numerous uncertainties exist in developing new products and we cannot assure you that we will be able to develop our non-driver products successfully. We may underestimate the amount of capital, personnel and other resources required to develop and commercialize our non-driver products.
Added
The technology significantly enhances bandwidth, boosts data transmission rates, reduces signal loss and latency, lowers power consumption, and significantly minimizes the size and cost of MCM.
Removed
OLED process maturity for the new manufactures and the possible specification change due to the immaturity of the OLED will also be a hurdle to our AMOLED driver share gain and success. Himax’s solution for AMOLED includes driver ICs, TCON and touch controller ICs in automotive and tablet PC.
Added
In working closely with FOCI, we are making significant strides through a solid partnership with leading AI semiconductor companies and foundry, with small-scale production of the first-generation CPO solution already underway in end of 2024. Developing and commercializing each of our non-driver products requires a significant amount of management, engineering and monetary resources.
Removed
In addition, there are multiple AMOLED projects under development jointly with worldwide leading panel makers for other applications, including smart phones, TV, notebook PCs and many others. The growth momentum in AMOLED solution is promising, but the risk of high dependency on limited customer base amid current macro uncertainty might result in fluctuation in sales performance.
Added
Moreover, we have at times agreed to extend the payment terms for certain of our customers.
Removed
Therefore, dividend payments made by us would be subject to withholding tax in the ROC. 19 Table of Contents We may be affected by the Cayman Economic Substance Law Pursuant to the International Tax Co-operation (Economic Substance) Act (2021 Revision) (as amended) of the Cayman Islands (the “ES Act”), a “relevant entity” is required to satisfy the economic substance test set out in the ES Act.
Added
In order to reduce costs, Panel Manufacturers generally seek to have display drivers with higher channel counts and new panel designs to reduce the number of display drivers required for each panel.
Removed
A “relevant entity” includes an exempted company incorporated in the Cayman Islands as is our company. Based on the current interpretation of the ES Act, we believe that our company, Himax Technologies, Inc., is a pure equity holding company since it only holds equity participation in other entities and only earns dividends and capital gains.
Added
Marketing our display drivers to such Panel Manufacturers that have established relationships with our competitors may be difficult. Moreover, several Panel Manufacturers have in-house design capabilities and therefore may not need to source semiconductor products from us.
Removed
Accordingly, for so long as our company is a “pure equity holding company”, it is only subject to the minimum substance requirements, which require us to (i) comply with all applicable filing requirements under the Companies Act (2021 Revision) of the Cayman Islands; and (ii) have adequate human resources and adequate premises in the Cayman Islands for holding and managing equity participations in other entities.
Added
Himax’s advanced OLED on-cell touch controllers are setting new industry standards with an impressive touch signal-to-noise ratio of over 45 dB, ensuring reliable performance under challenging conditions such as glove-wearing or wet-finger operations.
Removed
However, there can be no assurance that we will not be subject to more requirements under the ES Act. Uncertainties over the interpretation and implementation of the ES Act may have an adverse impact on our business and operations. Risks Relating to Our ADSs and Our Trading Market The market price for our ADSs is volatile.
Added
The OLED on-cell touch controller for automotive applications entered production in the second quarter of 2024 and adoption is expanding across the board, with additional projects starting mass production in 2025. Finally, we are making good progress with leading panel houses for the development of OLED display drivers for smartphone and notebook applications.
Added
In case of capacity shortage of third-party tape, assembly and testing houses, we may need to enter contractual agreements with such suppliers for securing capacity. We may also be subject to contractual penalties if we are unable to purchase the committed volume from our partners.
Added
In addition, since these strategic agreements with our partners typically require us to make prepayments or refundable deposits to such partners, our cash flow, liquidity and financial condition could be adversely affected. Shortages of key components for our customers’ products could decrease demand for our products.
Added
Therefore, dividend payments made by us would be subject to withholding tax in the ROC. 17 Table of Contents Risks Relating to Our ADSs and Our Trading Market The market price for our ADSs is volatile.
Added
Major Shareholders and Related Party Transactions—Major Shareholders.” If we, our executive officers, or directors or our shareholders sell ADSs or shares, the market price for our shares or ADSs could decline.

