Press Release
2006.02.10
Sunplus Announces 4Q'05 Financial Result
Hsinchu Science Park, Taiwan, February 10th, 2006 - Sunplus Technology Co., Ltd. (TSE: 2401, FTSE: SUPD) today announces its financial results of 4th Quarter in 2005. The sales of 4Q'05 summed up NT$5,240million, which grew 6.3% comparing with 3Q'05. The gross margin in 4Q'05 was improved to 36.8% since gross margin in 4Q'04 was 27.5%. The R&D expenses in 4Q'05 were 11.9%. The net profits in 4Q'05 were NT$851million and the earnings per share in 4Q'05 were NT$0.90 based on the outstanding 948,729,656 shares on December 31st 2005.

The net sales from January 1st to December 31 added up to NT$18,781million, and gross margin were 32.6%, R&D expenses were 13.1% of the totaled net sales. The net profits from January 1st to December 31st in 2005 were NT$2,398 million, which earnings per share were NT$2.53 based on the outstanding 948,729,656 shares on December 31st 2005.

During the investor conference Sunplus also make a statement regarding the litigation settlement between Zoran and Mediatek. Being the holder of rights under the Oak patents involved in the litigation, Sunplus will get the cash payment of $20million approximately in 1Q'06. Meanwhile, Sunplus and its subsidiary Sunext Technology have entered into agreements with MediaTek granting each other non-exclusive licenses under the patents that used in the design and manufacture of optical storage devices for personal computer products.

(in NT$ thousand)
Jan. ~ Dec. 2005
Jan. ~ Dec. 2004
YoY
Net Sales
18,781,122
100.0%
18,940,056
100.0%
-0.8%
Gross Margin
6,120,398
32.6%
5,943,206
31.4%
3.0%
Operating Income
2,584,005
13.8%
2,926,528
15.5%
-11.7%
Net Income
2,398,355
12.8%
2,737,691
14.5%
-12.4%
EPS (NT$) *
Based on outstanding 948,729,656 shares on 12/31/2005
2.53
2.89
 

(in NT$ thousand)
4Q 2005
3Q 2005
QoQ
Net Sales
5,239,744
100.0%
4,928,759
100.0%
6.3%
Gross Margin
1,926,123
36.8%
1,746,231
35.4%
10.3%
Operating Income
964,677
18.4%
820,592
16.6%
17.6%
Net Income
851,361
16.2%
928,233
18.8%
-8.3%
EPS (NT$) *
Based on outstanding 948,729,656 shares on 12/31/2005
0.90
0.98

(in NT$ thousand)
4Q 2005
4Q 2004
YoY
Net Sales
5,239,744
100.0%
5,014,302
100.0%
4.5%
Gross Margin
1,926,123
36.8%
1,377,933
27.5%
39.8%
Operating Income
964,677
18.4%
447,986
8.9%
115.3%
Net Income
851,361
16.2%
344,125
6.9%
147.4%
EPS (NT$) *
Based on outstanding 948,729,656 shares on 12/31/2005
0.90
0.36

About Sunplus

Sunplus Technology Co., Ltd. (TWSE: 2401, LSE: SUPD), established in 1990, is a leading chip provider for multimedia and automotive applications such as DVD player, portable DVD player, home entertainment audio products, car infotainment and advanced driving assistance system(ADAS). Meanwhile Sunplus is offering high-speed I/O IP, high performance data conversion IP, and analog IP for a broad range of applications on consumer, portable, and connected devices for Sunplus has been accumulating strong IP technologies on consumer and multimedia segments. Sunplus is headquartered in Taiwan and has service offices in Shanghai, Shenzhen and Chengdu. For more information, please visit Sunplus website at www.sunplus.com.

Sunplus Contact

Spokesperson

Wayne Shen
Vice President
+886-3-5786005#2350
wayne@sunplus.com

Deputy Spokesperson

Joseph Chuang
Administration Div. Director
+886-3-5786005#3120
pr@sunplus.com