Item 4. Mine Safety Disclosures

Mine Safety Disclosures — required of mining issuers

92 edited+31 added−14 removed182 unchanged
Biggest changeThe following table sets forth the features of our wafer level optics products: ​ Product Features Refractive Optical Lens ​ ● for Micro Lens Array(MLA) illumination diffuser, lighting control, flux illumination lens, collimation lens, and compact size camera lens ● provide multi-layer solution including optical AR coating, IR-cutting filter coating, aspheric surface ● double-side manufacture process ● already in mass production ​ Diffractive Optical Element (DOE) ​ ● computational imaging, flux illumination, dot projector for 3D sensing, 3D reconstruction, gesture and illumination control ● using WLO process to integral multi-layers DOE and refractive lens ● provide customized solution for specific application ● the smallest form factor and reflowable component ● eye safety detect circuit embedded ​ Diffuser element for flood illumination and TOF ​ ● using WLO process to integral multi-layers DOE technology ● the smallest form factor and reflowable component ● eye safety detect circuit embedded ​ ​ ​ Near Infrared (NIR) Projector Module ​ ● dot projector module solution for computer vision, 3D sensing, 3D reconstruction, gesture and illumination control ● integral NIR Laser (830/850/940nm), optical system (refractive+ diffractive lens) and high precise active alignment assembly solution to provide the smallest form factor ● module design for smartphone and other mobile devices ● provide customized module solution for different application ● the smallest form factor and reflowable device ● including active eye safety solution (Class-1) ​ ​ ​ Flood illumination Module ​ ● provide customized solution for specific application integral NIR Laser (830/850/940nm), and high precise active alignment assembly solution ● module design for smartphone and other mobile devices ● the smallest form factor and reflowable device ● including active eye safety solution (Class-1) ​ ​ ​ ​ 3D Sensing Business We continue to participate in most of the smartphone OEMs’ ongoing time-of-flight (ToF) 3D sensing projects.
Biggest changeWe initialed volume production starting in second quarter of 2023. 39 Table of Contents The following table sets forth the features of our wafer level optics products: ​ Product Features Refractive Optical Lens ​ ● for Micro Lens Array(MLA) illumination diffuser, lighting control, flux illumination lens, collimation lens, and compact size camera lens ● provide multi-layer solution including optical AR coating, IR-cutting filter coating, aspheric surface ● double-side manufacture process ● already in mass production ​ Diffractive Optical Element (DOE) ​ ● computational imaging, flux illumination, dot projector for 3D sensing, 3D reconstruction, gesture and illumination control ● using WLO process to integral multi-layers DOE and refractive lens ● provide customized solution for specific application ● the smallest form factor and reflowable component ● eye safety detect circuit embedded ​ Diffuser element for flood illumination and TOF ​ ● using WLO process to integral multi-layers DOE technology ● the smallest form factor and reflowable component ● eye safety detect circuit embedded ​ ​ ​ Near Infrared (NIR) Projector Module ​ ● dot projector module solution for computer vision, 3D sensing, 3D reconstruction, gesture and illumination control ● integral NIR Laser (830/850/940nm), optical system (refractive+ diffractive lens) and high precise active alignment assembly solution to provide the smallest form factor ● module design for smartphone and other mobile devices ● provide customized module solution for different application ● the smallest form factor and reflowable device ● including active eye safety solution (Class-1) ​ ​ ​ Flood illumination Module ​ ● provide customized solution for specific application integral NIR Laser (830/850/940nm), and high precise active alignment assembly solution ● module design for smartphone and other mobile devices ● the smallest form factor and reflowable device ● including active eye safety solution (Class-1) ​ ​ ​ FAU (Fiber Array Unit) in CPO ​ ● Collaborated with FOCI to offer FAU, enabling silicon photonic-to-fiber connections for high-speed optical links, replacing metal wire transmission to enhance bandwidth, boost data rates, reduce signal loss, latency, energy use, and MCM module size and cost ● WLO offers nano-scale precision optical characteristics and provides precise optical coupling capability along with connector functionality ​ 3D Sensing Business We continue to participate in most of the smartphone OEMs’ ongoing time-of-flight (ToF) 3D sensing projects.
The following table summarizes the features of our ASIC service: ​ ​ ​ Product Features ASIC Service ​ ● Well-established ASIC development platform, based on our unique video processor and image processing technologies. ● offer a wide variety of video interface IPs, like LVDS, HDMI, DVI, V-by-one, Display port, MIPI, MHL, etc. ● built-in 8/32- bit microprocessor built-in video processing algorithm like super-high resolution, sun-light readable, MEMC, FRC, etc. ● built-in 3D feature technologies like 2D-to-3D, Glasses-free 3D, 3D multi-view, 3D visual protection, etc. ● support 4K x 2K/ 5K x 2K/ 8K x 4K display ● Depth sensing algorithm and hardware accelerator for 3D sensing and AR/VR applications ​ ​ LCoS and MEMS Products Himax Display, our subsidiary, has contributed to our microdisplay products lines: Color-filter LCoS, Color-sequential LCoS, Front-Lit LCoS, Phase modulation LCoS and MEMS.
The following table summarizes the features of our ASIC service: ​ ​ ​ Product Features ASIC Service ​ ● Well-established ASIC development platform, based on our unique video processor and image processing technologies. ● offer a wide variety of video interface IPs, like LVDS, HDMI, DVI, V-by-one, Display port, MIPI, MHL, etc. ● built-in 8/32- bit microprocessor built-in video processing algorithm like super-high resolution, sun-light readable, MEMC, FRC, etc. ● built-in 3D feature technologies like 2D-to-3D, Glasses-free 3D, 3D multi-view, 3D visual protection, etc. ● support 4K x 2K/ 5K x 2K/ 8K x 4K display ● Depth sensing algorithm and hardware accelerator for 3D sensing and AR/VR applications ​ ​ ​ 32 Table of Contents LCoS and MEMS Products Himax Display, our subsidiary, has contributed to our microdisplay products lines: Color-filter LCoS, Color-sequential LCoS, Front-lit LCoS, Phase modulation LCoS and MEMS.
WiseEye Module ​ ● embedded WiseEye1 or WiseEye2 AI processors ● support HM01B0 (320x240) and HM0360 (640x480) CMOS image sensors ● small form factor (12.5mm x 17.0mm and 20.5mm*21.5mm) ● plug-and-play design which support various types of connectors, such as ZIF FPC 24pin and 45-pin golden finger (model dependent) ● rich sets of peripherals (UART/I2C/I2S/PDM/SPI/GPIO/MIPI) and JTAG for debug (model dependent) ● provide SDK, development tool and technical documentations ● support various pre-trained pre-loaded AI models ​ 46 Table of Contents Core Technologies and Know-How Driving System Technology.
WiseEye Module ​ ● embedded WiseEye1 or WiseEye2 AI processors ● support HM01B0 (320x240) and HM0360 (640x480) CMOS image sensors ● small form factor (12.5mm x 17.0mm and 20.5mm*21.5mm) ● plug-and-play design which support various types of connectors, such as ZIF FPC 24pin and 45-pin golden finger (model dependent) ● rich sets of peripherals (UART/I2C/I2S/PDM/SPI/GPIO/MIPI) and JTAG for debug (model dependent) ● provide SDK, development tool and technical documentations ● support various pre-trained pre-loaded AI models ​ 45 Table of Contents Core Technologies and Know-How Driving System Technology.
We are very encouraged by the traction this relatively new product line has generated in a short amount of time and expect to see increasing sales contribution moving forward. 45 Table of Contents The following table sets forth the features of our WiseEye product lines: ​ ​ ​ Product ​ Features WiseEye1 AI Processor ​ ● Ultralow power consumption: 40 uW/MHz ● Support image, voice trigger simultaneously to wake up system ● Optimized multi-layer power states for always-on applications ● Ready-for- use software package and Machine Learning Library, including device driver, SDK and embARC Machine Learning Inference Library to support Google TensorFlow Lite Micro framework ● ARC-EM9D 32-bit DSP: Frequency up to 400MHz, ● Memory: Up to 2MByte SRAM ● High performance pixel processing accelerator and JPEG codec ● Security Engine: Support secure boot, secure FW update, secure debug mode, Support AES 128bits, RSA 2048bits, Hash-256, TRNG, Secure key management ● Peripheral: 1/4/8-bit camera interface, I2C/SPI master/slave, UART, PWM, GPIO with 5 wake-up pins, 12-bit ADC with 4 channels, up to 1Msps, RTC Timer ● Also support image pre-rolling feature for better security offering.
We are very encouraged by the traction this relatively new product line has generated in a short amount of time and expect to see increasing sales contribution moving forward. 44 Table of Contents The following table sets forth the features of our WiseEye product lines: ​ ​ ​ Product ​ Features WiseEye1 AI Processor ​ ● Ultralow power consumption: 40 uW/MHz ● Support image, voice trigger simultaneously to wake up system ● Optimized multi-layer power states for always-on applications ● Ready-for- use software package and Machine Learning Library, including device driver, SDK and embARC Machine Learning Inference Library to support Google TensorFlow Lite Micro framework ● ARC-EM9D 32-bit DSP: Frequency up to 400MHz, ● Memory: Up to 2MByte SRAM ● High performance pixel processing accelerator and JPEG codec ● Security Engine: Support secure boot, secure FW update, secure debug mode, Support AES 128bits, RSA 2048bits, Hash-256, TRNG, Secure key management ● Peripheral: 1/4/8-bit camera interface, I2C/SPI master/slave, UART, PWM, GPIO with 5 wake-up pins, 12-bit ADC with 4 channels, up to 1Msps, RTC Timer ● Also support image pre-rolling feature for better security offering.
WiseEye is especially suitable for resource-constrained and battery powered context-aware application, such as motion detection, human detection and face detection, face mesh, face landmark and gesture. ● Computer vision algorithm is based on tiny machine learning framework, which is trainable for desired use cases (human presence detection, attention detection and on-looker detection for notebook applications; occupancy detection, gesture recognition etc. for AIoT applications) on ultralow power and resource-constrained compute platform (CPU clock, internal memory) ​ For the other business model, we provide key components, such as proprietary ultralow power WiseEye1 AI processor or Always-On CMOS image sensor (AoS).
WiseEye is especially suitable for resource-constrained and battery powered context-aware application, such as motion detection, human detection and face detection, face mesh, face landmark and gesture. ● Computer vision algorithm is based on tiny machine learning framework, which is trainable for desired use cases (human presence detection, attention detection and on-looker detection for notebook applications; occupancy detection, gesture recognition etc. for AIoT applications) on ultralow power and resource-constrained compute platform (CPU clock, internal memory) ​ For the other business model, we provide key components, such as proprietary ultralow power WiseEye1 or WiseEye2 AI processor or Always-On CMOS image sensor (AoS).
This shift is demonstrative of our exceptional achievements in both performance and functionality, marked by breakthroughs not only in the luminance performance in full RGB color, but also in terms of superior optical efficiency, tiny form factor and ultra-lightweight design. These factors are critical and represent technological advancements that may meet rigorous requirements to support next generation see-through goggles.
This shift is demonstrative of our exceptional achievements in both performance and functionality, marked by breakthroughs not only in the luminance performance in full RGB color, but also in terms of superior optical efficiency, tiny form factor and ultra-lightweight design. These factors are critical and represent technological advancements that meet rigorous requirements to support next generation see-through goggles.
This consolidates our market presence in the emerging e-reading and e-signage segments from 2022 and onward. ​ 33 Table of Contents The following table summarizes the features of our Electronic Paper Display (EPD) solutions: ​ Product Features Electronic Paper Display (EPD) Source Drivers ​ ● Features 320 to 1296 output channels ● output driving voltage ranging from 15 up to 50v ● input logic voltage ranging from standard 3.3V to low power 1.8V ● low power consumption and low EMI ● support TTL, mini-LVDS cascade modulated driver interface, or MIPI high-speed interface and customized interface technologies ● support COF and COG package types ​ ​ ​ Electronic Paper Display (EPD) Gate Drivers ​ ​ ● 100 to 972 output channels ● output driving voltage ranging from 10 up to 50v ● input logic voltage ranging from standard 3.3V to low power 1.8V low power consumption ● support COF and COG package types ​ ​ ​ Electronic Paper Display (EPD) Timing Controller ​ ● Support MIPI 4 lane input interface ● Support TTL, mini-LVDS output interface ● Support maximum resolution 3840x2160 ● Use USB/SPI/I2C control interface ● Support LPDDR2 memory ​ ​ ​ Electronic Shelf Label (ESL) Integrated Drivers ​ ● Highly integrated chip embedded with source driver, timing controller and power circuit ● Source driver output driving voltage ranging up to 30V ● Support COG package types ​ Touch Controller ICs We offer touch controller solutions for capacitive touch panels.
This consolidates our market presence in the emerging e-reading and e-signage segments from 2022 and onward. ​ 30 Table of Contents The following table summarizes the features of our Electronic Paper Display (EPD) solutions: ​ Product Features Electronic Paper Display (EPD) Source Drivers ​ ● Features 320 to 1296 output channels ● output driving voltage ranging from 15 up to 50v ● input logic voltage ranging from standard 3.3V to low power 1.8V ● low power consumption and low EMI ● support TTL, mini-LVDS cascade modulated driver interface, or MIPI high-speed interface and customized interface technologies ● support COF and COG package types ​ ​ ​ Electronic Paper Display (EPD) Gate Drivers ​ ​ ● 100 to 972 output channels ● output driving voltage ranging from 10 up to 50v ● input logic voltage ranging from standard 3.3V to low power 1.8V low power consumption ● support COF and COG package types ​ ​ ​ Electronic Paper Display (EPD) Timing Controller ​ ● Support MIPI 4 lane input interface ● Support TTL, mini-LVDS output interface ● Support maximum resolution 3840x2160 ● Use USB/SPI/I2C control interface ● Support LPDDR2 memory ​ ​ ​ Electronic Shelf Label (ESL) Integrated Drivers ​ ● Highly integrated chip embedded with source driver, timing controller and power circuit ● Source driver output driving voltage ranging up to 30V ● Support COG package types ​ Touch Controller ICs We offer touch controller solutions for capacitive touch panels.
The Company collaborates with world-leading edge-to-cloud service providers and system integration companies, such as Google TensorFlow, Microsoft Azure, Arm AI Partner Program, tinyML Foundation, Seeed Studio and many others, to enjoy the enormous network of these ecosystems partners and their numerous participants to drive further adoption on applications such as smart home/ office, healthcare, agriculture, retail and many other applications.
The Company collaborates with world-leading edge-to-cloud service providers and system integration companies, such as Google TensorFlow, Microsoft Azure, Arm AI Partner Program, EDGE AI Foundation, Seeed Studio and many others, to enjoy the enormous network of these ecosystems partners and their numerous participants to drive further adoption on applications such as smart home/ office, healthcare, agriculture, retail and many other applications.
We started mass production for the world’s first 12.4” WQXGA super high-resolution in-cell tablet PC with a leading end customer in 2021 and expanded collaborations with more brands into more models moving forward. Tablet in-cell TDDI offers the benefits of lower cost and a simplified supply chain that represents an easier manufacturing process for panel makers.
We started mass production for the world’s first 12.4” WQXGA super high-resolution in-cell tablet with a leading end customer in 2021 and expanded collaborations with more brands into more models moving forward. Tablet in-cell TDDI offers the benefits of lower cost and a simplified supply chain that represents an easier manufacturing process for panel makers.
The following table summarizes certain features of our power management IC products: ​ ​ Product Features Integrated Multi-Channel Power Solutions for TFT-LCD and OLED Notebooks ​ ● PMIC, PGOP 2-in-1 and Level Shifter ● 2ch programmable gamma voltage inside ● PAVDD Synchronous Boost Converter ● NAVDD Synchronous Inverting Converter ● VGH / VGL Synchronous SIBO Converter ● 3ch Vint OP for OLED Panel ● built-in power MOSFET ● step-up PWM converter ● charge pump regulator ● LDO regulator ● programmable voltage detector ● gate pulse modulator ● Vcom operational amplifier ● I2C programmable ● low frame rate control for power saving solution ● built in UVLO, UVP, OVP, SCP and OTP protection ​ ​ ​ Integrated Multi-Channel Power Solutions for Monitors ​ ● PMIC, PGOP and Level Shifter 3-in-1 ● built-in power MOSFET ● step-up PWM converter ● HV LDO regulator ● programmable voltage detector ● gate pulse modulator ● programmable Vcom voltage / Vcom operational amplifier ● programmable gamma voltage with operational amplifier ● built in UVLO, UVP, OVP, SCP and OTP protection ​ ​ ​ 37 Table of Contents Integrated Multi-Channel Power Solutions for TVs ​ ● PMIC, PGOP 2-in-1 and Level Shifter ● built-in power MOSFET ● step-up PWM converter ● step-down PWM converter ● charge pump and buck-boost regulator ● HV LDO regulator ● programmable voltage detector ● gate pulse modulator ● Vcom operational amplifier ● I2C programmable ● programmable gamma voltage with operational amplifier ● built in UVLO, UVP, OVP, SCP and OTP protection ​ Programmable Gamma OP ICs It is a Programmable Gamma, DVR and VCOM IC.
The following table summarizes certain features of our power management IC products: ​ ​ Product Features Integrated Multi-Channel Power Solutions for TFT-LCD and OLED Notebooks ​ ● PMIC, PGOP 2-in-1 and Level Shifter ● 2ch programmable gamma voltage inside ● PAVDD Synchronous Boost Converter ● NAVDD Synchronous Inverting Converter ● VGH / VGL Synchronous SIBO Converter ● 3ch Vint OP for OLED Panel ● built-in power MOSFET ● step-up PWM converter ● charge pump regulator ● LDO regulator ● programmable voltage detector ● gate pulse modulator ● Vcom operational amplifier ● I2C programmable ● low frame rate control for power saving solution ● built in UVLO, UVP, OVP, SCP and OTP protection ​ ​ ​ Integrated Multi-Channel Power Solutions for Monitors ​ ● PMIC, PGOP and Level Shifter 3-in-1 ● built-in power MOSFET ● step-up PWM converter ● HV LDO regulator ● programmable voltage detector ● gate pulse modulator ● programmable Vcom voltage / Vcom operational amplifier ● programmable gamma voltage with operational amplifier ● built in UVLO, UVP, OVP, SCP and OTP protection ​ ​ ​ Integrated Multi-Channel Power Solutions for TVs ​ ● PMIC, PGOP 2-in-1 and Level Shifter ● built-in power MOSFET ● step-up PWM converter ● step-down PWM converter ● charge pump and buck-boost regulator ● HV LDO regulator ● programmable voltage detector ● gate pulse modulator ● Vcom operational amplifier ● I2C programmable ● programmable gamma voltage with operational amplifier ● built in UVLO, UVP, OVP, SCP and OTP protection ​ 35 Table of Contents Programmable Gamma OP ICs It is a Programmable Gamma, DVR and VCOM IC.
We believe key factors that differentiate the competition in our industry include: ● customer relations; ● product performance; ● design customization; ● development time / product release; ● product integration; ● technical services; ● manufacturing costs; ● supply chain management; ● timely delivery; ● economies of scale; and ● broad product portfolio. 52 Table of Contents We continually face intense competition from fabless display driver companies, including Fitipower Integrated Technology, Inc., FocalTech Systems Co., Ltd., Novatek Microelectronics Corp., Raydium Semiconductor Corporation, Sitronix Technology Co., Ltd., Ilitek Corp., LX Semicon., ESWIN, Chipone, Newvision, Ribbon Display Japan, Hisilicon and Synaptics Incorporated.
We believe key factors that differentiate the competition in our industry include: ● customer relations; ● product performance; ● design customization; ● development time / product release; ● product integration; ● technical services; ● manufacturing costs; ● supply chain management; ● timely delivery; ● economies of scale; and ● broad product portfolio. 51 Table of Contents We continually face intense competition from fabless display driver companies, including Fitipower Integrated Technology, Inc., FocalTech Systems Co., Ltd., Novatek Microelectronics Corp., Raydium Semiconductor Corporation, Sitronix Technology Co., Ltd., Ilitek Corp., LX Semicon., ESWIN, Chipone, Newvision, Ribbon Display Japan, Hisilicon and Synaptics Incorporated.
The following table sets forth the features of our CMOS image sensor products: Product Features 4MP UltraSense 2 NIR Sensor ​ ● 1/3” format color type with high sensitivity BSI pixel ● 4MP resolution with 1:1 aspect ratio with Staggered HDR function at 30 frames per second for doorbell application, ● Provide ultralow power mode to support pre-rolling function with Himax WiseEye1 AI processor ● 4-lane MIPI CSI2 outputs RAW8/10 ● ES target at 2023 Q2 ​ FHD 1/7” 1080p UltraSense Color Image Sensor ​ ● 1/7” format with high sensitivity BSI pixel ● 1080p FHD resolution at 60 frames per second ● Support Always-on mode at 480x270 ● Support line-based staggered HDR ● 2-lane MIPI CSI2 outputs ● Frame-Sync control for multiple camera system ​ ​ ​ 39 Table of Contents Product Features FHD 1/4” 1080p UltraSense Color Image Sensor ​ ​ ● 1/4” format with high sensitivity BSI pixel ● 1080p FHD resolution at 30 frames per second ● Low power consumption ● Provide high NIR sensitivity and 4x4 RGB-IR option ● 2-lane MIPI CSI2 and 10bit parallel DVP outputs ● Frame-Sync control for multiple camera system ​ ​ ​ HD 720p UltraSense 2 Color Image Sensor ​ ● 1/9” format with high sensitivity BSI pixel ● 720p HD resolution at 30 frames per second ● Low power consumption ● Support LED-sync for Microsoft Windows Hello ● 1-lane MIPI CSI2 outputs RAW8/10 ​ HD 720p Ultra Low Power Color Image Sensor ​ ● 1/11” format with high sensitivity BSI pixel ● 720p HD resolution at 60 frames per second ● Ultra slim design to meet 2.2mm narrow bezel notebook computer ● Provide Ultralow Power mode ● Provide RGB for video and W-IR version for AoS + Windows Hello ● Support Motion Detection to save system power SPI and 1-lane MIPI CSI2 dual outputs for both detection and video ​ 1.3MP ClearSense EDR Color Image Sensor embedded with image processor for Surveillance ​ ​ ​ ● 1/4” format with ultra-high sensitivity ● ClearSense achieves higher dynamic range in color up to 84dB with on-chip tone mapping ● 800p and 720p resolution at 30 frames per second ● Flexi engine automatically controls dynamic range, exposure, gain, and white balance to balance color fidelity and contrast ● Color processing pipeline including lens shading correction, defect correction, edge enhancement, color interpolation and correction, gamma control, and saturation/hue adjustment. ● Anti-blooming and dark sun cancellation ● Built-in low dropout regulator and power on reset ● 10-bit parallel video data port supports RAW, YUV422, and RGB565/555/444 ​ 1.2MP UltraSense 2 Color Image Sensor embedded with image processor for Automotive ​ ● 1/4” format with ultra-high sensitivity ● Ultrasense 2 BSI pixel offers higher sensitivity for low light condition ● Operation up to 105ºC ● 960p and 720p resolution at 30 frames per second ● Color processing pipeline including lens shading correction, defect correction, edge enhancement, color interpolation and correction, gamma control, and saturation/hue adjustment ● Dynamic Range Optimizer offers best dynamic range of video ● Anti-blooming and dark sun cancellation ● Built-in low dropout regulator and power on reset ● 10-bit parallel video data port supports RAW, YUV422, and RGB565/555/444 ​ 40 Table of Contents Product Features NTSC/PAL WVGA Color Image System on embedded with image processor for Automotive and Surveillance ​ ● High sensitivity, low noise VGA sensor operating up to 60FPS ● Visible and near infrared sensitivity ● Operation up to 105ºC ● Ultra-compact automotive package ● Advanced defect correction with built-in temperature sensor ● Embedded ISP with programmable automatic exposure and white balance ● Optical alignment pixel with crop and zoom to native resolution ● 4Kb OTP for sensor initialization, module storage, and overlay setting ● Multi-color static overlay engine ​ QVGA Ultralow Power CMOS Color Image System for Machine Vision and Detection ​ ● High sensitivity, low noise 1/11” 320x320 image area ● Under 2.5mW at QVGA 30fps and 1mW at QQVGA 15fps ● Embedded auto-exposure and motion detection ● NeoPac and CSP package ● Parallel 8bits, 4bits and 1bit data output ​ VGA Ultralow Power CMOS Color Image System for Machine Vision and Detection ​ ● High sensitivity, low noise 1/6” 640x480 image area ● Operates approximately 7mA VGA 60FPS to 140µA in QVGA 2FPS mode ● Provide high accurate motion detection ● Pre-metered exposure provides well exposed first frame and after extended sleep (blanking) period ● Automatic wake and sleep operation with programmable event interrupt to host processor ● Parallel 8bits and 1-Lane MIPI CSI2 interface ​ Wafer Level Optics Products Wafer level optics are optical products manufactured using semiconductor process on wafers.
The following table sets forth the features of our CMOS image sensor products: Product Features 4MP UltraSense 2 NIR Sensor ​ ● 1/3” format color type with high sensitivity BSI pixel ● 4MP resolution with 1:1 aspect ratio with Staggered HDR function at 30 frames per second for doorbell application, ● Provide ultralow power mode to support pre-rolling function with Himax WiseEye1 AI processor ● 4-lane MIPI CSI2 outputs RAW8/10 ​ FHD 1/7” 1080p UltraSense Color Image Sensor ​ ● 1/7” format with high sensitivity BSI pixel ● 1080p FHD resolution at 60 frames per second ● Support Always-on mode at 480x270 ● Support line-based staggered HDR ● 2-lane MIPI CSI2 outputs ● Frame-Sync control for multiple camera system ​ ​ ​ FHD 1/4” 1080p UltraSense Color Image Sensor ​ ​ ● 1/4” format with high sensitivity BSI pixel ● 1080p FHD resolution at 30 frames per second ● Low power consumption ● Provide high NIR sensitivity and 4x4 RGB-IR option ● 2-lane MIPI CSI2 and 10bit parallel DVP outputs ● Frame-Sync control for multiple camera system ​ ​ ​ 37 Table of Contents Product Features HD 720p UltraSense 2 Color Image Sensor ​ ● 1/9” format with high sensitivity BSI pixel ● 720p HD resolution at 30 frames per second ● Low power consumption ● Support LED-sync for Microsoft Windows Hello ● 1-lane MIPI CSI2 outputs RAW8/10 ​ HD 720p Ultralow Power Color Image Sensor ​ ● 1/11” format with high sensitivity BSI pixel ● 720p HD resolution at 60 frames per second ● Ultra slim design to meet 2.2mm narrow bezel notebook computer ● Provide Ultralow Power mode ● Provide RGB for video and W-IR version for AoS + Windows Hello ● Support Motion Detection to save system power SPI and 1-lane MIPI CSI2 dual outputs for both detection and video ​ 1.3MP ClearSense EDR Color Image Sensor embedded with image processor for Surveillance ​ ​ ​ ● 1/4” format with ultra-high sensitivity ● ClearSense achieves higher dynamic range in color up to 84dB with on-chip tone mapping ● 800p and 720p resolution at 30 frames per second ● Flexi engine automatically controls dynamic range, exposure, gain, and white balance to balance color fidelity and contrast ● Color processing pipeline including lens shading correction, defect correction, edge enhancement, color interpolation and correction, gamma control, and saturation/hue adjustment. ● Anti-blooming and dark sun cancellation ● Built-in low dropout regulator and power on reset ● 10-bit parallel video data port supports RAW, YUV422, and RGB565/555/444 ​ 1.2MP UltraSense 2 Color Image Sensor embedded with image processor for Automotive ​ ● 1/4” format with ultra-high sensitivity ● Ultrasense 2 BSI pixel offers higher sensitivity for low light condition ● Operation up to 105ºC ● 960p and 720p resolution at 30 frames per second ● Color processing pipeline including lens shading correction, defect correction, edge enhancement, color interpolation and correction, gamma control, and saturation/hue adjustment ● Dynamic Range Optimizer offers best dynamic range of video ● Anti-blooming and dark sun cancellation ● Built-in low dropout regulator and power on reset ● 10-bit parallel video data port supports RAW, YUV422, and RGB565/555/444 ​ NTSC/PAL WVGA Color Image System on embedded with image processor for Automotive and Surveillance ​ ● High sensitivity, low noise VGA sensor operating up to 60FPS ● Visible and near infrared sensitivity ● Operation up to 105ºC ● Ultra-compact automotive package ● Advanced defect correction with built-in temperature sensor ● Embedded ISP with programmable automatic exposure and white balance ● Optical alignment pixel with crop and zoom to native resolution ● 4Kb OTP for sensor initialization, module storage, and overlay setting ● Multi-color static overlay engine ​ QVGA Ultralow Power CMOS Color Image System for Machine Vision and Detection ​ ● High sensitivity, low noise 1/11” 320x320 image area ● Under 2.5mW at QVGA 30fps and 1mW at QQVGA 15fps ● Embedded auto-exposure and motion detection ● NeoPac and CSP package ● Parallel 8bits, 4bits and 1bit data output ​ 38 Table of Contents Product Features VGA Ultralow Power CMOS Color Image System for Machine Vision and Detection ​ ● High sensitivity, low noise 1/6” 640x480 image area ● Operates approximately 7mA VGA 60FPS to 140µA in QVGA 2FPS mode ● Provide high accurate motion detection ● Pre-metered exposure provides well exposed first frame and after extended sleep (blanking) period ● Automatic wake and sleep operation with programmable event interrupt to host processor ● Parallel 8bits and 1-Lane MIPI CSI2 interface ​ Wafer Level Optics Products Wafer level optics are optical products manufactured using semiconductor process on wafers.
Since 2023, aligning with the market trend of OLED display proliferation, we embarked on developing AMOLED on-cell touch controllers tailored for tablets, notebooks, and automotive OLED displays. Our AMOLED on-cell capacitive touch controller boasts several innovations and merits.
Since 2023, aligning with the market trend of OLED display proliferation, we embarked on developing OLED on-cell touch controllers tailored for tablets, notebooks, and automotive OLED displays. Our OLED on-cell capacitive touch controller boasts several innovations and merits.
We launched the world’s first TDDI design for automotive displays technology which started shipping in 2019 with meaningful mass production shipment to industrial leading automotive panel house, Tier-1 and brands starting 2021.Himax is the market leader in automotive display driver business covering the entire spectrum of products and technologies, including the industry’s most comprehensive traditional DDIC product offerings as well as leading solutions for new technology areas such as TDDI, local dimming TCON, LTDI and AMOLED.
We launched the world’s first TDDI design for automotive displays technology which started shipping in 2019 with meaningful mass production shipment to industrial leading automotive panel house, Tier-1 and brands starting 2021.Himax is the market leader in automotive display driver business covering the entire spectrum of products and technologies, including the industry’s most comprehensive traditional DDIC product offerings as well as leading solutions for new technology areas such as TDDI, local dimming TCON, LTDI and OLED.
Himax is a pioneer in high-precision diffraction optics technology with over 15 years of experience, having worked on very different designs over a variety of applications with some of the world’s most heavyweight tech names.
Notably, Himax is a pioneer in high-precision diffraction optics technology with over 15 years of experience, having worked on very different designs over a variety of applications with some of the world’s most heavyweight tech names.
Himax has also been tirelessly reducing impacts to the environment and improving safety in its operations, specifically targeting product design and waste handling. 50 Table of Contents Semiconductor Manufacturing Service Providers and Suppliers Through our relationships with leading foundries, assembly, gold bumping and testing houses and processed tape suppliers, we believe we have established a supply chain that enables us to deliver high-quality products to our customers in a timely manner.
Himax has also been tirelessly reducing impacts to the environment and improving safety in its operations, specifically targeting product design and waste handling. 49 Table of Contents Semiconductor Manufacturing Service Providers and Suppliers Through our relationships with leading foundries, assembly, gold bumping and testing houses and processed tape suppliers, we believe we have established a supply chain that enables us to deliver high-quality products to our customers in a timely manner.
IC design and sales ROC 98.4 % (1) Himax Imaging Corp. IC design California, USA 98.4 % (4) Harvest Investment Limited Investments ROC 100.0 % (1) Himax Technologies Japan Ltd. Sales Japan 100.0 % Himax Semiconductor (Hong Kong) Limited Investments Hong Kong 100.0 % Liqxtal Technology Inc.
IC design and sales ROC 98.6 % (1) Himax Imaging Corp. IC design California, USA 98.6 % (4) Harvest Investment Limited Investments ROC 100.0 % (1) Himax Technologies Japan Ltd. Sales Japan 100.0 % Himax Semiconductor (Hong Kong) Limited Investments Hong Kong 100.0 % Liqxtal Technology Inc.
We continued our shipment to an anchor customer for their legacy product and continue making progress on R&D projects with world-leading high-tech giants for ToF 3D sensing, AR/VR gadgets, automotive, biomedical devices and others, targeting their future generation products centered around our exceptional design know-how and mass production expertise in WLO technology.
We continued our shipment to this anchor customer for their legacy product and continue making progress on R&D projects with world-leading high-tech giants for ToF 3D sensing, AR/VR gadgets, automotive, biomedical devices and others, targeting their future generation products centered around our exceptional design know-how and mass production expertise in WLO technology.
Instead of 3D sensing, most of the Android phone makers have chosen the lower cost fingerprint technology which can achieve similar phone unlock and online payment functions with somewhat compromised user experience. 42 Table of Contents As a leading provider of 3D sensing technology, Himax is also an active participant in smartphone OEMs’ design projects for new devices involving ToF technology.
Instead of 3D sensing, most of the Android phone makers have chosen the lower cost fingerprint technology which can achieve similar phone unlock and online payment functions with somewhat compromised user experience. 40 Table of Contents As a leading provider of 3D sensing technology, Himax is also an active participant in smartphone OEMs’ design projects for new devices involving ToF technology.
From time to time, we have also made minority investments in various companies for strategic purposes in the ordinary course of business. 22 Table of Contents Our principal executive offices are located at No. 26, Zilian Road, Xinshi District, Tainan City 744092, Taiwan, Republic of China. Our telephone number at this address is +886-6-505-0880.
From time to time, we have also made minority investments in various companies for strategic purposes in the ordinary course of business. 20 Table of Contents Our principal executive offices are located at No. 26, Zilian Road, Xinshi District, Tainan City 744092, Taiwan, Republic of China. Our telephone number at this address is +886-6-505-0880.
The following table sets forth the features of our ultralow power WiseEye smart image sensing total solutions: ​ ​ ​ Product Features WiseEye TM AI total solution ​ ● The total solution incorporates Himax proprietary ultralow power WiseEye AI processor, always-on CMOS image sensor, and CNN-based computer vision AI algorithm, featuring tinyML AI in tiny form factor, ultralow power consumption, low latency, privacy protection and optimized cost. ● Total solution supports use of a variety of Himax CMOS image sensors.
The following table sets forth the features of our ultralow power WiseEye ultralow power AI sensing total solutions: ​ ​ ​ Product Features WiseEye AI total solution ​ ● The total solution incorporates Himax proprietary ultralow power WiseEye AI processor, always-on CMOS image sensor, and CNN-based computer vision AI algorithm, featuring tinyML AI in tiny form factor, ultralow power consumption, low latency, privacy protection and optimized cost. ● Total solution supports use of a variety of Himax CMOS image sensors.
Smaller die size also reduces the cost of the chip. Lower power consumption is important for many portable devices such as notebook computers, smartphone, tablet and consumer electronics products. WiseEye Smart Image Sensing Technologies. These technologies are composed by an AoS sensor, an edge AI ASIC processor and computer-vision AI algorithm, all operated in ultralow power mode.
Smaller die size also reduces the cost of the chip. Lower power consumption is important for many portable devices such as notebook computers, smartphone, tablet and consumer electronics products. WiseEye Ultralow Power AI Sensing Technologies. These technologies are composed by an AoS sensor, an edge AI ASIC processor and computer-vision AI algorithm, all operated in ultralow power mode.
Our expertise in precision assembly in optics also helps us to provide a more complete solution to our customers. 47 Table of Contents Customers Our customers for display drivers are primarily Panel Manufacturers and mobile device module manufacturers, who in turn design and market their products to manufacturers of end-use products such as notebook computers, desktop monitors, televisions, smartphone, tablet, automotive and consumer electronics products.
Our expertise in precision assembly in optics also helps us to provide a more complete solution to our customers. 46 Table of Contents Customers Our customers for display drivers are primarily Panel Manufacturers and mobile device module manufacturers, who in turn design and market their products to manufacturers of end-use products such as notebook computers, desktop monitors, televisions, smartphone, tablet, automotive and consumer electronics products.
These are among a select number of semiconductor manufacturers that provide high-voltage CMOS process technology required for manufacturing display drivers. We engage assembly and testing houses that specialize in TAB and COG packages such as Chipbond, Chipmore International trading company Ltd., ChipMOS Technologies Inc., Nepes Corporation and King Yuan Electronics Co., Ltd, etc.
These are among a select number of semiconductor manufacturers that provide high-voltage CMOS process technology required for manufacturing display drivers. We engage assembly and testing houses that specialize in TAB and COG packages such as Chipbond, Chipmore International trading company Ltd., ChipMOS Technologies Inc. and King Yuan Electronics Co., Ltd, etc.
Display driver companies must work closely with their customers to develop semiconductors that meet their customers’ specific needs in order to optimize the performance of their products. 24 Table of Contents Mixed-Signal Design and High-Voltage CMOS Process Technology Display drivers have specific design and manufacturing requirements that are not standard in the semiconductor industry.
Display driver companies must work closely with their customers to develop semiconductors that meet their customers’ specific needs in order to optimize the performance of their products. 22 Table of Contents Mixed-Signal Design and High-Voltage CMOS Process Technology Display drivers have specific design and manufacturing requirements that are not standard in the semiconductor industry.
Himax Display is one of the market leaders of the LCoS industry since 2012 with its whole product line patented. Himax Display has a mass production ready liquid crystal assembly line, which is unique in the industry with mass production shipping volume. We have produced and shipped over 3 million units from this ISO certified line.
Himax Display is one of the market leaders of the LCoS industry since 2012 with its whole product line patented. Himax Display has a mass production ready liquid crystal assembly line, which is unique in the industry with mass production shipping volume. We have produced and shipped over 4 million units from this ISO certified line.
Organizational Structure The following chart sets forth our corporate structure and ownership interest in each of our principal operating subsidiaries as of March 31, 2024. ​ ​ The following table sets forth summary information for our subsidiaries as of March 31, 2024. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Percentage of ​ ​ ​ Jurisdiction of Our Ownership ​ Subsidiary Main Activities Incorporation Interest ​ ​ ​ ​ ​ ​ ​ ​ ​ Himax Technologies Limited IC design and sales ROC 100.0 % Himax Technologies Korea Ltd.
Organizational Structure The following chart sets forth our corporate structure and ownership interest in each of our principal operating subsidiaries as of March 31, 2025. ​ ​ The following table sets forth summary information for our subsidiaries as of March 31, 2025. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Percentage of ​ ​ ​ Jurisdiction of Our Ownership ​ Subsidiary Main Activities Incorporation Interest ​ ​ ​ ​ ​ ​ ​ ​ ​ Himax Technologies Limited IC design and sales ROC 100.0 % Himax Technologies Korea Ltd.
Despite our reliance on outsourcing for CP testing, we have made investments in internal capabilities for test program development, engineering testing, debugging capability and manufacturing support since 2022. 48 Table of Contents We operate a fab under Himax Display primarily for performing manufacturing processes for our LCoS microdisplays.
Despite our reliance on outsourcing for CP testing, we have made investments in internal capabilities for test program development, engineering testing, debugging capability and manufacturing support since 2022. 47 Table of Contents We operate a fab under Himax Display primarily for performing manufacturing processes for our LCoS microdisplays.
In addition, TDDI IC integrates both display driver and in-cell touch functions and is usually adopted by small and medium sized display applications, whereas Timing Controller feature is also embedded in TDDI. 23 Table of Contents ● Timing Controller. The timing controller receives image data and converts the format for the source drivers’ input.
In addition, TDDI IC integrates both display driver and in-cell touch functions and is usually adopted by small and medium sized display applications, whereas Timing Controller feature is also embedded in TDDI. 21 Table of Contents ● Timing Controller. The timing controller receives image data and converts the format for the source drivers’ input.
In the first quarter of 2022, the Company’s flexible AMOLED driver and TCON for automotive display successfully ramped up for a customer’s flagship EV model, while in the second quarter of 2022, the Company commenced production of AMOLED TCON and Driver IC chipsets for tablet applications for a leading OEM for their 11-inch and 12.6-inch flagship models.
In the first quarter of 2022, the Company’s flexible OLED driver and TCON for automotive display successfully ramped up for a customer’s flagship EV model, while in the second quarter of 2022, the Company commenced production of OLED TCON and Driver IC chipsets for tablet applications for a leading OEM for their 11-inch and 12.6-inch flagship models.
In addition, we have established an in-house WLO facility under Himax Taiwan for the key process of our wafer level optics products, which started small-scale shipments from December 2009 and commenced mass shipment to anchor customer from 2017 onwards.
Moreover, we have established an in-house WLO facility under Himax Taiwan for the key process of our wafer level optics products, which started small-scale shipments from December 2009 and commenced mass shipment to anchor customer from 2017 onwards.
In addition, in March 2007, we received IECQ QC 080000 certification, which was renewed in February 2022 and will expire in March 2025. Environmental Management System and Safety and Health Management System Himax follows closely the global environmental trends, including energy saving and waste reduction, in its daily operations.
In addition, in March 2007, we received IECQ QC 080000 certification, which was renewed in February 2025 and will expire in March 2028. Environmental Management System and Safety and Health Management System Himax follows closely the global environmental trends, including energy saving and waste reduction, in its daily operations.
In addition, we have entered into various agreements with certain customers whereby we have agreed to indemnify them, and in certain cases, their customers, for any claims made against them for hazardous material violations that are found in our products. 53 Table of Contents 4.C.
In addition, we have entered into various agreements with certain customers whereby we have agreed to indemnify them, and in certain cases, their customers, for any claims made against them for hazardous material violations that are found in our products. 52 Table of Contents 4.C.
In 2023, we collaborated with the China smart door lock leader, DESMAN, marks a groundbreaking feature advancement in the door lock industry, as our ultralow power WiseEye AI, with remarkably low power consumption of just 1 mW, enables the world’s first smart door lock featuring uninterrupted surveillance with 24/7 real-time sentry monitoring while at the same time significantly extending battery life.
In 2023, we collaborated with the China smart door lock leader, DESMAN, marks a groundbreaking feature advancement in the door lock industry, as our WiseEye ultralow power AI, with remarkably low power consumption of just single digit mW, enables the world’s first smart door lock featuring uninterrupted surveillance with 24/7 real-time sentry monitoring while at the same time significantly extending battery life.
Lastly, as some of our TFT-LCD panel customers had turned to pure in-cell TDDI panel development for thinner display designs, we have developed a series of single chip touch display driver integrated circuit (TDDI) for advanced in-cell touch display panel. 25 Table of Contents Products and Solutions We have several principal product lines: ● Display drivers and timing controllers; ● Touch controller ICs; ● ASIC service; ● LCoS and MEMS products; ● Power ICs; ● CMOS image sensor products; ● Wafer level optics products; ● 3D sensing business; and ● Ultralow power WiseEye smart image sensing.
Lastly, as some of our TFT-LCD panel customers had turned to pure in-cell TDDI panel development for thinner display designs, we have developed a series of single chip touch display driver integrated circuit (TDDI) for advanced in-cell touch display panel. 23 Table of Contents Products and Solutions We have several principal product lines: ● Display drivers and timing controllers; ● Touch controller ICs; ● ASIC service; ● LCoS and MEMS products; ● Power ICs; ● CMOS image sensor products; ● Wafer level optics products; ● 3D sensing business; and ● WiseEye Ultralow Power AI Sensing.
For high-end gaming requirement, we have developed eDP 8.1G TCON to increase bandwidth. 27 Table of Contents The table below sets forth the features of our products for large-sized applications: Product Features TFT-LCD Source Drivers ● 384 to 1920 output channels ● 6-bit (262K colors), 8-bit (16 million colors) or 10-bit (1 billion colors) ● one gamma-type driver ● two gamma-type drivers to improve display quality ● three gamma-type drivers (RGB independent gamma curve to enhance color image) ● output driving voltage ranging from 7 up to 20V ● input logic voltage ranging from standard 3.3V to low power 1.8V and support half VDDA ● low power consumption and low EMI ● support COF and COG package types ● support TTL, RSDS, mini-LVDS (up to 460MHz), cascade modulated driver interface, or CMDI, point-to-point high speed interface (up to 4Gbps for 8K 120Hz) and customized interface technologies ● support dual gate and triple gate panel designs ​ ​ 28 Table of Contents Product Features TFT-LCD Gate Drivers ● 192 to 1600 output channels ● output driving voltage ranging from 10 up to 40v ● input logic voltage ranging from standard 3.3V to low power 1.8V ● low power consumption ● support COF and COG package types ● support dual gate and triple gate panel designs ​ ​ ​ Timing Controllers ● product portfolio supports a wide range of resolutions, from VGA (640 x 480 pixels) to full HD, UHD and 8K4K (1,920 x 1,080 pixels, 1,920 x 1,200 pixels, 3840 x 2160 and 7680 x 4320) ● support mini-LVDS, point-to-point high speed interface and customized output interface technologies ● embedded overdrive function to improve response time ● support CABC and local dimming to save power and color engine to enhance color and sharpness ● support LVDS, eDP, MIPI and V-by-one input interface technologies ● support dual-gate, triple-gate, GOA (gate on array) and RGBW panel designs ● support amorphous silicon, IGZO and LTPS panel ● ASIC AMOLED Timing Controller ● ASIC uLED Timing Controller ​ ​ ​ Programmable Gamma OP ● 8 to 16 channel gamma buffer outputs ● channel VCOM buffer output ● Internal non-volatile memory ● 2 gamma bank selection, setting time ● Analog power supply voltage: 9.0V to 20.0V ● Digital power supply voltage: 2.7V to 3.6V ● Peak current on gamma channels: 200mA ● Peak current on VCOM channel: 400mA ● Programmable VCOM limit ● 12C speed up to 1MHz ​ Small and Medium -Sized Applications Automotive Display Applications We offer source drivers, gate drivers, timing controllers and integrated drivers for the fast-ramping automotive display applications, such as instrument cluster display (ICD), center stack display (CSD), head-up display (HUD), rear seat entertainment display (RSE), rearview mirror display and sideview mirror display. 29 Table of Contents The automotive display drivers can support various display resolutions to meet the customized needs of automotive display, including GIP panel and non-GIP panel, a-Si TFT panel and LTPS panel.
For high-end gaming requirement, we have developed eDP 8.1G TCON to increase bandwidth. 25 Table of Contents The table below sets forth the features of our products for large-sized applications: Product Features TFT-LCD Source Drivers ● 384 to 1920 output channels ● 6-bit (262K colors), 8-bit (16 million colors) or 10-bit (1 billion colors) ● one gamma-type driver ● two gamma-type drivers to improve display quality ● three gamma-type drivers (RGB independent gamma curve to enhance color image) ● output driving voltage ranging from 7 up to 20V ● input logic voltage ranging from standard 3.3V to low power 1.8V and support half VDDA ● low power consumption and low EMI ● support COF and COG package types ● support TTL, RSDS, mini-LVDS (up to 460MHz), cascade modulated driver interface, or CMDI, point-to-point high speed interface (up to 4Gbps for 8K 120Hz) and customized interface technologies ● support dual gate and triple gate panel designs ​ ​ ​ TFT-LCD Gate Drivers ● 192 to 1600 output channels ● output driving voltage ranging from 10 up to 40v ● input logic voltage ranging from standard 3.3V to low power 1.8V ● low power consumption ● support COF and COG package types ● support dual gate and triple gate panel designs ​ ​ ​ Timing Controllers ● product portfolio supports a wide range of resolutions, from VGA (640 x 480 pixels) to full HD, UHD and 8K4K (1,920 x 1,080 pixels, 1,920 x 1,200 pixels, 3840 x 2160 and 7680 x 4320) ● support mini-LVDS, point-to-point high speed interface and customized output interface technologies ● embedded overdrive function to improve response time ● support CABC and local dimming to save power and color engine to enhance color and sharpness ● support LVDS, eDP, MIPI and V-by-one input interface technologies ● support dual-gate, triple-gate, GOA (gate on array) and RGBW panel designs ● support amorphous silicon, IGZO and LTPS panel ● ASIC OLED Timing Controller ● ASIC uLED Timing Controller ​ ​ ​ Programmable Gamma OP ● 8 to 16 channel gamma buffer outputs ● channel VCOM buffer output ● Internal non-volatile memory ● 2 gamma bank selection, setting time ● Analog power supply voltage: 9.0V to 20.0V ● Digital power supply voltage: 2.7V to 3.6V ● Peak current on gamma channels: 200mA ● Peak current on VCOM channel: 400mA ● Programmable VCOM limit ● 12C speed up to 1MHz ​ 26 Table of Contents Small and Medium -Sized Applications Automotive Display Applications We offer source drivers, gate drivers, timing controllers and integrated drivers for the fast-ramping automotive display applications, such as instrument cluster display (ICD), center stack display (CSD), head-up display (HUD), rear seat entertainment display (RSE), rearview mirror display and sideview mirror display.
For 3D sensing, Himax is one of the few companies that can provide the one-stop solution though there are more companies attempting to jump into the game. ams AG and Orbbec will be the main competitors we face in the worldwide. For ultralow power WiseEye smart image sensing, the main competition is Qualcomm with its “Glance” device.
For 3D sensing, Himax is one of the few companies that can provide the one-stop solution though there are more companies attempting to jump into the game. ams AG and Orbbec will be the main competitors we face in the worldwide. For WiseEye ultralow power AI sensing, the main competition is Qualcomm with its “Glance” device.
Output voltage may be higher or lower depending on the characteristics of the liquid crystal (or diode), in the case of source drivers, or TFT device, in the case of gate drivers. 26 Table of Contents ● Gamma Curve.
Output voltage may be higher or lower depending on the characteristics of the liquid crystal (or diode), in the case of source drivers, or TFT device, in the case of gate drivers. 24 Table of Contents ● Gamma Curve.
TDDI for tablet application continues to broaden its market, representing a potential upside for Himax into 2023 and beyond. 32 Table of Contents The following table summarizes the features of our products for smartphone and tablet applications: Product Features TFT-LCD TDDI for smartphone and tablet ​ ● In-cell TDDI (Touch and Display Driver Integration) as a highly integrated single chip embedded with the source driver, gate driver, power circuit, timing controller and memory, touch sensor ADCs and microcontroller ● Mainstream smartphone single chip for HD+ (720RGB x Y pixels) or FHD+ (1080RGB x Y pixels) ● Mainstream tablet PC resolutions for WXGA (800RGB x Y) with single chip or WUXGA (1200RGB x Y), WQXGA (1600RGB x Y) with 2-chip cascaded ● Conventional 60Hz and up to 144Hz new high frame rate solutions ● Support MIPI interface and VESA DSC ● Support up to 16 million colors ● Support active stylus for tablet PC ● COG and COF solutions for super slim bottom border ​ TFT-LCD Tablet Display Drivers ​ ● highly integrated single chip embedded with the source driver, power circuit and timing controller ● suitable for a wide range of resolutions from WSVGA (600 x 1024), WXGA (800 x 1280), WUXGA (1200x1920) to WQXGA (1600 x 2560) ● support up to 16 million colors ● support RGB separated gamma adjustment ● support CABC ● support color enhancement features ● support MIPI interface ● touch display driver integrated circuit (TDDI) for advanced in-cell touch display ● supporting TDDI with active stylus ● COG and COF solutions for super slim bezel ​ AMOLED Solutions ​ ● Smartphone single chip with sub-pixel rendering, Demura-IPs for FHD+ resolution with up to 144Hz high frame rate ● Support MIPI interface and VESA DSC with 1 billion colors (10bit grayscale) ● TCON and Source driver IC for tablet with high resolution of 3.2Kx2K 144Hz with VRR ● customized ASICs ​ Electronic Paper Display Applications We offer display driver for the Electronic Paper Display (EPD) applications, Electronic Shelf Label (ESL) and Signage Display.
TDDI for tablet application continues to broaden its market. 29 Table of Contents The following table summarizes the features of our products for smartphone and tablet applications: Product Features TFT-LCD TDDI for smartphone and tablet ​ ● In-cell TDDI (Touch and Display Driver Integration) as a highly integrated single chip embedded with the source driver, gate driver, power circuit, timing controller and memory, touch sensor ADCs and microcontroller ● Mainstream smartphone single chip for HD+ (720RGB x Y pixels) or FHD+ (1080RGB x Y pixels) ● Mainstream tablet PC resolutions for WXGA (800RGB x Y) with single chip or WUXGA (1200RGB x Y), WQXGA (1600RGB x Y) with 2-chip cascaded ● Conventional 60Hz and up to 144Hz new high frame rate solutions ● Support MIPI interface and VESA DSC ● Support up to 16 million colors ● Support active stylus for tablet PC ● COG and COF solutions for super slim bottom border ​ TFT-LCD Tablet Display Drivers ​ ● highly integrated single chip embedded with the source driver, power circuit, and timing controller ● suitable for a wide range of resolutions from WSVGA (600 x 1024), WXGA (800 x 1280), WUXGA (1200x1920) to WQXGA (1600 x 2560) ● support up to 16 million colors ● support RGB separated gamma adjustment ● support CABC ● support color enhancement features ● support MIPI interface ● touch display driver integrated circuit (TDDI) for advanced in-cell touch display ● supporting TDDI with active stylus ● COG and COF solutions for super slim bezel ​ OLED Solutions ​ ● Smartphone single chip with sub-pixel rendering, Demura-IPs for FHD+ resolution with up to 144Hz high frame rate ● Support MIPI interface and VESA DSC with 1 billion colors (10bit grayscale) ● TCON and Source driver IC for tablet with high resolution of 3.2Kx2K 144Hz with VRR ● customized ASICs ​ Electronic Paper Display Applications We offer display driver for the Electronic Paper Display (EPD) applications, Electronic Shelf Label (ESL) and Signage Display.
Additionally, we continued our marketing efforts through joint webinars and other online activities with several well-known platform partners such as Edge Impulse, Digi-Key and SparkFun. We continue to receive inquiries from large corporations and individual developers alike with hundreds of evaluation boards and developments kits having been purchased online and distributed across the globe.
Additionally, we continued our marketing efforts through joint webinars and other online activities with several well-known platform partners such as EDGE AI Foundation, Edge Impulse, Digi-Key, SparkFun and Seeed Studio. We continue to receive inquiries from large corporations and individual developers alike with hundreds of evaluation boards and developments kits having been purchased online and distributed across the globe.
The following table summarizes the features of our products used in automotive display applications: ​ Product Features TFT-LCD Source Drivers ​ ● 642 to 1,920 output channels ● 6-bit (262K colors), 8-bit (16.7 million colors) ● support RSDS, mini-LVDS, Point-to-Point interfaces ● output driving voltage ranging up to 15V ● support COG and COF package type ​ TFT-LCD Gate Drivers ​ ● 100 to 1,600 output channels ● output driving voltage ranging up to 40V ● support COG and COF package type ​ TFT-LCD Integrated Drivers ​ ● highly integrated chip embedded with source driver, timing controller and power circuit ● support RGB, LVDS input interfaces ● support Single Gate, Dual Gate, Triple Gate panel structure ● support 2MUX, 3MUX, 4MUX, 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP or IGZO GIP) and non-GIP panel ● support resolution up to 7680 RGBx810 with cascaded chips ● source driver output driving voltage ranging up to ± 6.6V or 16V ● support Fail Detect Function, including CRC Function ● support Local Dimming Function ● support Telltale OSD function ● support COG and COF package type ​ 30 Table of Contents Product Features Timing Controllers ​ ● support LVDS, eDP 1.2 input interface ● support mini-LVDS, Point-to-Point output interfaces ● support Single Gate, Dual Gate, Triple Gate panel structure ● support 2MUX, 3MUX, 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP or IGZO GIP) and non-GIP panel ● support various resolutions up to 4K2K(ICD) or 8K1K(CID) ● support Local Dimming Function ● support Dual Cell Panel Structure Function ● support Fail Detect Function, including CRC Function ● support Over Driver & De-mura function ● support Telltale OSD function ​ TFT-LCD TDDI ​ ● highly integrated chip embedded with source driver, timing controller, touch controller and power circuit ● support LVDS input interfaces ● support Single Gate, Dual Gate, Triple Gate a-TFT panel structure ● support 2MUX, 3MUX, 4MUX and 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP) and non-GIP panel ● support resolution up to 7680RBx900 with 4 chips cascaded ● source driver output driving voltage ranging up to ± 6.6V ● support Fail Detect Function, including CRC Function ● support Telltale OSD function ● support Color Engine function ● support COG package type ​ TFT-LCD LTDI ​ ● Large-sized Touch and Display Integration solution ● support point-to-point iSP input interface ● support resolution up to 12K1K with multi-chip cascaded ● support COF and COG package types ​ OLED Drivers ​ ● High-voltage process ● High channel and high speed interface ● Embedded P-gamma OP ● IGZO/AMOLED Solution ● Low power solution ● Support up to 4K2K/8K4K resolution ● Customized ASICs OLED TCONs ​ ● support high resolution up to 7.6Kx1K at 120Hz w/ VRR ● support eDP v1.4 1/2/4Lane 8.1Gbps, w/ DSC1.2a ● support 2-chip cascade ● passed AEC-Q100 Grade 2 ​ Smartphone and Tablet Applications We offer display drivers for small and medium-sized displays in smartphone and tablet applications that combine source driver, gate driver, timing controller, DC to DC circuits, and optional frame buffer into a single chip or cascades chips in various display technologies, such as TFT-LCD and OLED. 31 Table of Contents Smartphones and tablet have gained greater popularity among small and medium-sized display drivers and enjoyed high growth in recent years.
The following table summarizes the features of our products used in automotive display applications: ​ Product Features TFT-LCD Source Drivers ​ ● 642 to 1,920 output channels ● 6-bit (262K colors), 8-bit (16.7 million colors) ● support RSDS, mini-LVDS, Point-to-Point interfaces ● output driving voltage ranging up to 15V ● support COG and COF package type ​ TFT-LCD Gate Drivers ​ ● 100 to 1,600 output channels ● output driving voltage ranging up to 40V ● support COG and COF package type ​ 27 Table of Contents Product Features TFT-LCD Integrated Drivers ​ ● highly integrated chip embedded with source driver, timing controller and power circuit ● support RGB, LVDS input interfaces ● support Single Gate, Dual Gate, Triple Gate panel structure ● support 2MUX, 3MUX, 4MUX, 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP or IGZO GIP) and non-GIP panel ● support resolution up to 7680 RGBx810 with cascaded chips ● source driver output driving voltage ranging up to ± 6.6V or 16V ● support Fail Detect Function, including CRC Function ● support Local Dimming Function ● support Telltale OSD function ● support COG and COF package type ​ Timing Controllers ​ ● support LVDS, eDP 1.2 input interface ● support mini-LVDS, Point-to-Point output interfaces ● support Single Gate, Dual Gate, Triple Gate panel structure ● support 2MUX, 3MUX, 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP or IGZO GIP) and non-GIP panel ● support various resolutions up to 4K2K(ICD) or 8K1K(CID) ● support Local Dimming Function ● support Dual Cell Panel Structure Function ● support Fail Detect Function, including CRC Function ● support Over Driver & De-mura function ● support Telltale OSD function ​ TFT-LCD TDDI ​ ● highly integrated chip embedded with source driver, timing controller, touch controller and power circuit ● support LVDS input interfaces ● support Single Gate, Dual Gate, Triple Gate a-TFT panel structure ● support 2MUX, 3MUX, 4MUX and 6MUX LTPS panel structure ● support GIP panel (a-TFT GIP or LTPS GIP) and non-GIP panel ● support resolution up to 7680RBx900 with 4 chips cascaded ● source driver output driving voltage ranging up to ± 6.6V ● support Fail Detect Function, including CRC Function ● support Telltale OSD function ● support Color Engine function ● support COG package type ​ TFT-LCD LTDI ​ ● Large-sized Touch and Display Integration solution ● support point-to-point iSP input interface ● support resolution up to 12K1K with multi-chip cascaded ● support COF and COG package types ​ OLED Drivers ​ ● High-voltage process ● High channel and high speed interface ● Embedded P-gamma OP ● IGZO/OLED Solution ● Low power solution ● Support up to 4K2K/8K4K resolution ● Customized ASICs 28 Table of Contents Product Features OLED TCONs ​ ● support high resolution up to 7.6Kx1K at 120Hz w/ VRR ● support eDP v1.4 1/2/4Lane 8.1Gbps, w/ DSC1.2a ● support 2-chip cascade ● passed AEC-Q100 Grade 2 ​ Smartphone and Tablet Applications We offer display drivers for small and medium-sized displays in smartphone and tablet applications that combine source driver, gate driver, timing controller, DC to DC circuits, and optional frame buffer into a single chip or cascades chips in various display technologies, such as TFT-LCD and OLED.
Additionally, several key panel makers have sought cooperation with Himax to develop AMOLED solutions for automotive applications. We have developed customized AMOLED ASICs, including traditional DDICs and TCONs, for some of these key panel makers, with some already in mass production since 2021.
Additionally, several key panel makers have sought cooperation with Himax to develop OLED solutions for automotive applications. We have developed OLED ASICs, including traditional DDICs and TCONs, for some of these key panel makers, with some already in mass production since 2021.
When GBD connection is abnormal, which means glass was broken, the laser driver can cease the laser to prevent users from being exposed to higher power laser energy leaking from the broken glass. 43 Table of Contents The following table sets forth the features of our SLiM 3D sensing solutions: ​ ​ Product Features SLiM 3D sensing total solution ​ ● Dot projector: More than 33,000 invisible dots, the highest in the industry, projected onto object to build the most sophisticated 3D depth map among all structured light solutions ● Depth map accuracy: Error rate of ● Face recognition: Enabled by the most sophisticated 3D depth data to build unique facial map that can be used for instant unlock and secure online payment ● Indoor/outdoor sensitivity: Superior sensing capability even under total darkness or bright sunlight ● Eye safety: Certified for IEC 60825 Class 1, the international laser product standard which governs laser product safety under all conditions of normal use with naked eyes ● Glass broken detection: Patented glass broken detection mechanism in the dot projector whereby laser is shut down instantaneously in the event of broken glass in the projector ● Power consumption: Less than 400mW for projector, sensor and depth decoding combined, making it the lowest power consuming 3D sensing device by far among all structured light solutions ● Module size: the smallest structured light solution in the market, ideal for embedded and mobile device integration ​ ​ ​ HV-II 3D Decoder ASIC ​ ● Himax 3D Depth Processor with high depth accuracy ● Support up to HD resolution depth map for different applications ● 2D & 3D auto-exposure control for projector and sensor ● Frame rate conversion for different application/capability of SOC ● Scaling engine for different application/capability of SOC ● Ambient light detection and removal ● Embedded Security Engine ● Power Management Engine for power shutdown ● MIPI CSI-2 / DPHY interface ​ Ultralow power WiseEye Smart Image Sensing The demand for always-on battery-powered smart devices with AI intelligent sensing is rapidly growing.
When GBD connection is abnormal, which means glass was broken, the laser driver can cease the laser to prevent users from being exposed to higher power laser energy leaking from the broken glass. 41 Table of Contents The following table sets forth the features of our SLiM 3D sensing solutions: ​ ​ Product Features SLiM 3D sensing total solution ​ ● Dot projector: More than 33,000 invisible dots, the highest in the industry, projected onto object to build the most sophisticated 3D depth map among all structured light solutions ● Depth map accuracy: Error rate of ● Face recognition: Enabled by the most sophisticated 3D depth data to build unique facial map that can be used for instant unlock and secure online payment ● Indoor/outdoor sensitivity: Superior sensing capability even under total darkness or bright sunlight ● Eye safety: Certified for IEC 60825 Class 1, the international laser product standard which governs laser product safety under all conditions of normal use with naked eyes ● Glass broken detection: Patented glass broken detection mechanism in the dot projector whereby laser is shut down instantaneously in the event of broken glass in the projector ● Power consumption: Less than 400mW for projector, sensor and depth decoding combined, making it the lowest power consuming 3D sensing device by far among all structured light solutions ● Module size: the smallest structured light solution in the market, ideal for embedded and mobile device integration ​ ​ ​ HV-II 3D Decoder ASIC ​ ● Himax 3D Depth Processor with high depth accuracy ● Support up to HD resolution depth map for different applications ● 2D & 3D auto-exposure control for projector and sensor ● Frame rate conversion for different application/capability of SOC ● Scaling engine for different application/capability of SOC ● Ambient light detection and removal ● Embedded Security Engine ● Power Management Engine for power shutdown ● MIPI CSI-2 / DPHY interface ​ WiseEye Ultralow Power AI Sensing The demand for always-on battery-powered smart devices with AI intelligent sensing is rapidly growing, and we are committed to strengthening our WiseEye product roadmap to maintain our leadership position through initiatives that make AI more accessible in everyday life.
The following table shows certain details of our products: ​ Product Size and Resolution Color-Filter LCoS Microdisplays ​ ● 0.28” (320x3x240 pixels) QVGA ● 0.29” (800x3x480 pixels) WVGA ● 0.35” (1280x3x720 pixels) HD ● Customized design ​ Color-Sequential LCoS Microdisplays ​ ● 0.22” (640 x 360 pixels) nHD ● 0.37” (1366 x 768 pixels) WXGA ● 0.37” (1920 x 1080 pixels) Full HD ● Customized design ​ Front-Lit Color Filter LCoS ​ ● 0.22” (640 x 3x 360 pixels) nHD ● 0.35” (1280 x3x 720 pixels) HD ● Customized design ​ ​ ​ Front-Lit Color Sequential LCoS ​ ● Low power and high efficiency ● Display diagonal : 0.243” ● Size(W*L*H) : 9*13.9*4 mm ● Volume: 0.5 c.c. ● Resolution: 1024x1024 ● Brightness: 110,000 nits (Typ.); 180,000 nits (Max.) ● LED Power : 300 mW (Typ.); 500 mW (Max.) ​ ​ ​ Phase Modulation LCoS ​ ● Selective phase range based on the required response time. ● Analog drive scheme with 120Hz refresh frame rate to reduces optical flicker and provides stable phase response over time. ● Customized design ● Operated in full phase modulation (0~2π) in visible range ​ MEMS ​ ● 0 .55” (1280 x 800 pixels) WXGA ​ 36 Table of Contents Power ICs Himax provides TFT-LCD television, monitor and notebooks power management solutions.
The following table shows certain details of our products: ​ Product Size and Resolution Color-Filter LCoS Microdisplays ​ ● 0.28” (320x3x240 pixels) QVGA ● 0.29” (800x3x480 pixels) WVGA ● 0.35” (1280x3x720 pixels) HD ● Customized design ​ Color-Sequential LCoS Microdisplays ​ ● 0.22” (640 x 360 pixels) nHD ● 0.37” (1366 x 768 pixels) WXGA ● 0.37” (1920 x 1080 pixels) Full HD ● Customized design ​ Front-Lit Color Filter LCoS ​ ● 0.22” (640 x 3x 360 pixels) nHD ● 0.35” (1280 x3x 720 pixels) HD ● Customized design ​ ​ ​ Front-Lit Color Sequential LCoS ​ ● Low power and high efficiency ● Display diagonal : 0.243” ● Size(W*L*H) : 9*13.9*4 mm ● Weight : 0.98 grams ● Volume: 0.5 c.c. ● Resolution: 1024x1024 ● Brightness: 400,000 nits ● Power consumption : 300 mW ​ ​ ​ Phase Modulation LCoS ​ ● Selective phase range based on the required response time. ● Analog drive scheme with 120Hz refresh frame rate to reduces optical flicker and provides stable phase response over time. ● Customized design ● Operated in full phase modulation (0~2π) in visible range ​ MEMS ​ ● 0 .55” (1280 x 800 pixels) WXGA ​ Power ICs Himax provides TFT-LCD television, monitor and notebooks power management solutions.
Additionally, Himax Taiwan maintains a CP tester facility, a color filter facility and a wafer level optics facility and Himax Display maintains a facility for our LCoS products.
Additionally, Himax Taiwan maintains a CP tester facility and a wafer level optics facility and Himax Display maintains a facility for our LCoS products.
We are collaborating closely with leading panel makers across China and Korea for AMOLED product development in smartphone, tablet, automotive and other consumer electronics.
We are collaborating closely with leading panel makers across China, Japan and Korea for OLED product development in smartphone, tablet, automotive and other consumer electronics.
We also compete with alternative microdisplay technology providers such as Texas Instruments with DLP, Sony with Micro OLED and Bosch with scanning mirror. For power ICs, we face competition from Taiwan companies including Richtek Technology Corp., Global Mixed-mode Technology Inc., Novatek Microelectronics Corp., Fitipower Integrated Technology Inc.
We also compete with alternative microdisplay technology providers such as Texas Instruments with DLP, Sony with micro OLED and JBD with micro LED. For power ICs, we face competition from Taiwan companies including Richtek Technology Corp., Global Mixed-mode Technology Inc., Novatek Microelectronics Corp., Fitipower Integrated Technology Inc.
As the majority of our revenues derive from products that are critical components of flat panel displays, such as display drivers, timing controllers, power ICs and other semiconductor products, our industry is closely linked to the trends and developments of the flat panel display industry.
Industry Background We mainly operate in the flat panel display semiconductor industry. As the majority of our revenues derive from products that are critical components of flat panel displays, such as display drivers, timing controllers, power ICs and other semiconductor products, our industry is closely linked to the trends and developments of the flat panel display industry.
The lease contracts may be renewed upon expiration. We have established an in-house WLO facility under Himax Taiwan for the key process of our products. The facility occupies 1,171 square meters of floor space in a building leased from Innolux, which was already produced and shipped over 50 million optics to Tier-1 customer since 2010.
We have established an in-house WLO facility under Himax Taiwan for the key process of our products. The facility occupies 1,171 square meters of floor space in a building leased from Innolux, which was already produced and shipped over 50 million optics to Tier-1 customer since 2010.
The ultralow power WiseEye smart image sensing solution is being engaged in a variety of applications, such as notebook, home appliances, utility meter, automotive, door lock, battery-powered surveillance camera, panoramic video conferencing, and medical, just to name a few.
The WiseEye ultralow power AI sensing solution is already being adopted in a variety of applications, such as notebook, home appliances, utility meter, automotive, door lock, battery-powered surveillance camera, panoramic video conferencing, and medical, just to name a few.
We may sell our products through agents or distributors for certain products or in certain regions. As of December 31, 2023, we sold our products to around 300 customers. Our ten largest customers together accounted for approximately 79.5%, 76.7% and 74.1% of our revenues in 2021, 2022 and 2023, respectively.
We may sell our products through agents or distributors for certain products or in certain regions. As of December 31, 2024, we sold our products to around 300 customers. Our ten largest customers together accounted for approximately 76.7%, 74.1% and 73.6% of our revenues in 2022, 2023 and 2024, respectively.
Among Himax’s ultralow power WiseEye smart image sensing businesses, our WiseEye for notebook solution features human presence detection and on-looker detection, offering power saving and enhancing privacy and security for notebook users. In 2021, we were highly encouraged by our WiseEye solution being officially awarded by Dell, with a sizable purchase order, for a series of their new models.
For notebook application, Himax’s WiseEye ultralow power AI sensing empowers human presence detection and on-looker detection, offering power saving and enhancing privacy and security for notebook users. In 2021, we were highly encouraged by our WiseEye solution being officially awarded by Dell, with a sizable purchase order, for a series of their new notebook models.
In 2021, 2022 and 2023, our two largest customers accounted for 10% or more of our net revenue: customer A and its affiliates accounted for 32.1%, 32.3% and 28.7% of our revenues, respectively; and customer C accounted for 19.1%, 9.4% and 11.0%, respectively.
In 2022, 2023 and 2024, our two largest customers accounted for 10% or more of our net revenue: customer A and its affiliates accounted for 32.3% 28.7% and 26.4% of our revenues, respectively; and customer C accounted for 9.4%, 11.0% and 8.3%, respectively.
Our customers use our products in various applications such as pico-projector, communication, toy projector, AR glasses, and AR-HUD for automotive. 35 Table of Contents The merits of our technology feature in resolution, power consumption, size, cost, optical engine design, and image quality.
Our customers use our products in various applications such as pico-projector, wavelength selective switch (WSS) for optical communication, LiDAR, toy projector, AR glasses, and AR HUD for automotive. The merits of our technology feature in resolution, power consumption, size, cost, optical engine design, and image quality.
The advantages of LEDs as light sources are the small size, fast switching, low power consumption and long lifetime etc. 38 Table of Contents LED driver IC is designed to dim the LEDs with critical features such as high current accuracy, high current matching, short LED protection, open LED protection, over voltage protection, ghosting effect reduction and current sink leakage protection etc. ​ Product Features NB backlight driver IC and local diming mini-LED backlight driver IC ​ ● ASIC by Customer Specification ​ CMOS Image Sensor Products The CMOS image sensor products are developed by our subsidiary, Himax Imaging.
LED driver IC is designed to dim the LEDs with critical features such as high current accuracy, high current matching, short LED protection, open LED protection, over voltage protection, ghosting effect reduction and current sink leakage protection etc. ​ Product Features NB backlight driver IC and local diming mini-LED backlight driver IC ​ ● ASIC by Customer Specification ​ 36 Table of Contents CMOS Image Sensor Products The CMOS image sensor products are developed by our subsidiary, Himax Imaging.
Our AMOLED designs have garnered several design wins from leading customers and are set to commence production in 2024. 34 Table of Contents The following table summarizes the features of our touch controller products: ​ ​ ​ Product Features AMOLED Capacitive Touch Controller ​ ● multi-finger (up to 10 fingers) capacitive touch for on-cell AMOLED ● high touch SNR > 45dB, effectively reducing display interference and offering better display quality ● high touch report rate: 240Hz @5 fingers ● support large size panel (>20 inches) ● supports multi-chip cascading without extra MCU ● integrate multiple active stylus protocols: USI, MPP, LPP and HPP ● low power consumption ● (automotive) support glove-wearing (up to 4 mm) and wet finger operations ● (automotive) CISPR25 Class-5 EMC qualified ● (automotive) support temperature range from -40 °C to 105 °C ​ ​ ASIC service From 2012, we successfully completed several ASIC service projects for Japan top TV, Projector and HMD makers with advanced and high-performance customized video processing chips.
To support the state-of-the-art active stylus feature of tablet and notebook touchscreens, our OLED touch controller integrates multiple active stylus protocols, such as USI, MPP, LPP, and HPP. 31 Table of Contents The following table summarizes the features of our touch controller products: ​ ​ ​ Product Features OLED Capacitive Touch Controller ​ ● multi-finger (up to 10 fingers) capacitive touch for on-cell OLED ● high touch SNR > 45dB, effectively reducing display interference and offering better display quality ● high touch report rate: 240Hz @5 fingers ● support large size panel (>20 inches) ● supports multi-chip cascading without extra MCU ● integrate multiple active stylus protocols: USI, MPP, LPP and HPP ● low power consumption ● (automotive) support glove-wearing (> 2 mm) and wet finger operations ● (automotive) CISPR25 Class-5 EMC qualified ● (automotive) support temperature range from -40 °C to 105 °C ​ ASIC service From 2012, we successfully completed several ASIC service projects for Japan top TV, Projector and HMD makers with advanced and high-performance customized video processing chips.
Stemco., Ltd. ​ Chipbond Technology Corporation Chipbond Technology Corporation ​ Chipmore International Trading Company Ltd. ​ ChipMOS Technologies Inc. ​ Global Testing Corporation ​ Greatek Electronics Inc. ​ Jiangsu Changjiang Electronics Technology Co., Ltd. ​ King Yuan Electronics Co., Ltd. ​ Micro Silicon Electronics Corp. ​ Nepes Corporation ​ Taiwan IC Packaging Corporation ​ LB Lusem Co., Ltd. ​ Union Semiconductor Co., Ltd. ​ ​ 51 Table of Contents ​ ​ Chip Probe Testing ​ Chipbond Technology Corporation ​ ​ Chipmore International Trading Company Ltd. ​ ​ ChipMOS Technologies Inc. ​ ​ Global Testing Corporation ​ ​ Greatek Electronics Inc. ​ ​ King Yuan Electronics Co., Ltd. ​ ​ Micro Silicon Electronics Corp. ​ ​ LB Semicon, Inc. ​ ​ Union Semiconductor Co., Ltd. ​ ​ YoungTek Electronics Corp. ​ ​ ​ ​ ​ ​ Intellectual Property As of March 31, 2024, we held a total of 2,772 patents, including 1,182 in Taiwan, 916 in the United States, 560 in China, and 114 in other countries.
Stemco., Ltd. ​ ChipMOS Technologies Inc. ​ Global Testing Corporation ​ Greatek Electronics Inc. ​ Huatian Technology Electronics Co., Ltd. ​ Jiangsu Changjiang Electronics Technology Co., Ltd. ​ King Yuan Electronics Co., Ltd. ​ Micro Silicon Electronics Corp. ​ Taiwan IC Packaging Corporation ​ LB Lusem Co., Ltd. ​ Union Semiconductor Co., Ltd. ​ ​ 50 Table of Contents ​ ​ Chip Probe Testing ​ Chipbond Technology Corporation ​ ​ Chipmore International Trading Company Ltd. ​ ​ ChipMOS Technologies Inc. ​ ​ Global Testing Corporation ​ ​ Greatek Electronics Inc. ​ ​ King Yuan Electronics Co., Ltd. ​ ​ Micro Silicon Electronics Corp. ​ ​ LB Semicon, Inc. ​ ​ Union Semiconductor Co., Ltd. ​ ​ Union Semiconductor (Hefei) Co., Ltd. ​ ​ YoungTek Electronics Corp. ​ ​ ​ ​ ​ ​ Intellectual Property As of March 31, 2025, we held a total of 2,603 patents, including 1,086 in Taiwan, 876 in the United States, 526 in China, and 115 in other countries.
As the global market share leader in automotive display technology, we offer innovative and comprehensive automotive IC solutions, including traditional driver ICs, advanced in-cell Touch and Display Driver Integration (TDDI), Large Touch and Display Driver Integration (LTDI) and local dimming timing controllers (Local Dimming TCON), as well as and AMOLED solutions, including AMOLED drivers, TCONs and touch controller ICs.
As the global market share leader in automotive display technology, we offer innovative and comprehensive automotive IC solutions, including traditional driver ICs, advanced in-cell Touch and Display Driver Integration (TDDI), local dimming timing controllers (Local Dimming TCON), Large Touch and Display Driver Integration (LTDI) for LCD displays and DDIC, TCON and on-cell touch controller for OLED displays.
The gold bumps are plated onto each wafer to connect the die to the processed tape, in the case of TAB package, or the glass, in the case of COG package. 49 Table of Contents Chip Probe Testing : Each die is electrically tested, or probed, for defects. Dies that fail this test are discarded.
The gold bumps are plated onto each wafer to connect the die to the processed tape, in the case of TAB package, or the glass, in the case of COG package. Chip Probe Testing : Each die is electrically tested, or probed, for defects.
Assembly and Testing : Our display drivers use two types of assembly technology: TAB or COG. Display drivers for large-sized applications typically require TAB package types and to a lesser extent COG package types, whereas display drivers for smartphone, tablet and consumer electronics products typically require COG package types.
Dies that fail this test are discarded. 48 Table of Contents Assembly and Testing : Our display drivers use two types of assembly technology: TAB or COG. Display drivers for large-sized applications typically require TAB package types and to a lesser extent COG package types, whereas display drivers for smartphone, tablet and consumer electronics products typically require COG package types.
The expiration dates of our patents range from 2024 to 2043. We also have a total of 48 pending patent applications in Taiwan, 112 in the United States and 238 in other jurisdictions, including the PRC, Japan, Korea, Israel and Europe.
The expiration dates of our patents range from 2025 to 2044. We also have a total of 56 pending patent applications in Taiwan, 118 in the United States and 215 in other jurisdictions, including the PRC, Japan, Korea, Israel and Europe.
We also have dedicated sales teams for certain of our most important current or prospective customers. We have offices in Tainan, Hsinchu, Taipei, Taiwan; and Shenzen and Suzhou, China.
We primarily sell our products through our direct sales teams located in Taiwan, China, South Korea and Japan. We also have dedicated sales teams for certain of our most important current or prospective customers. We have offices in Tainan, Hsinchu, Taipei, Taiwan; and Shenzen and Suzhou, China.
(CMVT) Omniwide film products design and sales ROC 77.6 % (1) Viewsil Microelectronics (Kunshan) Limited ​ IC design and sales ​ PRC ​ 49.0 % Viewsil Technology Limited ​ IC sales ​ British Virgin Islands ​ 49.0 % (5) (1) Indirectly, through our 100.0% ownership of Himax Technologies Limited. (2) Indirectly, through our 100.0% ownership of Himax Technologies (Samoa), Inc.
(CMVT) Omniwide film products design and sales ROC 77.6 % (1) Viewsil Microelectronics (Kunshan) Limited ​ IC design and sales ​ PRC ​ 100.0 % Viewsil Technology Limited ​ IC sales ​ British Virgin Islands ​ 100.0 % (5) Solvanta Investment Limited ​ Investments ​ ROC ​ 100.0 % (1) Solvanta Energy Limited ​ Renewable-energy based electricity distribution ​ ROC ​ 100.0 % (6) (1) Indirectly, through our 100.0% ownership of Himax Technologies Limited.
Meanwhile, the automotive display drivers can support higher output driving voltage for higher contrast ratio and faster liquid crystal response in automotive display applications. The automotive Timing Controller can support Local Dimming function for the goal of higher contrast ratio and thermal reduction in automotive display applications.
The automotive Timing Controller can support Local Dimming function for the goal of higher contrast ratio and thermal reduction in automotive display applications.
SK hynix system ic ​ Union Semiconductor Co., Ltd. Taiwan Semiconductor Manufacturing Company Limited ​ United Microelectronics Corporation ​ Vanguard International Semiconductor Corporation ​ ​ ​ ​ Processed Tape for TAB Packaging Assembly and Testing JMC Electronics Co., Ltd. ​ Ardentec Corporation LG Innotek Co., Ltd. ​ Advanced Semiconductor Engineering Inc.
Taiwan Semiconductor Manufacturing Company Limited ​ United Microelectronics Corporation ​ Vanguard International Semiconductor Corporation ​ ​ ​ Processed Tape for TAB Packaging Assembly and Testing Chipbond Technology Corporation ​ Ardentec Corporation Hefei Chipfilm Materials Technology Co., Ltd. ​ Advanced Semiconductor Engineering Inc. JMC Electronics Co., Ltd. ​ Chipbond Technology Corporation LG Innotek Co., Ltd. ​ Chipmore International Trading Company Ltd.
The overall 2018 shipment increased considerably year-over-year because of the customer’s large-scale adoption in more models. In 2019, we continued the strong shipment momentum from 2018 to fulfill an anchor customer’s higher demand with a significant year-over-year increase.
In 2019, we continued the strong shipment momentum from 2018 to fulfill an anchor customer’s higher demand with a significant year-over-year increase.
One illustration is our WLO technology being deployed by one VR player to empower 3D perception sensing for precise controller-free gesture recognition. We initialed volume production starting in second quarter of 2023.
One illustration is our WLO technology being deployed by one VR player to empower 3D perception sensing for precise controller-free gesture recognition.
The facilities house our research and development, engineering, sales and marketing, operations and general administrative staff. We also lease office space in Taipei and Hsinchu, Taiwan; Suzhou, Shenzhen, Foshan, Beijing, Shanghai, Ningbo, Wuhan, Hefei, Xiamen, Chongqing, Fuqing, China; Tokyo, Japan; Asan-si and Bundang-gu, South Korea; and Irvine and San Jose, California and Minneapolis, Minnesota, USA.
We also lease office space in Taipei and Hsinchu, Taiwan; Suzhou, Shenzhen, Foshan, Beijing, Shanghai, Ningbo, Wuhan, Hefei, Xiamen, Chongqing, Fuqing, China; Tokyo, Japan; Asan-si and Bundang-gu, South Korea; and Irvine and San Jose, California and Minneapolis, Minnesota, USA. The lease contracts may be renewed upon expiration.
Several tech giants in the industry have shifted their focus away from micro-LED to our Front-Lit LCoS for their AR goggles after seeing Company’s live demo at the event.
It gains significant traction in the industry and attracts several tech giants shifting their focus away from micro LED microdisplay to our Front-lit LCoS for their AR goggles after seeing Company’s live demo.
Deeply rooted in core wafer level optics technologies, we provide highly customized optical solutions and high-volume manufacturing to many Tier-1 customers such as structured lighted and ToF 3D sensing on mobile devices, AR/VR gadgets, automotive, biomedical devices and many other AIoT applications. 41 Table of Contents Our WLO business hit inflection in the middle of 2017 when we began mass shipment to an anchor customer.
Deeply rooted in core wafer level optics technologies, we provide highly customized optical solutions and high-volume manufacturing to many Tier-1 customers such as structured lighted and ToF 3D sensing on AR/VR gadgets, automotive, biomedical devices and many other AIoT applications.
Moreover, our touch controller not only supports multi-finger capacitive touch and is compatible with various types of OLED panels, but it can also cascade multiple chips to support displays larger than 20 inches.
Moreover, our touch controller not only supports multi-finger capacitive touch and is compatible with various types of OLED panels, but it can also cascade multiple chips to support displays larger than 20 inches. OLED on-cell touch controller IC for automotive has entered production in the third quarter of 2024 with several new projects underway with customers.
Moreover, its built-in over-temperature and over-current protections help prevent components from being damaged under certain abnormal conditions. As integrating an increasing number of components into a power management IC is likely to be a continuing trend, we believe power management ICs will continue to be critical components of a TFT-LCD and OLED panel module.
As integrating an increasing number of components into a power management IC is likely to be a continuing trend, we believe power management ICs will continue to be critical components of a TFT-LCD and OLED panel module.
Combining traditional optical lens design, precise mold control and semiconductor manufacturing expertise, our WLO lens with integrated waveguide, refractive optics and diffractive optical element (DOE) is one of the best solutions for next generation computational imaging module for 2D/3D illumination and 3D dot projector, which can be applied to 3D face recognition, 3D sensing, 3D reconstruction, and gesture control.
Combining traditional optical lens design, precise mold control and semiconductor manufacturing expertise, our WLO lens, with integrated waveguide, refractive optics and diffractive optical element (DOE), is one of the best solutions for a wide array of applications, including 3D face recognition, 3D sensing, 3D reconstruction, gesture control and more.
Additionally, we form strategic partnership with Tier 1 customers for our LCoS microdisplays, 3D sensing and WiseEye smart image sensing to penetrate into the emerging market. We believe we need close alliance with our customers to build up ecosystem for new applications. We primarily sell our products through our direct sales teams located in Taiwan, China, South Korea and Japan.
Additionally, we form strategic partnership with Tier 1 customers for our LCoS microdisplays, 3D sensing and WiseEye ultralow power AI sensing to penetrate into the emerging market. We believe we need close alliance with our customers to build up ecosystem for new applications.
This has also contributed to increased demand for larger size and higher resolution smartphone displays. In 2016, Himax developed a series of single chip touch display driver integrated circuit (TDDI) for advanced in-cell touch display panel. Himax started the shipments of in-cell TDDI for some smartphones in 2016 and extended TDDI solution to tablet application in 2017.
Smartphones and tablet have gained greater popularity among small and medium-sized display drivers and enjoyed high growth in recent years. This has also contributed to increased demand for larger size and higher resolution smartphone displays. In 2016, Himax developed a series of single chip touch display driver integrated circuit (TDDI) for advanced in-cell touch display panel.
The main products are Power Managements ICs (PMIC), Programmable Gamma OP ICs (PGOP) and Level Shifter ICs (LS). In recent years, PMIC/PGOP 2-in-1 and PMIC/PGOP/LS 3-in-1 PMIC have gradually become the mainstream solutions. Besides, Himax also provides power management solutions for OLED notebooks. Power Management ICs A power management IC integrates several power components to fulfill system power requirements.
The main products are Power Managements ICs (PMIC), Programmable Gamma OP ICs (PGOP) and Level Shifter ICs (LS). In recent years, PMIC/PGOP 2-in-1 and PMIC/PGOP/LS 3-in-1 PMIC have gradually become the mainstream solutions.
The first tablet TDDI with WXGA resolution went into mass production in 2018 and also extended to leading smart speaker applications as well. In 2019, Himax announced a series of new driver and TDDIs for tablet application. The COF packaged driver IC solution enabled one leading tablet OEM to successfully launch a WQXGA resolution tablet with super slim bezel.
Himax started to offer various new TDDI solutions for tablet, smart speakers, and even some infotainment displays in automobiles. The first tablet TDDI with WXGA resolution went into mass production in 2018 and also extended to leading smart speaker applications as well. In 2019, Himax announced a series of new driver and TDDIs for tablet application.
We began construction of our new building, Fab 2, in March 2017, located nearby the current headquarters. The newly completed building, located at a 42,619 square meter facility, houses additional WLO capacity, the new active alignment equipment needed for our 3D sensing business and provides extra office space.
The newly completed building, located at a 42,619 square meter facility, houses additional WLO capacity, the new active alignment equipment needed for our 3D sensing business and provides extra office space. The facilities house our research and development, engineering, sales and marketing, operations and general administrative staff.
Our technology leadership and proven manufacturing expertise have made us a preferred partner for customers in these emerging markets and their ongoing engineering projects in AR glasses and AR HUD for automotive applications.
Our technology leadership and proven manufacturing expertise have made us a preferred partner for customers in these emerging markets and their ongoing engineering projects in AR glasses and AR HUD for automotive applications. Our pure phase modulation LCoS technology is suitable for solid-state LiDAR for autonomous driving and Wavelength Selective Switch (“WSS”) for Wavelength-Division Multiplexing (“WDM”) optical communications networks.
It may include step-up or step-down pulse width modulation, or PWM, DC-to-DC converters, low-dropout regulators, or LDO regulators, voltage detectors, operational amplifiers, p-gamma OP, level shifters, and/or other components. For panel module applications, a power management IC provides a reliable and precise voltage for source drivers, gate drivers, timing controllers, and panel cells.
Besides, Himax also provides power management solutions for OLED notebooks. 34 Table of Contents Power Management ICs A power management IC integrates several power components to fulfill system power requirements. It may include step-up or step-down pulse width modulation, or PWM, DC-to-DC converters, low-dropout regulators, or LDO regulators, voltage detectors, operational amplifiers, p-gamma OP, level shifters, and/or other components.

… 57 more changes not shown on this page.

Item 5. Market for Registrant's Common Equity

Market for Common Equity — stock, dividends, buybacks

86 edited+46 added−54 removed96 unchanged
Biggest changeConsolidated Results of Operations The following table sets forth a summary of our consolidated statements of profit or loss as a percentage of revenues: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2021 2022 2023 ​ Revenues ​ 100.0 % 100.0 % 100.0 % Costs and expenses: ​ ​ ​ ​ ​ ​ Cost of revenues ​ 51.6 59.5 ​ 72.1 ​ Research and development ​ 9.8 14.6 ​ 18.1 ​ General and administrative ​ 1.9 2.4 ​ 2.7 ​ Sales and marketing ​ 1.5 2.1 ​ 2.5 ​ Total costs and expenses ​ 64.8 78.6 ​ 95.4 ​ Operating income ​ 35.2 21.4 ​ 4.6 ​ Non-operating income (loss) ​ — 1.6 ​ 0.1 ​ Income tax expense (benefit) ​ 7.2 3.4 ​ (0.5) ​ Profit for the year ​ 28.0 19.6 ​ 5.2 ​ Loss attributable to noncontrolling interests ​ 0.2 0.1 ​ 0.2 ​ Profit attributable to Himax stockholders ​ 28.2 19.7 ​ 5.4 ​ ​ 64 Table of Contents Year to Year Comparisons ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ ​ ​ ​ ​ ​ ​ ​ % Change ​ ​ ​ 2021 ​ 2022 ​ 2023 ​ from 2022 ​ ​ ​ (in thousands, except for percentages) ​ Consolidated Statements of Profit or Loss Data: ​ ​ ​ Revenues ​ $ 1,547,097 ​ $ 1,201,339 ​ $ 945,428 (21.3) % Costs and expenses: ​ ​ ​ Cost of revenues ​ 798,519 ​ 714,233 ​ 681,931 (4.5) % Research and development ​ 151,386 ​ 175,557 ​ 171,392 (2.4) % General and administrative ​ 29,281 ​ 28,503 ​ 25,037 (12.2) % Expected credit loss ​ (190) ​ — ​ — — ​ Sales and marketing ​ 23,080 ​ 25,459 ​ 23,856 (6.3) % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total costs and expenses ​ 1,002,076 ​ 943,752 ​ 902,216 (4.4) % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating income ​ 545,021 ​ 257,587 ​ 43,212 (83.2) % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Non-operating income (loss) ​ (429) ​ 18,978 ​ 1,181 (93.8) % Income tax expense (benefit) . ​ 110,657 ​ 41,098 ​ (5,028) (112.2) % Profit for the year ​ 433,935 ​ 235,467 ​ 49,421 (79.0) % Loss attributable to noncontrolling interest ​ 2,961 ​ 1,515 ​ 1,195 (21.1) % Profit attributable to Himax stockholders ​ $ 436,896 ​ $ 236,982 ​ $ 50,616 (78.6) % ​ Year Ended December 31, 2023 Compared to Year Ended December 31, 2022 Revenues .
Biggest changeConsolidated Results of Operations The following table sets forth a summary of our consolidated statements of profit or loss as a percentage of revenues: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2022 2023 2024 ​ Revenues ​ 100.0 % 100.0 % 100.0 % Costs and expenses: ​ ​ ​ ​ ​ ​ Cost of revenues ​ 59.5 72.1 ​ 69.5 ​ Research and development ​ 14.6 18.1 ​ 17.7 ​ General and administrative ​ 2.4 2.7 ​ 2.7 ​ Sales and marketing ​ 2.1 2.5 ​ 2.6 ​ Total costs and expenses ​ 78.6 95.4 ​ 92.5 ​ Operating income ​ 21.4 4.6 ​ 7.5 ​ Non-operating income ​ 1.6 0.1 ​ 1.0 ​ Income tax expense (benefit) ​ 3.4 (0.5) ​ (0.3) ​ Profit for the year ​ 19.6 5.2 ​ 8.8 ​ Loss attributable to noncontrolling interests ​ 0.1 0.2 ​ — ​ Profit attributable to Himax stockholders ​ 19.7 5.4 ​ 8.8 ​ ​ 63 Table of Contents Year to Year Comparisons ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ ​ ​ ​ ​ ​ ​ ​ % Change ​ ​ ​ 2022 ​ 2023 ​ 2024 ​ from 2023 ​ ​ ​ (in thousands, except for percentages) ​ Consolidated Statements of Profit or Loss Data: ​ ​ ​ Revenues ​ $ 1,201,339 ​ $ 945,428 ​ $ 906,802 (4.1) % Costs and expenses: ​ ​ ​ Cost of revenues ​ 714,233 ​ 681,931 ​ 630,601 (7.5) % Research and development ​ 175,557 ​ 171,392 ​ 160,329 (6.5) % General and administrative ​ 28,503 ​ 25,037 ​ 24,121 (3.7) % Sales and marketing ​ 25,459 ​ 23,856 ​ 23,530 (1.4) % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Total costs and expenses ​ 943,752 ​ 902,216 ​ 838,581 (7.1) % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Operating income ​ 257,587 ​ 43,212 ​ 68,221 57.9 % ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Non-operating income ​ 18,978 ​ 1,181 ​ 9,114 671.7 % Income tax expense (benefit) . ​ 41,098 ​ (5,028) ​ (2,435) (51.6) % Profit for the year ​ 235,467 ​ 49,421 ​ 79,770 61.4 % Loss (profit) attributable to noncontrolling interest ​ 1,515 ​ 1,195 ​ (15) (101.3) % Profit attributable to Himax stockholders ​ $ 236,982 ​ $ 50,616 ​ $ 79,755 57.6 % ​ Year Ended December 31, 2024 Compared to Year Ended December 31, 2023 Revenues .
In addition, to mitigate declining average selling prices, we aim to reduce unit costs by, among other things: ● improving product design (e.g., having smaller die size allows for a larger number of dies on each wafer, thereby reducing the cost of each die); ● improving manufacturing yields through our close collaboration with our semiconductor manufacturing service providers and in our in-house manufacturing facilities; and ● achieving better pricing from a diversified pool of semiconductor manufacturing service providers and suppliers, reflecting our ability to leverage our scale, volume requirements and close relationships as well as our strategy of sourcing from multiple service providers and suppliers. 58 Table of Contents Supply Chain Management Due to the competitive nature of the flat panel display industry and our customers’ need to maintain high capacity utilization in order to reduce unit costs per panel, any delays in the delivery of our products could significantly disrupt our customers’ operations.
In addition, to mitigate declining average selling prices, we aim to reduce unit costs by, among other things: ● improving product design (e.g., having smaller die size allows for a larger number of dies on each wafer, thereby reducing the cost of each die); ● improving manufacturing yields through our close collaboration with our semiconductor manufacturing service providers and in our in-house manufacturing facilities; and ● achieving better pricing from a diversified pool of semiconductor manufacturing service providers and suppliers, reflecting our ability to leverage our scale, volume requirements and close relationships as well as our strategy of sourcing from multiple service providers and suppliers. 57 Table of Contents Supply Chain Management Due to the competitive nature of the flat panel display industry and our customers’ need to maintain high capacity utilization in order to reduce unit costs per panel, any delays in the delivery of our products could significantly disrupt our customers’ operations.
Under the long-term incentive plan, we granted RSUs on December 30, 2005 to our employees and directors and again on September 29, 2006, September 26, 2007, September 29, 2008, September 28, 2009, September 28, 2010, September 28, 2011, September 26, 2012, September 26, 2013, September 26, 2014, September 25, 2015, September 28, 2016, September 29, 2017, September 26, 2018, September 28, 2020, September 28, 2021, September 28, 2022 and September 26, 2023 to our employees.
Under the long-term incentive plan, we granted RSUs on December 30, 2005 to our employees and directors and again on September 29, 2006, September 26, 2007, September 29, 2008, September 28, 2009, September 28, 2010, September 28, 2011, September 26, 2012, September 26, 2013, September 26, 2014, September 25, 2015, September 28, 2016, September 29, 2017, September 26, 2018, September 28, 2020, September 28, 2021, September 28, 2022, September 26, 2023 and September 26, 2024 to our employees.
Factors Affecting Our Performance Our business, financial position and results of operations, as well as the period-to-period comparability of our financial results, are significantly affected by a number of factors, some of which are beyond our control, including: ● average selling prices; ● unit shipments; ● product mix; ● design wins; ● cost of revenues and cost reductions; ● supply chain management; ● share-based compensation expenses and cash awards; and ● tax credits. 56 Table of Contents Average Selling Prices Our performance is affected by the selling prices of each of our products.
Factors Affecting Our Performance Our business, financial position and results of operations, as well as the period-to-period comparability of our financial results, are significantly affected by a number of factors, some of which are beyond our control, including: ● average selling prices; ● unit shipments; ● product mix; ● design wins; ● cost of revenues and cost reductions; ● supply chain management; ● share-based compensation expenses and cash awards; and ● tax credits. 55 Table of Contents Average Selling Prices Our performance is affected by the selling prices of each of our products.
Our purchase obligations also include agreements to purchase goods or services, primarily inventory, that are enforceable and legally binding on us and that specify all significant terms, including fixed or minimum quantities to be purchased, fixed or variable price provisions, and the approximate timing of the transaction. Among all these purchase agreements, the longest termination term shall expire in 2028.
Our purchase obligations also include agreements to purchase goods or services, primarily inventory, that are enforceable and legally binding on us and that specify all significant terms, including fixed or minimum quantities to be purchased, fixed or variable price provisions, and the approximate timing of the transaction. Among all these purchase agreements, the longest termination term shall expire in 2030.
The remainder will be equally vested at the first, second and third anniversaries of the grant date. 62 Table of Contents Income Taxes Since we and our direct and indirect subsidiaries are incorporated in different jurisdictions, we file separate income tax returns. Under the current laws of the Cayman Islands, we are not subject to income or capital gains tax.
The remainder will be equally vested at the first, second and third anniversaries of the grant date. 61 Table of Contents Income Taxes Since we and our direct and indirect subsidiaries are incorporated in different jurisdictions, we file separate income tax returns. Under the current laws of the Cayman Islands, we are not subject to income or capital gains tax.
For the years ended December 31, 2021, 2022 and 2023, we did not recognize any impairment loss on non-financial assets. Goodwill We evaluate goodwill for impairment at least annually, or more frequently when there is an indication that the cash-generating unit (CGU) may be impaired.
For the years ended December 31, 2022, 2023 and 2024, we did not recognize any impairment loss on non-financial assets. Goodwill We evaluate goodwill for impairment at least annually, or more frequently when there is an indication that the cash-generating unit (CGU) may be impaired.
Such cyclicality and price fluctuations could negatively impact our business or results of operations.” The revenue expansion of our non-driver products as well as TFT-LCD and AMOLED products trending toward high resolution and any other new product introduction help to mitigate these risks.
Such cyclicality and price fluctuations could negatively impact our business or results of operations.” The revenue expansion of our non-driver products as well as TFT-LCD and OLED products trending toward high resolution and any other new product introduction help to mitigate these risks.
As our semiconductors are critical components of flat panel displays, our industry is closely linked to the trends and developments of the flat panel display industry. The majority of our revenues in 2023 were derived from sales of display drivers that were eventually incorporated into TFT-LCD and OLED panels.
As our semiconductors are critical components of flat panel displays, our industry is closely linked to the trends and developments of the flat panel display industry. The majority of our revenues in 2024 were derived from sales of display drivers that were eventually incorporated into TFT-LCD and OLED panels.
Moreover, our different non-driver products vary in average selling prices and costs. 57 Table of Contents The proportion of non-driver business would also affect our financial position and results of operations. For the past few years, we have experienced operating losses from our non-driver business.
Moreover, our different non-driver products vary in average selling prices and costs. 56 Table of Contents The proportion of non-driver business would also affect our financial position and results of operations. For the past few years, we have experienced operating losses from our non-driver business.
See “Risk Factors — Risks Related to Our Holding Company Structure — Our ability to receive dividends and other payments or funds from our subsidiaries may be restricted by commercial, statutory and legal restrictions, and thereby materially and adversely affect our ability to grow, fund investments, make acquisitions, pay dividends and otherwise fund and conduct our business.” 68 Table of Contents During the 2021 timeframe, we took steps to address the ongoing foundry capacity shortage worldwide by entering into strategic agreements with our foundry partners to secure the necessary capacity to meet our business requirements.
See “Risk Factors — Risks Related to Our Holding Company Structure — Our ability to receive dividends and other payments or funds from our subsidiaries may be restricted by commercial, statutory and legal restrictions, and thereby materially and adversely affect our ability to grow, fund investments, make acquisitions, pay dividends and otherwise fund and conduct our business.” During the 2021 timeframe, we took steps to address the ongoing foundry capacity shortage worldwide by entering into strategic agreements with our foundry partners to secure the necessary capacity to meet our business requirements.
In the process of estimating the recoverable amount of relevant CGU, management is required to make subjective judgments in determining the discounted rate, the terminal growth rate, the independent cash flows, useful lives, expected future revenue and expenses related to the CGU.
In the process of estimating the recoverable amount of relevant CGU, management is required to make subjective judgments in determining the discount rate, the terminal growth rate, the independent cash flows, useful lives, expected future revenue and expenses related to the CGU.
For the years ended December 31, 2021, 2022 and 2023, we did not recognize any impairment loss on goodwill. 63 Table of Contents Income Taxes According to the ROC Income Tax Act, dividends distributed by a Taiwan company to its foreign shareholders are subject to ROC withholding tax, currently at the rate of 21% on the amount of the distribution in the case of cash dividends or on the par value of the ordinary shares in the case of stock dividends.
For the years ended December 31, 2022, 2023 and 2024, we did not recognize any impairment loss on goodwill. 62 Table of Contents Income Taxes According to the ROC Income Tax Act, dividends distributed by a Taiwan company to its foreign shareholders are subject to ROC withholding tax, currently at the rate of 21% on the amount of the distribution in the case of cash dividends or on the par value of the ordinary shares in the case of stock dividends.
Operating Results For discussion related to our financial condition, changes in financial condition, and the results of operations for 2022 compared to 2021, refer to “Part I, Item 5.
Operating Results For discussion related to our financial condition, changes in financial condition, and the results of operations for 2023 compared to 2022, refer to “Part I, Item 5.
Cost of Revenues The principal items of our cost of revenues are: ● cost of wafer fabrication; 61 Table of Contents ● cost of processed tape used in TAB packaging; ● cost of gold bumping, assembly and testing; and ● other costs and expenses. We outsource the manufacturing of our semiconductors and semiconductor solutions to semiconductor manufacturing service providers.
Cost of Revenues The principal items of our cost of revenues are: ● cost of wafer fabrication; ● cost of processed tape used in TAB packaging; ● cost of gold bumping, assembly and testing; and ● other costs and expenses. We outsource the manufacturing of our semiconductors and semiconductor solutions to semiconductor manufacturing service providers.
As of December 31, 2022 and 2023, goodwill in Driver IC CGU and WLO CGU was $26,846 thousand and $1,292 thousand, respectively.
As of December 31, 2023 and 2024, goodwill in Driver IC CGU and WLO CGU was $26,846 thousand and $1,292 thousand, respectively.
We made grants annual bonus by cash payouts totaling $47.7 million, $19.3 million and $0.7 million to the Company’s employees among which $1.6 million, $1.0 million and $0.2 million was immediately vested on September 28, 2021, September 28, 2022 and September 26, 2023, respectively.
We made grants annual bonus by cash payouts totaling $19.3 million, $0.7 million and $1.0 million to the Company’s employees among which $1.0 million, $0.2 million and $0.2 million was immediately vested on September 28, 2022, September 26, 2023 and September 26, 2024, respectively.
Note 4 to our audited consolidated financial statements contains a description that sets forth information about critical judgments, estimates and assumptions in applying accounting policies that have the most significant effect on the amounts recognized in the consolidated financial statements. ​
Note 4 to our audited consolidated financial statements contains a description that sets forth information about critical judgments, estimates and assumptions in applying accounting policies that have the most significant effect on the amounts recognized in the consolidated financial statements. 71 Table of Contents
Therefore, we strive to work closely with current and prospective customers in order to anticipate their requirements and product roadmaps and achieve additional design wins. Cost of Revenues and Cost Reductions We strive to control our cost of revenues. Our cost of revenues as a percentage of total revenues in 2021, 2022 and 2023 was 51.6%, 59.5% and 72.1%, respectively.
Therefore, we strive to work closely with current and prospective customers in order to anticipate their requirements and product roadmaps and achieve additional design wins. Cost of Revenues and Cost Reductions We strive to control our cost of revenues. Our cost of revenues as a percentage of total revenues in 2022, 2023 and 2024 was 59.5%, 72.1% and 69.5%, respectively.
The vesting schedule for such RSU grants is as follows: 97.45% of the RSU grants vested immediately and were settled by cash in the amount of $9.5 million on the grant date, with the remainder vesting equally on each of September 30, 2024, 2025 and 2026, which will be settled by our ordinary shares, subject to certain forfeiture events. 59 Table of Contents The amount of share-based compensation expense with regard to the RSUs granted to our employees on September 26, 2018, September 28, 2020, September 28, 2021, September 28, 2022 and September 26, 2023 was $5.76 per ADS, $3.44 per ADS, $10.39 per ADS, $5.09 per ADS and $5.68 per ADS, respectively, which was based on the trading price of our ADSs on that day.
The vesting schedule for such RSU grants is as follows: 96.76% of the RSU grants vested immediately and were settled by cash in the amount of $11.1 million on the grant date, with the remainder vesting equally on each of September 30, 2025, 2026 and 2027, which will be settled by our ordinary shares, subject to certain forfeiture events. 58 Table of Contents The amount of share-based compensation expense with regard to the RSUs granted to our employees on September 28, 2020, September 28, 2021, September 28, 2022, September 26, 2023 and September 26, 2024 was $3.44 per ADS, $10.39 per ADS, $5.09 per ADS, $5.68 per ADS and $5.68 per ADS, respectively, which was based on the trading price of our ADSs on that day.
The inventory write-downs in 2021, 2022 and 2023 were approximately $9.4 million, $22.2 million and $21.5 million, respectively, and were included in cost of revenues in our consolidated statements of profit or loss. Impairment of Non-financial Assets other than Goodwill We routinely review our non-financial assets at the reporting date to determine whether there is any indication of impairment.
The inventory write-downs in 2022, 2023 and 2024 were approximately $22.2 million, $21.5 million and $13.6 million, respectively, and were included in cost of revenues in our consolidated statements of profit or loss. Impairment of Non-financial Assets other than Goodwill We routinely review our non-financial assets at the reporting date to determine whether there is any indication of impairment.
We did not grant RSUs in 2019 but granted stock options to employees instead. Share-based compensation expenses recorded regarding RSUs under the long-term incentive plan totaled $23.8 million, $20.0 million and $12.1 million in 2021, 2022 and 2023, respectively. Cash Awards.
We did not grant RSUs in 2019 but granted stock options to employees instead. Share-based compensation expenses recorded regarding RSUs under the long-term incentive plan totaled $20.0 million, $12.1 million and $12.2 million in 2022, 2023 and 2024, respectively. Cash Awards.
Operating and Financial Review and Prospects,” in our Annual Report on Form 20-F for the fiscal year ended December 31, 2022, which was filed with the United States Securities and Exchange Commission on April 6, 2023. 55 Table of Contents Overview We commenced operations through our predecessor, Himax Taiwan, in June 2001.
Operating and Financial Review and Prospects,” in our Annual Report on Form 20-F for the fiscal year ended December 31, 2023, which was filed with the United States Securities and Exchange Commission on April 2, 2024. 54 Table of Contents Overview We commenced operations through our predecessor, Himax Taiwan, in June 2001.
We recognized share-based compensation expenses regarding RSUs under the long-term incentive plan totaling $23.8 million, $20 million and $12.1 million in 2021, 2022 and 2023, respectively. Of the total share-based compensation expenses recognized, $23.2 million, $17.5 million and $9.5 million in 2021, 2022 and 2023, respectively, were settled in cash.
We recognized share-based compensation expenses regarding RSUs under the long-term incentive plan totaling $20 million, $12.1 million and $12.2 million in 2022, 2023 and 2024, respectively. Of the total share-based compensation expenses recognized, $17.5 million, $9.5 million and $11.1 million in 2022, 2023 and 2024, respectively, were settled in cash.
We made grants annual bonus by cash payouts totaling $47.7 million, $19.3 million and $0.7 million to the Company’s employees among which $1.6 million, $1.0 million and $0.2 million was immediately vested on September 28, 2021, September 28, 2022 and September 26, 2023, respectively.
Cash Awards. We made grants annual bonus by cash payouts totaling $19.3 million, $0.7 million and $1.0 million to the Company’s employees among which $1.0 million, $0.2 million and $0.2 million was immediately vested on September 28, 2022, September 26, 2023 and September 26, 2024, respectively.
Purchase obligations exclude agreements that are cancelable without penalty. Contractual obligations resulting from above purchase orders and agreements with known amounts approximate $1,415 million as of December 31, 2023. Of obligations under above purchase orders and agreements, $589 million is expected to be paid in the next 12 months.
Purchase obligations exclude agreements that are cancelable without penalty. Contractual obligations resulting from above purchase orders and agreements with known amounts approximate $1,258 million as of December 31, 2024. Of obligations under above purchase orders and agreements, $474 million is expected to be paid in the next 12 months.
Based on the amendments to the above, effective from January 1, 2016 to December 31, 2019, further extended to December 31, 2029, if companies choose to extend the tax credits to three years, the tax credit rate will be 10% of the total qualifying research and development expenditure for the current year and subject to a cap of 30% of the income tax payable for each year.
Based on the amendments to the above, extended to December 31, 2029, if companies choose to extend the tax credits to three years, the tax credit rate will be 10% of the total qualifying research and development expenditure for the current year and subject to a cap of 30% of the income tax payable for each year.
Moving forward, we are more committed than ever to strengthening our WiseEye product roadmap and retaining our leadership position in ultralow power AI processor and image sensor for end-point AI applications. WiseEye2, our latest AI processor, has earned the prestigious "2023 Best AI Product Award" from EE Awards Asia, solidifying our leadership position in the industry.
Moving forward, we are more committed than ever to strengthening our WiseEye product roadmap and retaining our leadership position in ultralow power AI processor and image sensor for endpoint AI applications. WiseEye2, our latest AI processor, has earned the prestigious “2023 Best AI Product Award” from EE Awards Asia, solidifying our leadership position in the industry.
For enhancing the guaranty, our land, building and improvements of Fab 2 totaling $63.4 million were pledged as collateral for the long-term unsecured borrowings.
For enhancing the guaranty, our land, building and improvements of Fab 2 totaling $60.0 million were pledged as collateral for the long-term unsecured borrowings.
We derive substantially all of our revenues from sales to Asia-based customers whose end products are sold worldwide. In 2021, 2022 and 2023, approximately 14.2%, 14.6% and 15.0% of our revenues, respectively, were from customers headquartered in Taiwan and approximately 81.5%, 77.0% and 76.2% of our revenues, respectively, were from customers headquartered in China.
We derive substantially all of our revenues from sales to Asia-based customers whose end products are sold worldwide. In 2022, 2023 and 2024, approximately 14.6%, 15.0% and 15.3% of our revenues, respectively, were from customers headquartered in Taiwan and approximately 77.0%, 76.2% and 73.4% of our revenues, respectively, were from customers headquartered in China.
WiseEye business is in a good position to enjoy rapid growth for years to come and we believe it will serve as a multi-year structural growth driver for Himax. On 3D sensing, we offer both total solutions and key components for our customers.
WiseEye business is in a good position to enjoy rapid growth for years to come and we believe it will serve as a multi-year structural growth driver for Himax. 70 Table of Contents In 3D sensing, we provide both total solutions and key components to our customers.
Despite the soft market sentiment, we are actively developing the next generation TCON IC for OLED tablets, notebooks, and automotive applications, aiming to diversify our offerings and strategically position ourselves for a resurgence in demand.
Meanwhile, we are actively developing the next-generation TCON IC for OLED tablets, notebooks, and automotive applications, aiming to diversify our product offerings and strategically position ourselves for a resurgence in demand.
In addition, our product portfolio also includes timing controllers, operational amplifiers, LCoS microdisplay, power management ICs, CMOS image sensors, 3D sensing, ultralow power WiseEye smart image sensing, wafer level optics products and ASIC service. The 2023 full year revenues totaled $945.4 million, representing a 21.3% decline compared to 2022.
In addition, our product portfolio also includes timing controllers, operational amplifiers, LCoS microdisplay, power management ICs, CMOS image sensors, 3D sensing, WiseEye ultralow power AI sensing, wafer level optics products and ASIC service. The 2024 full year revenues totaled $906.8 million, representing a 4.1% decline compared to 2023.
As of December 31, 2023, we had total unused short-term credit lines of $206.5 million, of which $127.0 million belonging to the parent company, Himax Technologies, Inc., needs to be secured with an equal amount of cash and time deposits when borrowing money from banks. Further, we had unused long-term credit lines of $139.5 million.
As of December 31, 2024, we had total unused short-term credit lines of $258.9 million, of which $146.8 million belonging to the parent company, Himax Technologies, Inc., needs to be secured with an equal amount of cash and time deposits when borrowing money from banks. Further, we had unused long-term credit lines of $140.0 million.
As of December 31, 2023, we had short-term secured borrowings of $453.0 million with cash and time deposits of $453.0 million as collateral, and long-term unsecured borrowings of $40.5 million, of which $6.0 million was current portion.
As of December 31, 2024, we had short-term secured borrowings of $503.7 million with cash and time deposits of $503.7 million as collateral, and long-term unsecured borrowings of $34.5 million, of which $6.0 million was current portion.
The vesting schedule for such RSU grants is as follows: 97.15% of the RSU grants vested immediately and were settled by cash in the amount of $3.8 million on the grant date, with the remainder vesting equally on each of September 30, 2019, 2020 and 2021, which will be settled by our ordinary shares, subject to certain forfeiture events.
The vesting schedule for such RSU grants is as follows: 97.45% of the RSU grants vested immediately and were settled by cash in the amount of $9.5 million on the grant date, with the remainder vesting equally on each of September 30, 2024, 2025 and 2026, which will be settled by our ordinary shares, subject to certain forfeiture events.
As of December 31, 2023, we have not provided for retained earnings tax on the undistributed earnings of approximately $1,307.4 million of our subsidiaries since we have specific plans to reinvest these earnings indefinitely. The undistributed earnings in our foreign subsidiaries are mainly from Himax Taiwan totaling approximately $1,305.9 million as of December 31, 2023.
As of December 31, 2024, we have not provided for retained earnings tax on the undistributed earnings of approximately $1,386.0 million of our subsidiaries since we have specific plans to reinvest these earnings indefinitely. The undistributed earnings in our foreign subsidiaries are mainly from Himax Taiwan totaling approximately $1,384.2 million as of December 31, 2024.
ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS The following discussion should be read in conjunction with our audited consolidated financial statements and their accompanying notes included elsewhere herein which are prepared in accordance with IFRS. 5.A.
ITEM 5. OPERATING AND FINANCIAL REVIEW AND PROSPECTS The following discussion should be read in conjunction with our audited consolidated financial statements and their accompanying notes included elsewhere herein which are prepared in accordance with IFRS. This discussion contains forward-looking statements that involve risks and uncertainties.
Customer C accounted for 19.1%, 9.4% and 11.0% of our revenues in 2021, 2022 and 2023, respectively. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2021 ​ 2022 2023 ​ ​ ​ Percentage ​ ​ Percentage ​ ​ ​ Percentage ​ ​ ​ ​ ​ of ​ ​ ​ ​ of ​ ​ ​ of ​ Amount Revenues Amount Revenues Amount Revenues ​ ​ (in thousands, except percentages) Customer A and its affiliates ​ $ 497,083 32.1 ​ $ 388,194 ​ 32.3 ​ $ 271,351 ​ 28.7 Customer C ​ 295,217 19.1 ​ 113,396 ​ 9.4 ​ ​ 103,839 ​ 11.0 Others ​ 754,797 48.8 ​ 699,749 ​ 58.3 ​ ​ 570,238 ​ 60.3 Total ​ $ 1,547,097 100.0 ​ $ 1,201,339 ​ 100.0 ​ $ 945,428 ​ 100.0 ​ The global TFT-LCD and OLED panel market is highly concentrated, with only a limited number of TFT-LCD and OLED panel manufacturers producing TFT-LCD and OLED panels in high volumes.
Customer C accounted for 9.4%, 11.0% and 8.3% of our revenues in 2022, 2023 and 2024, respectively. ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2022 ​ 2023 2024 ​ ​ ​ Percentage ​ ​ Percentage ​ ​ ​ Percentage ​ ​ ​ ​ ​ of ​ ​ ​ ​ of ​ ​ ​ of ​ Amount Revenues Amount Revenues Amount Revenues ​ ​ (in thousands, except percentages) Customer A and its affiliates ​ $ 388,194 ​ 32.3 ​ $ 271,351 ​ 28.7 ​ $ 239,001 ​ 26.4 Customer C ​ 113,396 ​ 9.4 ​ ​ 103,839 ​ 11.0 ​ ​ 75,564 ​ 8.3 Others ​ 699,749 ​ 58.3 ​ ​ 570,238 ​ 60.3 ​ ​ 592,237 ​ 65.3 Total ​ $ 1,201,339 ​ 100.0 ​ $ 945,428 ​ 100.0 ​ $ 906,802 ​ 100.0 ​ The global TFT-LCD and OLED panel market is highly concentrated, with only a limited number of TFT-LCD and OLED panel manufacturers producing TFT-LCD and OLED panels in high volumes.
As a percentage of revenues, costs and expenses increased to 95.4% in 2023 compared to 78.6% in 2022. ● Cost of Revenues. Cost of revenues decreased to $681.9 million in 2023 from $714.2 million in 2022, which was due primarily to a 3.1% decrease in unit shipments in 2023.
As a percentage of revenues, costs and expenses decreased to 92.5% in 2024 compared to 95.4% in 2023. ● Cost of Revenues. Cost of revenues decreased to $630.6 million in 2024 from $681.9 million in 2023, which was due primarily to a 2.2% decrease in unit shipments in 2024.
The following table sets forth a summary of our cash flows for the periods indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2021 2022 2023 ​ ​ (in thousands) Net cash provided by operating activities ​ $ 388,276 ​ $ 82,908 ​ $ 152,841 Net cash provided by (used in) investing activities ​ ​ (232,680) ​ ​ 14,998 ​ ​ (88,882) Net cash (used in) financing activities ​ ​ (4,487) ​ ​ (211,068) ​ ​ (93,591) Net increase (decrease) in cash and cash equivalents ​ ​ 151,086 ​ ​ (114,443) ​ ​ (29,832) Cash and cash equivalents at beginning of period ​ ​ 184,938 ​ ​ 336,024 ​ ​ 221,581 Cash and cash equivalents at end of period ​ ​ 336,024 ​ ​ 221,581 ​ ​ 191,749 ​ Operating Activities .
The following table sets forth a summary of our cash flows for the periods indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2022 2023 2024 ​ ​ (in thousands) Net cash provided by operating activities ​ $ 82,908 ​ $ 152,841 ​ $ 115,976 Net cash provided by (used in) investing activities ​ ​ 14,998 ​ ​ (88,882) ​ ​ (516) Net cash (used in) financing activities ​ ​ (211,068) ​ ​ (93,591) ​ ​ (88,217) Net increase (decrease) in cash and cash equivalents ​ ​ (114,443) ​ ​ (29,832) ​ ​ 26,399 Cash and cash equivalents at beginning of period ​ ​ 336,024 ​ ​ 221,581 ​ ​ 191,749 Cash and cash equivalents at end of period ​ ​ 221,581 ​ ​ 191,749 ​ ​ 218,148 ​ 66 Table of Contents Operating Activities .
In 2021, 2022 and 2023, we incurred research and development expenses of $151.4 million, $175.6 million and $171.4 million, respectively, representing 9.8%, 14.6% and 18.1% of our revenues, respectively. 5.D.
In 2022, 2023 and 2024, we incurred research and development expenses of $175.6 million, $171.4 million and $160.3 million, respectively, representing 14.6%, 18.1% and 17.7% of our revenues, respectively. 5.D.
As expected, our traditional discrete driver ICs for smartphones and tablets are being rapidly replaced by TDDI technology. Himax is actively expanding our presence in the AMOLED market through strategic partnerships with leading panel makers in Korea and China.
In the smartphone sector, we anticipate higher exposure once our smartphone OLED solution becomes available. As expected, our traditional discrete driver ICs for smartphones and tablets are being rapidly replaced by TDDI technology. Himax is actively expanding its presence in the OLED market through strategic partnerships with leading panel makers in Korea, Japan, and China.
Net cash used in investing activities in 2023 was $88.9 million compared to net cash provided by investing activities $15.0 million in 2022.
Investing Activities . Net cash used in investing activities in 2024 was $0.6 million compared to $88.9 million in 2023.
We have historically been able to meet our cash requirements through cash flow from operations and borrowings to pay dividends. 67 Table of Contents As of December 31, 2023, we had total current assets of $1,200.6 million, total current liabilities of $708.8 million and cash and cash equivalents of $191.7 million.
We have historically been able to meet our cash requirements through cash flow from operations and borrowings to pay dividends. As of December 31, 2024, we had total current assets of $1,168.0 million, total current liabilities of $706.6 million and cash and cash equivalents of $218.1 million.
In 2023, as a percentage of Himax Taiwan’s total manufacturing costs, the cost of wafer fabrication was 50.5%, the cost of processed tape was 4.5%, the cost of assembly and testing was 44.3%, and overhead was 0.7%.
In 2024, as a percentage of Himax Taiwan’s total manufacturing costs, the cost of wafer fabrication was 55.5%, the cost of processed tape was 4.1%, the cost of assembly and testing was 39.8%, and overhead was 0.6%.
Our effective income tax rate decreased to (11.3%) in 2023 from 14.9% in 2022. The decrease in our effective income tax rate was primarily attributable to the significant decrease in pre-tax profit, from $276.6 million in 2022 to $44.4 million in 2023 and income tax benefit for tax credit decreased to $9.9 million in 2023 from $15.6 million in 2022.
The increase in our effective income tax rate was primarily attributable to the increase in pre-tax profit, from $44.4 million in 2023 to $77.3 million in 2024 and income tax benefit for tax credit decreased to $8.6 million in 2024 from $9.9 million in 2023. Profit for the year.
These market dynamics adversely affected both demand and procurement processes of panel customers, particularly in the realm of consumer electronics. 60 Table of Contents The following table sets forth, for the periods indicated, our revenues by amount and our revenues as a percentage of revenues by each product line: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2021 ​ 2022 2023 ​ ​ ​ Percentage ​ ​ Percentage ​ ​ ​ Percentage ​ ​ ​ ​ ​ of ​ ​ ​ ​ of ​ ​ ​ of ​ Amount Revenues Amount Revenues Amount Revenues ​ ​ (in thousands, except percentages) Display drivers for large-sized applications ​ $ 397,905 25.7 ​ $ 263,992 ​ 22.0 ​ $ 175,666 ​ 18.6 Display drivers for small and medium-sized applications ​ 963,537 62.3 ​ 778,946 ​ 64.8 ​ ​ 629,174 ​ 66.5 Non-driver products (1) ​ 185,655 12.0 ​ 158,401 ​ 13.2 ​ ​ 140,588 ​ 14.9 Total ​ $ 1,547,097 100.0 ​ $ 1,201,339 ​ 100.0 ​ $ 945,428 ​ 100.0 Note: (1) Includes, among other things, timing controllers, LCoS projector solutions, power management IC, CMOS image sensors, programmable gamma OP, wafer level optics (WLO) products, ultralow power WiseEye smart image sensing, NRE incomes, and ASIC service.
The following table sets forth, for the periods indicated, our revenues by amount and our revenues as a percentage of revenues by each product line: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ ​ 2022 ​ 2023 2024 ​ ​ ​ Percentage ​ ​ Percentage ​ ​ ​ Percentage ​ ​ ​ ​ ​ of ​ ​ ​ ​ of ​ ​ ​ of ​ Amount Revenues Amount Revenues Amount Revenues ​ ​ (in thousands, except percentages) Display drivers for large-sized applications ​ $ 263,992 ​ 22.0 ​ $ 175,666 ​ 18.6 ​ $ 125,936 ​ 13.9 Display drivers for small and medium-sized applications ​ 778,946 ​ 64.8 ​ ​ 629,174 ​ 66.5 ​ ​ 625,390 ​ 69.0 Non-driver products (1) ​ 158,401 ​ 13.2 ​ ​ 140,588 ​ 14.9 ​ ​ 155,476 ​ 17.1 Total ​ $ 1,201,339 ​ 100.0 ​ $ 945,428 ​ 100.0 ​ $ 906,802 ​ 100.0 Note: (1) Includes, among other things, timing controllers, LCoS projector solutions, power management IC, CMOS image sensors, programmable gamma OP, wafer level optics (WLO) products, WiseEye ultralow power AI sensing, NRE incomes, and ASIC service. 59 Table of Contents A limited number of customers account for substantially all our revenues.
The decline stemmed from reduced sales of display drivers for both large-sized and small and medium-sized sectors, driven by the prevailing weak macroeconomic conditions that adversely affected both the demand for and procurement processes of panel customers, especially within the consumer electronics sector. Segment operating income.
The decline stemmed from reduced sales of display drivers mainly from large-sized sectors, driven by the prevailing weak macroeconomic conditions that adversely affected both the demand for and procurement processes of panel customers, as well as heightened price competition from Chinese peers. Segment operating income.
General and administrative expenses decreased by 12.2% to $25.0 million in 2023 from $28.5 million in 2022, primarily as a result of decreases in compensation awards to employees described in above Research and Development and professional fees. ● Sales and Marketing. Sales and marketing expenses decreased by 6.3% to $23.9 million in 2023 from $25.5 million in 2022.
General and administrative expenses decreased by 3.7% to $24.1 million in 2024 from $25.0 million in 2023, primarily as a result of decreases in compensation awards to employees described in above Research and Development , but partially offset by increase in professional fees. ● Sales and Marketing.
We measure and recognize compensation expense for all share-based payments at fair value. Set forth below is a summary of our historical share-based compensation plans for the years ended December 31, 2021, 2022 and 2023 as reflected in our consolidated financial statements. However, we did not grant RSUs in 2019 but granted stock options to employees instead.
We measure and recognize compensation expense for all share-based payments at fair value. Set forth below is a summary of our historical share-based compensation plans for the years ended December 31, 2022, 2023 and 2024 as reflected in our consolidated financial statements. We made grants of 1,402,714 RSUs to our employees on September 28, 2020.
Given the rapid expansion of AI adoption across various industries, we have developed a range of ultralow-power Always-On CMOS image sensors specifically tailored for AI applications that require continuous sensing or monitoring, while maintaining minimal power consumption.
For CMOS image sensors business, we continue to supply sensors for webcams and notebooks. With the rapid expansion of AI adoption across industries, we have developed a range of ultralow power always-on CMOS image sensors designed for AI applications that require continuous sensing or monitoring while minimizing power consumption.
Our 3D decoder IC accelerates local image processing for face recognition, ensuring advanced and secured security authentication, thereby has been certified by leading Chinese electronic payment standards, meeting requirements for accurate data decoding, timely operation, and strict privacy. It's widely adopted by many Chinese e-payment solution providers with significant shipments starting 2022.
Our 3D decoder IC enhances local image processing for face recognition, ensuring advanced and secure authentication. Certified by leading Chinese electronic payment standards, it meets stringent requirements for accurate data decoding, fast operation, and strict privacy protection. Since 2022, it has been widely adopted by major Chinese e-payment solution providers, with significant shipment volumes.
These solutions can cascade up to 30 chips in support of ultrahigh-resolution displays, offering high-precision touch sensitivity and creating a high entry barrier for potential competitors. Our industry-leading, cutting-edge automotive LTDI product started mass production for Geely Auto’s NEVs in the third quarter of 2023.
These solutions support cascading up to 30 chips, enabling ultra-high-resolution displays with exceptional touch precision, creating a significant entry barrier for competitors. Our industry-leading automotive LTDI product entered mass production for Geely Auto’s NEVs in the third quarter of 2023, with additional projects underway.
A limited number of customers account for substantially all our revenues. For example, Customer A and its affiliates accounted for 32.1%, 32.3% and 28.7% of our revenues in 2021, 2022 and 2023, respectively.
For example, Customer A and its affiliates accounted for 32.3%, 28.7% and 26.4% of our revenues in 2022, 2023 and 2024, respectively.
Our revenues from the Driver IC segment decreased by 22.8% to $804.8 million in 2023 from $1,042.9 million in 2022.
Our revenues from the Driver IC segment decreased by 6.6% to $751.3 million in 2024 from $804.8 million in 2023.
Financing Activities . Net cash used in financing activities in 2023 was $93.6 million compared to $211.1 million in 2022. This change was due primarily to decrease in distribution of cash dividends in 2023 and a decrease of guarantee deposits received from customers.
Financing Activities . Net cash used in financing activities in 2024 was $88.2 million compared to $93.6 million in 2023. This change was due primarily to decrease in distribution of cash dividends in 2024, but offset by a refund of guarantee deposits received from customers in 2024 and the increase in prepayments for purchase of treasury shares.
We expect to continue increasing our spending on research and development in absolute dollar amounts in the future as we continue to increase our research and development headcount and associated costs to pursue additional product development opportunities. As a percentage of revenues, our research and development expenses in 2021, 2022 and 2023 were 9.8%, 14.6% and 18.1%, respectively.
We expect to continue increasing our spending on research and development in absolute dollar amounts in the future as we continue to increase our research and development headcount and associated costs to pursue additional product development opportunities.
We made grants of 676,273 RSUs to our employees on September 26, 2018.
We made grants of 2,014,386 RSUs to our employees on September 26, 2024.
Additionally, we commenced mass production of AMOLED TCON together with DDIC in automotive and tablet applications starting in early 2022, where the design wins with leading tablet and NEV customers continue to expand.
Additionally, we began mass production of OLED TCON alongside DDIC for automotive and tablet applications back in early 2022, with design wins from leading tablet and NEV customers continuing to expand.
This increase in net cash used in investing activities was due primarily to an increase of $50.8 million in refundable deposits made for securing foundry capacity, an increase of $20.9 million in net cash used in acquisitions of financial assets at amortized cost in 2023 compared to 2022 and an increase in cash used in acquisitions of property, plant and equipment of $11.6 million.
This decrease in net cash used in investing activities was due primarily to a refund of $33.6 million in refundable deposits in 2024, and $56.9 million refundable deposits made for securing foundry capacity in 2023, a decrease in cash used in acquisitions of property, plant and equipment of $10.3 million but offset by an increase of $15.8 million in net cash used in acquisitions of financial assets at fair value through other comprehensive income in 2024 compared to 2023.
Non-Driver Products Segment Year Ended December 31, 2023 Compared to Year Ended December 31, 2022 Segment revenues. Our revenues from the Non-Driver Products segment decreased by 11.2% to $140.6 million in 2023 from $158.4 million in 2022. The year-over-year decrease was mainly from decline in TCON revenues, but partially offset by the increase of WLO and CMOS imaging sensor.
Non-Driver Products Segment Year Ended December 31, 2024 Compared to Year Ended December 31, 2023 Segment revenues. Our revenues from the Non-Driver Products segment increased by 10.6% to $155.5 million in 2024, compared to $140.6 million in 2023. The year-over-year increase was mainly from the growth of TCON and CMOS image sensor.
This decrease was primarily attributable to decrease in compensation awards to employees described in above Research and Development , but partially offset by increase in travelling expense. Non-Operating Income (loss). We had net non-operating income of $1.2 million in 2023 compared to $19.0 million in 2022.
Sales and marketing expenses decreased by 1.4% to $23.5 million in 2024 from $23.9 million in 2023. This decrease was primarily attributable to decrease in compensation awards to employees described in above Research and Development , but partially offset by increase in travelling expense. Non-Operating Income.
Research and Development Our research and development efforts focus on improving and enhancing our core technologies and know-how relating to the semiconductor solutions we offer to the flat panel display industry.
We believe that our working capital and borrowings under our existing and future credit lines should be sufficient for our present requirements. 5.C. Research and Development Our research and development efforts focus on improving and enhancing our core technologies and know-how relating to the semiconductor solutions we offer to the flat panel display industry.
The costs of wafer fabrication, gold bumping, assembly and testing depend on the availability of capacity and demand for such services. The wafer fabrication industry, in particular, is highly cyclical, resulting in fluctuations in the price of processed wafers depending on the available foundry capacity and the demand for foundry services.
The costs of wafer fabrication, gold bumping, assembly and testing depend on the availability of capacity and demand for such services.
As a result of the foregoing, our profit was $49.4 million in 2023, versus $235.5 million in 2022, and profit attributable to Himax stockholders was $50.6 million in 2023, versus $237.0 million in 2022. 66 Table of Contents Segment Results The following table sets forth the revenues and operating results for our reportable segments for the periods indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2021 2022 2023 ​ ​ (in thousands) Segment Revenues ​ ​ ​ ​ ​ Driver IC ​ $ 1,361,442 ​ $ 1,042,938 ​ $ 804,840 Non-Driver Products ​ 185,655 ​ ​ 158,401 ​ ​ 140,588 Total ​ $ 1,547,097 ​ $ 1,201,339 ​ $ 945,428 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2021 2022 2023 ​ ​ (in thousands) Segment Operating Income (Loss) ​ ​ ​ ​ ​ Driver IC ​ $ 551,943 ​ $ 275,275 ​ $ 75,282 Non-Driver Products ​ ​ (6,922) ​ ​ (17,688) ​ ​ (32,070) Total ​ $ 545,021 ​ $ 257,587 ​ $ 43,212 ​ Driver IC Segment Year Ended December 31, 2023 Compared to Year Ended December 31, 2022 Segment revenues .
Segment Results The following table sets forth the revenues and operating results for our reportable segments for the periods indicated: ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2022 2023 2024 ​ ​ (in thousands) Segment Revenues ​ ​ ​ ​ ​ Driver IC ​ $ 1,042,938 ​ $ 804,840 ​ $ 751,326 Non-Driver Products ​ 158,401 ​ ​ 140,588 ​ ​ 155,476 Total ​ $ 1,201,339 ​ $ 945,428 ​ $ 906,802 ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ ​ Year Ended December 31, ​ 2022 2023 2024 ​ ​ (in thousands) Segment Operating Income (Loss) ​ ​ ​ ​ ​ Driver IC ​ $ 275,275 ​ $ 75,282 ​ $ 92,699 Non-Driver Products ​ ​ (17,688) ​ ​ (32,070) ​ ​ (24,478) Total ​ $ 257,587 ​ $ 43,212 ​ $ 68,221 ​ 65 Table of Contents Driver IC Segment Year Ended December 31, 2024 Compared to Year Ended December 31, 2023 Segment revenues .
We anticipate that AMOLED driver ICs will soon become one of the major growth drivers for our business. Non-Driver IC Sector The non-driver category has been our most exciting growth area and a differentiator for the Company.
“With the growing adoption of OLED displays, we expect OLED driver ICs to become a major growth driver for our business. Non-Driver IC Sector The non-driver category has emerged as our most exciting growth area and a key differentiator for the company.
Our capital expenditures were incurred primarily in connection with the purchase of property and equipment. Our capital expenditures totaled $7.6 million, $11.8 million and $23.4 million in 2021, 2022 and 2023, respectively. Capital expenditures of $23.4 million in 2023 was mainly for in-house testers for our IC design business as well as R&D related equipment.
Our capital expenditures were incurred primarily in connection with the purchase of property and equipment. Our capital expenditures totaled $11.8 million, $23.4 million and $13.1 million in 2022, 2023 and 2024, respectively.
Research and Development Expenses Research and development expenses consist primarily of research and development employee salaries, including related employee welfare costs, costs associated with prototype wafers, processed tape, masks, molding and tooling sets and depreciation on research and development equipment.
The wafer fabrication industry, in particular, is highly cyclical, resulting in fluctuations in the price of processed wafers depending on the available foundry capacity and the demand for foundry services. ​ 60 Table of Contents Research and Development Expenses Research and development expenses consist primarily of research and development employee salaries, including related employee welfare costs, costs associated with prototype wafers, processed tape, masks, molding and tooling sets and depreciation on research and development equipment.
Segment operating loss. Operating loss from the Non-Driver Products segment increased to $32.1 million in 2023 from $17.7 million in 2022. The operating loss increases were attributable mainly to the decline in revenues and gross margin. 5.B. Liquidity and Capital Resources We need cash primarily for technology advancement, capacity expansion, paying dividends and working capital.
The operating loss decreases were attributable mainly to the increase in revenues and the decrease in operating expenses as lower employee bonus compensation described in above Driver IC segment. 5.B. Liquidity and Capital Resources We need cash primarily for technology advancement, capacity expansion, paying dividends and working capital.
Presently, we actively engage in follow-up engineering endeavors in collaboration with key industry players, anticipating significant opportunities on the horizon. For more trend information, see “Item 5.A. Operating and Financial Review and Prospects—Operating Results.” 5.E.
This is reinforced by strong partnerships with several leading tech giants developing AR goggles. Currently, we are actively engaged in follow-up engineering efforts with key industry players, positioning us for significant opportunities in the near future. For more trend information, see “Item 5.A. Operating and Financial Review and Prospects—Operating Results.” 5.E.
We are also witnessing a prominent emerging trend of more customers opting for our TDDI or LTDI, coupled with our local dimming TCON, as their standard development platform for crafting new automotive displays of various sizes.
Additionally, we are seeing a strong emerging trend where more customers are adopting our TDDI or LTDI solutions, combined with our local dimming TCON, as their standard development platform for next-generation automotive displays of various sizes. This shift not only reinforces our market leadership but also increases the content value per panel for Himax.
As an illustration, our WLO technology can be deployed to empower 3D perception sensing for precise controller-free gesture recognition in VR devices and commenced volume production of WLO technology to a leading North American customer starting in second quarter of 2023 for their new generation VR devices to enable 3D gesture control.
For instance, WLO technology enhances 3D perception sensing, enabling precise controller-free gesture recognition in VR devices. We began volume production of WLO technology for a leading North American customer in the second quarter of 2023, powering their next-generation VR devices with 3D gesture control capabilities. Another major application of WLO is in CPO (Co-Packaged Optics).
The capex budget will be funded through our internal resources and banking facilities, if so needed. We will continue to make capital expenditures to meet the expected growth of our operations. We believe that our working capital and borrowings under our existing and future credit lines should be sufficient for our present requirements. 69 Table of Contents 5.C.
Capital expenditures of $13.1 million in 2024 was mainly for in-house testers for our IC design business as well as R&D related equipment. 67 Table of Contents The capex budget will be funded through our internal resources and banking facilities, if so needed. We will continue to make capital expenditures to meet the expected growth of our operations.
However, looking ahead to 2024 and beyond, we are poised for sustained growth, leveraging our automotive leadership, operational flexibility, and focus on high-value areas such as TCON, OLED, and AI. With these product lines boasting higher gross margins than our corporate average and some already securing market-leading positions, we are well positioned for the future.
Trend Information As we look ahead to 2025 and beyond, Himax is well-positioned for sustained growth, leveraging our leadership in the automotive sector, operational agility, and focus on high-value product lines such as TCON, OLED, AI, and WLO.
The decrease was primarily due to a gain from disposal of a subsidiary in 2022, decrease in foreign currency exchange gains and increase in finance costs but partially offset by an increase in interest income. Income Tax Expense (benefit). Our income tax benefit increased to $5.0 million in 2023 from income tax expense of $41.1 million in 2022.
We had net non-operating income of $9.1 million in 2024 compared to $1.2 million in 2023. The increase was primarily due to increase in foreign currency exchange gains, decrease in finance costs and a re-measurement loss on the previously held equity interest in Viewsil in 2023. Income Tax Expense (Benefit).
Additionally, our foray into automotive OLED displays, including DDIC, TCON, and the newly launched touch controller, strengthens our market share leadership by providing customers with integrated solutions. Himax also offers high-speed P2P bridge and LTDI solutions, specially designed for displays typically larger than 30 inches or pillar-to-pillar displays.
Furthermore, our expansion into automotive OLED displays, including DDIC, TCON, and on-cell touch controllers, further solidifies our position by delivering fully integrated, next-generation display solutions. Himax also offers high-speed P2P bridge and LTDI solutions, specifically designed for large displays over 30 inches and pillar-to-pillar applications.
Many of our industry-leading customers have demonstrated their state-of-the-art products with our technology embedded in, including AR glasses and LiDAR system. Our proprietary front-lit LCoS microdisplay covers LCoS microdisplay, lightguide, and front-lit LED.
Himax has dedicated years of R&D to advancing LCoS technology, focusing on AR goggle devices and automotive AR HUDs. Many industry-leading customers have showcased state-of-the-art products powered by our technology, including AR glasses and LiDAR systems. Our proprietary front-lit LCoS microdisplay integrates LCoS microdisplay, lightguide, and front-lit LED, offering a groundbreaking solution for AR applications.
Additionally, our flexible AMOLED driver and TCON for automotive display have successfully ramped up for a customer’s flagship EV model in the first quarter of 2022, with the number of awarded projects with worldwide conventional car makers and EV vendors on the rise.
Our comprehensive OLED portfolio now includes on-cell touch controllers, enabling us to support a wide range of applications, including automotive, tablets, and notebooks. Additionally, our flexible OLED driver and TCON for automotive displays successfully ramped up in the first quarter of 2022 for a flagship EV model, with an increasing number of awarded projects from global automakers and EV manufacturers.
In 2024, we expect very strong annual growth for the automotive local dimming TCON business, backed by quickly expanding design wins as well as already secured design wins set to commence mass production within the next two years.
This is driven by expanding design wins, as well as secured projects scheduled to begin mass production within the next two years. Our ongoing innovations in local dimming TCON technology reinforce our market dominance and position us for long-term, sustainable growth.

… 106 more changes not shown on this page.

Item 6. [Reserved]

Selected Financial Data — reserved (removed by SEC in 2021)

30 edited+2 added−11 removed61 unchanged
Biggest changeTsai joined Himax in 2002 as Director of Himax Operation Division initially before serving as Vice President of Himax Display, Inc. where he successfully led the acquisition of Spatial Photonics, Inc. Most recently, he concurrently served as Vice President of Himax Imaging, Ltd. and Vice President of Intelligent Sensing AI Product Center of Himax. Prior to Himax, Mr.
Biggest changeHsien Chang Tsai is our vice president in charge of Sales and Operations. Mr. Tsai joined Himax in 2002 as Director of Himax Operation Division initially before serving as Vice President of Himax Display, Inc. where he successfully led the acquisition of Spatial Photonics, Inc.
Our nominating and corporate governance committee will be responsible for, among other things: ● identifying and recommending to our board of directors nominees for election or re-election, or for appointment to fill any vacancy; ● reviewing annually with our board of directors the current composition of our board of directors in light of the characteristics of independence, age, skills, experience and availability of service to us; ● reviewing the continued board membership of a director upon a significant change in such director’s principal occupation; ● identifying and recommending to our board of directors the names of directors to serve as members of the audit committee and the compensation committee, as well as the nominating and corporate governance committee itself; ● advising the board periodically with respect to significant developments in the law and practice of corporate governance as well as our compliance with applicable laws and regulations, and making recommendations to our board of directors on all matters of corporate governance and on any corrective action to be taken; and ● monitoring compliance with our code of business conduct and ethics, including reviewing the adequacy and effectiveness of our procedures to ensure proper compliance. 77 Table of Contents Terms of Directors and Officers Under Cayman Islands law and our articles of association, each of our directors holds office until a successor has been duly elected or appointed, except where any director was appointed by the board of directors to fill a vacancy on the board of directors or as an addition to the existing board, such director shall hold office until the next annual general meeting of shareholders at which time such director is eligible for re-election.
Our nominating and corporate governance committee will be responsible for, among other things: ● identifying and recommending to our board of directors nominees for election or re-election, or for appointment to fill any vacancy; ● reviewing annually with our board of directors the current composition of our board of directors in light of the characteristics of independence, age, skills, experience and availability of service to us; ● reviewing the continued board membership of a director upon a significant change in such director’s principal occupation; ● identifying and recommending to our board of directors the names of directors to serve as members of the audit committee and the compensation committee, as well as the nominating and corporate governance committee itself; ● advising the board periodically with respect to significant developments in the law and practice of corporate governance as well as our compliance with applicable laws and regulations, and making recommendations to our board of directors on all matters of corporate governance and on any corrective action to be taken; and ● monitoring compliance with our code of business conduct and ethics, including reviewing the adequacy and effectiveness of our procedures to ensure proper compliance. 75 Table of Contents Terms of Directors and Officers Under Cayman Islands law and our articles of association, each of our directors holds office until a successor has been duly elected or appointed, except where any director was appointed by the board of directors to fill a vacancy on the board of directors or as an addition to the existing board, such director shall hold office until the next annual general meeting of shareholders at which time such director is eligible for re-election.
The audit committee will be responsible for, among other things: ● selecting the independent auditors and pre-approving all auditing and non-auditing services permitted to be performed by the independent auditors; ● reviewing with the independent auditors any audit problems or difficulties and management’s response; ● reviewing and approving all proposed related party transactions, as defined in Item 404 of Regulation SK under the Securities Act; ● discussing the annual audited financial statements with management and the independent auditors; ● reviewing major issues as to the adequacy of our internal controls and any special audit steps adopted in light of significant deficiencies or material weaknesses in internal controls; 76 Table of Contents ● annually reviewing and reassessing the adequacy of our audit committee charter; ● meeting separately and periodically with management and the independent auditors; ● reporting regularly to the board of directors; and ● such other matters that are specifically delegated to our audit committee by our board of directors from time to time.
The audit committee will be responsible for, among other things: ● selecting the independent auditors and pre-approving all auditing and non-auditing services permitted to be performed by the independent auditors; ● reviewing with the independent auditors any audit problems or difficulties and management’s response; ● reviewing and approving all proposed related party transactions, as defined in Item 404 of Regulation SK under the Securities Act; ● discussing the annual audited financial statements with management and the independent auditors; ● reviewing major issues as to the adequacy of our internal controls and any special audit steps adopted in light of significant deficiencies or material weaknesses in internal controls; ● annually reviewing and reassessing the adequacy of our audit committee charter; 74 Table of Contents ● meeting separately and periodically with management and the independent auditors; ● reporting regularly to the board of directors; and ● such other matters that are specifically delegated to our audit committee by our board of directors from time to time.
Share Ownership The following table sets forth the beneficial ownership of our ordinary shares, as of March 31, 2024, by each of our directors and executive officers. Beneficial ownership is determined in accordance with the rules and regulations of the SEC. ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares Percentage of Shares Name Owned Owned ​ Dr.
Share Ownership The following table sets forth the beneficial ownership of our ordinary shares, as of March 31, 2025, by each of our directors and executive officers. Beneficial ownership is determined in accordance with the rules and regulations of the SEC. ​ ​ ​ ​ ​ ​ ​ ​ Number of Shares Percentage of Shares Name Owned Owned ​ Dr.
Biing-Seng Wu, who are brothers, there are no family relationships between any of our directors and executive officers. The following table sets forth information regarding our directors and executive officers as of March 31, 2024.
Biing-Seng Wu, who are brothers, there are no family relationships between any of our directors and executive officers. The following table sets forth information regarding our directors and executive officers as of March 31, 2025.
The committee may impose such restrictions on any shares acquired pursuant to the exercise of an option as it may deem advisable. Each participant’s award document will set forth the extent to which he or she will have the right to exercise the options following termination of his or her employment or services.
The committee may impose such restrictions on any shares acquired pursuant to the exercise of an option as it may deem advisable. Each participant’s award document will set forth the extent to which he or she will have the right to exercise the options following termination of his or her employment or services. Restricted Share Units.
The purpose of the plan is to advance our interests and those of our shareholders by: ● providing the opportunity for our employees, directors and service providers to develop a sense of proprietorship and personal involvement in our development and financial success and to devote their best efforts to our business; and ● providing us with a means through which we may attract able individuals to become our employees or to serve as our directors or service providers and providing us a means whereby those individuals, upon whom the responsibilities of our successful administration and management are of importance, can acquire and maintain share ownership, thereby strengthening their concern for our welfare.
The purpose of the plan is to advance our interests and those of our shareholders by: ● providing the opportunity for our employees, directors and service providers to develop a sense of proprietorship and personal involvement in our development and financial success and to devote their best efforts to our business; and ● providing us with a means through which we may attract able individuals to become our employees or to serve as our directors or service providers and providing us a means whereby those individuals, upon whom the responsibilities of our successful administration and management are of importance, can acquire and maintain share ownership, thereby strengthening their concern for our welfare. 76 Table of Contents Type of Awards.
Dr. Su holds a B.S. degree and an M.S. degree and a Ph.D. degree in Electrical Engineering from National Cheng Kung University. Yuan-Chuan Horng is our director. Prior to our reorganization in October 2005, Mr. Horng served as a director of Himax Taiwan from August 2004 to October 2005. Mr.
Dr. Su holds a B.S. degree and an M.S. degree and a Ph.D. degree in Electrical Engineering from National Cheng Kung University. 72 Table of Contents Yuan-Chuan Horng is our director. Prior to our reorganization in October 2005, Mr. Horng served as a director of Himax Taiwan from August 2004 to October 2005. Mr.
In the event of any of the corporate events or transactions described in the plan, to avoid any unintended enlargement or dilution of benefits, the committee has the sole discretion to substitute or adjust the number and kind of shares that can be issued or otherwise delivered. Forfeiture Events.
In the event of any of the corporate events or transactions described in the plan, to avoid any unintended enlargement or dilution of benefits, the committee has the sole discretion to substitute or adjust the number and kind of shares that can be issued or otherwise delivered. 78 Table of Contents Forfeiture Events.
Generally, awards cannot be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution. 80 Table of Contents Adjustments in Authorized Shares.
Generally, awards cannot be sold, transferred, pledged, assigned, or otherwise alienated or hypothecated, other than by will or by the laws of descent and distribution. Adjustments in Authorized Shares.
Unless otherwise indicated, the positions or titles indicated in the table below refer to Himax Technologies, Inc. ​ ​ ​ Directors and Executive Officers Age Position/Title Dr. Biing-Seng Wu ​ 66 ​ Chairman of the Board Jordan Wu ​ 63 ​ President, Chief Executive Officer and Director Dr.
Unless otherwise indicated, the positions or titles indicated in the table below refer to Himax Technologies, Inc. ​ ​ ​ Directors and Executive Officers Age Position/Title Dr. Biing-Seng Wu ​ 67 ​ Chairman of the Board Jordan Wu ​ 64 ​ President, Chief Executive Officer and Director Dr.
Biing-Seng Wu ​ 76,904,468 ​ 22.0 % Jordan Wu ​ 7,464,247 ​ 2.1 % Dr. Yan-Kuin Su ​ — ​ — ​ Yuan-Chuan Horng ​ 916,104 ​ * ​ Dr.
Biing-Seng Wu ​ 76,904,468 ​ 22.0 % Jordan Wu ​ 7,513,833 ​ 2.1 % Dr. Yan-Kuin Su ​ — ​ — ​ Yuan-Chuan Horng ​ 916,104 ​ * ​ Dr.
No executive officer is entitled to any severance benefits upon termination of his or her employment with us. 75 Table of Contents For the year ended December 31, 2023, the aggregate cash compensation that we paid to our independent directors was approximately $150,000. The aggregate share-based compensation that we paid to our independent directors was nil.
No executive officer is entitled to any severance benefits upon termination of his or her employment with us. For the year ended December 31, 2024, the aggregate cash compensation that we paid to our independent directors was approximately $150,000.
A participant will have no voting rights with respect to any restricted share units. Each award document will set forth the extent to which the participant will have the right to retain restricted share units following termination of his or her employment or services. We made grants of 676,273 RSUs to our employees on September 26, 2018.
A participant will have no voting rights with respect to any restricted share units. Each award document will set forth the extent to which the participant will have the right to retain restricted share units following termination of his or her employment or services. We made grants of 1,402,714 RSUs to our employees on September 28, 2020.
Type of Awards. The plan provides for the grant of stock options and restricted share units. 78 Table of Contents Duration. Generally, the plan will terminate five years from the effective date of the plan.
The plan provides for the grant of stock options and restricted share units. Duration. Generally, the plan will terminate five years from the effective date of the plan.
Employees As of December 31, 2021, 2022 and 2023, we had 2,083, 2,181 and 2,164 employees, respectively.
Employees As of December 31, 2022, 2023 and 2024, we had 2,181, 2,164 and 2,177 employees, respectively.
Tsai served in the process integration and customer service department of TSMC. Mr. Tsai holds a B.S. degree and M.S. degree in Electrical Engineering from National Taiwan University and an executive M.B.A. degree from National Taiwan University. Eric Li is our chief IR/PR officer and Spokesperson. Joining Himax in 2012, Mr.
Tsai holds a B.S. degree and M.S. degree in Electrical Engineering from National Taiwan University and an executive M.B.A. degree from National Taiwan University. Eric Li is our chief IR/PR officer and Spokesperson. Joining Himax in 2012, Mr.
Liang-Gee Chen ​ — ​ — ​ Jessica Pan ​ 95,738 ​ * ​ Hsien Chang Tsai ​ — ​ — ​ Eric Li ​ 15,000 ​ * ​ * The sum of the number of ordinary shares held is less than 1.0% of our total outstanding shares.
Liang-Gee Chen ​ — ​ — ​ Jessica Pan ​ 109,422 ​ * ​ Hsien Chang Tsai ​ — ​ — ​ Eric Li ​ 16,376 ​ * ​ * The sum of the number of ordinary shares held is less than 1.0% of our total outstanding shares.
The following is a breakdown of our employees by function as of December 31, 2023: ​ ​ ​ Function Number Research and development (1) ​ 1,451 Engineering and manufacturing (2) ​ 258 Sales and marketing (3) ​ 318 General and administrative ​ 137 Total ​ 2,164 Notes: (1) Includes semiconductor design engineers, application engineers, assembly and testing engineers and quality control engineers.
The following is a breakdown of our employees by function as of December 31, 2024: ​ ​ ​ Function Number Research and development (1) ​ 1,423 Engineering and manufacturing (2) ​ 292 Sales and marketing (3) ​ 327 General and administrative ​ 135 Total ​ 2,177 Notes: (1) Includes semiconductor design engineers, application engineers, assembly and testing engineers and quality control engineers.
The vesting schedule for such RSU grants is as follows: 97.15% of the RSU grants vested immediately and were settled by cash in the amount of $3.8 million on the grant date, with the remainder vesting equally on each of September 30, 2019, 2020 and 2021, which will be settled by our ordinary shares, subject to certain forfeiture events.
The vesting schedule for such RSU grants is as follows: 96.76% of the RSU grants vested immediately and were settled by cash in the amount of $11.1 million on the grant date, with the remainder vesting equally on each of September 30, 2025, 2026 and 2027, which will be settled by our ordinary shares, subject to certain forfeiture events.
The following table summarizes the RSUs and cash award that we granted in 2023 to our directors and executive officers under our 2011 long-term incentive plan. Each unit of RSU represents two ordinary shares. See “Item 6.D.
The aggregate share-based compensation that we paid to our independent directors was nil. 73 Table of Contents The following table summarizes the RSUs and cash award that we granted in 2024 to our directors and executive officers under our 2011 long-term incentive plan. Each unit of RSU represents two ordinary shares. See “Item 6.D.
Yan-Kuin Su ​ 75 ​ Director Yuan-Chuan Horng ​ 72 ​ Director Dr. Liang-Gee Chen ​ 67 ​ Director Jessica Pan ​ 54 ​ Chief Financial Officer Hsien Chang Tsai ​ 53 ​ Vice President, Sales and Operations Eric Li ​ 60 ​ Chief IR/PR Officer and Spokesperson ​ 73 Table of Contents Directors Dr.
Yan-Kuin Su ​ 76 ​ Director Yuan-Chuan Horng ​ 73 ​ Director Dr. Liang-Gee Chen ​ 68 ​ Director Jessica Pan ​ 55 ​ Chief Financial Officer Hsien Chang Tsai ​ 54 ​ Vice President, Sales and Operations Eric Li ​ 61 ​ Chief IR/PR Officer and Spokesperson ​ Directors Dr.
Generally, restricted share units will become freely transferable after all conditions and restrictions applicable to such shares have been satisfied or lapse and restricted share units will be paid in cash, shares or a combination of the two, as determined by the committee.
Each grant will be evidenced by an award document that will specify the period(s) of restriction, the number of restricted share units granted and such other provisions as the committee determines. 77 Table of Contents Generally, restricted share units will become freely transferable after all conditions and restrictions applicable to such shares have been satisfied or lapse and restricted share units will be paid in cash, shares or a combination of the two, as determined by the committee.
In 2023, our Chairman of the Board voluntarily abandon the number of RSUs to be granted proposed by the compensation committee and then compensate other employees. The goal is to provide competitive compensation to our employees.
The aggregate share-based compensation that we paid to our executive officers was approximately $0.2 million. In 2024, our Chairman of the Board voluntarily abandon the number of RSUs to be granted proposed by the compensation committee and then compensate other employees. The goal is to provide competitive compensation to our employees.
Prior to joining Himax, Jessica worked as Assistant Finance Manager for Advanced Semiconductor Engineering, Inc. from 2002 to 2006 and as Auditor at Arthur Andersen LLP in Taiwan from 1998 to 2001.
Prior to joining Himax, Jessica worked as Assistant Finance Manager for Advanced Semiconductor Engineering, Inc. from 2002 to 2006 and as Auditor at Arthur Andersen LLP in Taiwan from 1998 to 2001. She holds a B.S. degree in Agriculture Chemistry from National Taiwan University and an M.B.A. degree from the State University of New York at Buffalo.
None of our directors or executive officers has voting rights different from those of other shareholders. ​ 6.F. Disclosure of a registrant’s action to recover erroneously awarded compensation Not applicable. ​
None of our directors or executive officers has voting rights different from those of other shareholders. ​ 6.F. Disclosure of a registrant’s action to recover erroneously awarded compensation There was no erroneously awarded compensation that was required to be recovered pursuant to our Compensation Clawback Policy during the fiscal year ended December 31, 2024. ​
He holds a B.S. degree in Nuclear Engineering from National Tsing Hua University and an M.S. degree in Computer and Information Science from New Jersey Institute of Technology.
He holds a B.S. degree in Nuclear Engineering from National Tsing Hua University and an M.S. degree in Computer and Information Science from New Jersey Institute of Technology. 6.B. Compensation For the year ended December 31, 2024, the aggregate cash compensation that we paid to our executive officers was approximately $1.8 million.
Liang-Gee Chen ​ — ​ — ​ — ​ — ​ — Jessica Pan ​ 4,465 ​ — ​ 4,226 ​ 4,704 ​ — Hsien Chang Tsai ​ 2,113 ​ 28 ​ 4,226 ​ — ​ 28 Eric Li ​ 4,176 ​ — ​ 4,226 ​ 4,126 ​ — ​ 6.C.
Liang-Gee Chen ​ — ​ — ​ — ​ — ​ — Jessica Pan ​ 5,634 ​ — ​ 4,226 ​ 7,042 ​ — Hsien Chang Tsai ​ 2,208 ​ 38 ​ 4,416 ​ — ​ 38 Eric Li ​ 4,564 ​ — ​ 4,226 ​ 4,902 ​ — ​ 6.C.
We made grants of 1,402,714 RSUs to our employees on September 28, 2020.
We made grants of 2,014,386 RSUs to our employees on September 26, 2024.
Biing-Seng Wu ​ — ​ — ​ — ​ — ​ — Jordan Wu ​ 5,282 ​ — ​ 4,226 ​ 6,338 ​ — Dr. Yan-Kuin Su ​ — ​ — ​ — ​ — ​ — Yuan-Chuan Horng ​ — ​ — ​ — ​ — ​ — Dr.
Biing-Seng Wu ​ — ​ — ​ — ​ — ​ — Jordan Wu ​ 17,234 ​ — ​ 8,616 ​ 25,852 ​ — Dr. Yan-Kuin Su ​ — ​ — ​ — ​ — ​ — Yuan-Chuan Horng ​ — ​ — ​ — ​ — ​ — Dr.
Removed
She holds a B.S. degree in Agriculture Chemistry from National Taiwan University and an M.B.A. degree from the State University of New York at Buffalo. 74 Table of Contents Hsien Chang Tsai is our vice president in charge of Sales and Operations. Mr.
Added
Most recently, he concurrently served as Vice President of Himax Imaging, Ltd. and Vice President of Intelligent Sensing AI Product Center of Himax. Prior to Himax, Mr. Tsai served in the process integration and customer service department of TSMC. Mr.
Removed
Board Diversity On August 6, 2021, the SEC approved the Nasdaq Stock Market’s proposal to amend its listing standards to encourage greater board diversity and to require board diversity disclosures for Nasdaq-listed companies.
Added
The committee may grant restricted share units to participants.
Removed
Pursuant to the amended listing standards, Himax, as a foreign private issuer and with a smaller board having five members, is required to have at least one diverse board members or explain the reasons for not meeting this objective.
Removed
Furthermore, a board diversity matrix is required to be included in the annual report on Form 20-F, containing certain demographic and other information regarding members of our board of directors. The Company does not currently have any member of its board of directors who is Diverse within the meaning of Nasdaq Rule 5605(f)(2)(B).
Removed
The Company takes various factors into consideration for candidate identification and selection, including qualifications, capabilities, insights, personal attributes and proficiency in relevant fields, for the purpose of meeting Company's current and future plans as well as objectives.
Removed
The Company focuses on having a balanced and diverse workforce and will continue to consider all director candidates, including “diverse” director candidates based on their merits.
Removed
The table below provides certain information regarding the diversity of our board of directors as of the date of this annual report. ​ ​ ​ ​ ​ ​ ​ ​ ​ Board Diversity Matrix (As of March 31, 2024) Country of Principal Executive Offices TAIWAN, REPUBLIC OF CHINA Foreign Private Issuer Yes Disclosure Prohibited Under Home Country Law No Total Number of Directors 5 ​ ​ Female ​ Male ​ Non-Binary ​ Did Not Disclose ​ ​ ​ ​ ​ ​ ​ ​ Gender Part I: Gender Identity ​ Directors — 5 — — Part II: Demographic Background Underrepresented Individual in Home Country Jurisdiction — LGBTQ+ — Did Not Disclose Demographic Background — ​ 6.B.
Removed
Compensation For the year ended December 31, 2023, the aggregate cash compensation that we paid to our executive officers was approximately $1.8 million. The aggregate share-based compensation that we paid to our executive officers was approximately $0.2 million.
Removed
We made grants of 2,226,690 units employee stock options to our certain employees on September 30, 2019 with exercise price $2.27 per option. The vesting schedule is, 50% of the options vest half year after the date of grant and 50% of the options vest one year after the date of grant.
Removed
During 2020, 114,500 units, 39,000 units and 10,000 units of stock option to purchase 114,500 units, 39,000 units and 10,000 units ADS were grant to certain employees at an exercise price of $2.74, $3.9 and $3.35 on March 31, 2020, August 11, 2020 and September 25, 2020, respectively.
Removed
The options granted in 2020 were fully vested on October 1, 2020. 79 Table of Contents Restricted Share Units. The committee may grant restricted share units to participants. Each grant will be evidenced by an award document that will specify the period(s) of restriction, the number of restricted share units granted and such other provisions as the committee determines.

Item 7. Management's Discussion & Analysis

Management's Discussion & Analysis (MD&A) — revenue / margin commentary

7 edited+1 added−4 removed9 unchanged
Biggest changeCheng Mei Materials Technology Corporation (CMMT) CMMT is an equity method investor of CMVT. In 2021, 2022 and 2023, the purchase of raw materials from CMMT was $3.5 million, $1.1 million and $1.3 million, respectively. As of December 31, 2022 and 2023, the related payable resulting from the purchase of raw materials were $0.3 million and $0.9 million, respectively. 7.C.
Biggest changeAs of December 31, 2023 and 2024, the related payable resulting from the purchase of raw materials were $0.9 million and nil, respectively. 7.C. Interests of Experts and Counsel Not applicable. 80 Table of Contents
The following table sets forth information known to us with respect to the beneficial ownership of our shares as of March 31, 2024, the most recent practicable date, by (i) each shareholder known by us to beneficially own more than 5% of our shares and (ii) all directors and executive officers as a group. ​ ​ ​ ​ ​ ​ ​ ​ ​ Percentage of ​ ​ Number of Shares ​ Shares ​ Name of Beneficial Owner Beneficially Owned (3) Beneficially Owned (3) ​ Dr.
The following table sets forth information known to us with respect to the beneficial ownership of our shares as of March 31, 2025, the most recent practicable date, by (i) each shareholder known by us to beneficially own more than 5% of our shares and (ii) all directors and executive officers as a group. ​ ​ ​ ​ ​ ​ ​ ​ ​ Percentage of ​ ​ Number of Shares ​ Shares ​ Name of Beneficial Owner Beneficially Owned (3) Beneficially Owned (3) ​ Dr.
As a result, the number of ordinary shares outstanding was doubled and each of our ordinary shares had a par value of $0.3. 81 Table of Contents In connection with the above changes, we also changed our ADS ratio effective August 10, 2009 from one ADS representing one ordinary share to one ADS representing two ordinary shares.
As a result, the number of ordinary shares outstanding was doubled and each of our ordinary shares had a par value of $0.3. 79 Table of Contents In connection with the above changes, we also changed our ADS ratio effective August 10, 2009 from one ADS representing one ordinary share to one ADS representing two ordinary shares.
Biing-Seng Wu (1) ​ 76,904,468 ​ 22.0 % Whei-Lan Teng (2) ​ 22,847,370 ​ 6.5 % All directors and executive officers as a group (3) ​ 85,395,557 ​ 24.4 % Note: (1) Dr. Biing-Seng Wu directly owns 315,322 ordinary shares. Dr.
Biing-Seng Wu (1) ​ 76,904,468 ​ 22.0 % Whei-Lan Teng (2) ​ 22,847,370 ​ 6.5 % All directors and executive officers as a group (3) ​ 85,460,203 ​ 24.4 % Note: (1) Dr. Biing-Seng Wu directly owns 315,322 ordinary shares. Dr.
JPMorgan Chase Bank, N.A., advised us that, as of March 31, 2024, 105,986,473 ADSs, representing 211,972,946 common shares, were held of record by Cede & Co. and 10 other registered shareholders domiciled in and outside of the United States. We have no further information as to common shares held, or beneficially owned, by U.S. persons.
JPMorgan Chase Bank, N.A., advised us that, as of March 31, 2025, 105,995,886 ADSs, representing 211,991,772 common shares, were held of record by Cede & Co. and 10 other registered shareholders domiciled in and outside of the United States. We have no further information as to common shares held, or beneficially owned, by U.S. persons.
As of March 31, 2024, 349,448,102 of our shares were outstanding. We believe that, of such shares, 211,972,946 shares in the form of ADSs were registered in the name of a nominee of JPMorgan Chase Bank, N.A., the depositary under our ADS deposit agreement.
As of March 31, 2025, 349,826,828 of our shares were outstanding. We believe that, of such shares, 211,991,772 shares in the form of ADSs were registered in the name of a nominee of JPMorgan Chase Bank, N.A., the depositary under our ADS deposit agreement.
None of our major shareholders has voting rights different from those of other shareholders. We are not aware of any arrangement that may, at a subsequent date, result in a change of control of our company. 7.B.
None of our major shareholders has voting rights different from those of other shareholders. We are not aware of any arrangement that may, at a subsequent date, result in a change of control of our company. 7.B. Related Party Transactions Cheng Mei Materials Technology Corporation (CMMT) CMMT is an equity method investor of CMVT.
Removed
Related Party Transactions Viewsil Technology Limited (VST) VST is a subsidiary of our equity method investee, Viewsil Microelectronics (Kunshan) Limited which became a subsidiary of the Company from December 30, 2023. As of December 31, 2022, we made an interest free loan of $1.2 million to VST for short-term funding needs. The loan is repayable on demand.
Added
However, CMMT resigned as a legal director and then lost significant influence on CM Visual Technology Corp. from June 25, 2024. In 2022, 2023 and 2024, the purchase of raw materials from CMMT was $1.1 million, $1.3 million and nil, respectively.
Removed
We may consider providing further future loans to VST. 82 Table of Contents Viewsil Microelectronics (Kunshan)Limited (Viewsil) Viewsil is an equity method investee of the Company, becoming a subsidiary of the Company from December 30, 2023.
Removed
In 2021, 2022 and 2023, Viewsil provided technical service on a new source driver chip and integrated circuit module for the Company’s research activities for a fee of $1.4 million, $1.05 million and $1.14 million, respectively, which was charged to research and development expense. As of December 31, 2022, the related payables were $2.45 million.
Removed
Interests of Experts and Counsel Not applicable. ​

Other HIMX 10-K year-over-year comparisons