Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, yesterday posted record high monthly sales again at NT$37.64 billion (US$1.21 billion), bringing its third-quarter revenue slightly above the company’s forecast.
TSMC’s sales last month beat the street consensus of NT$35.7 billion, or 5 percent growth from August, said Roland Shu (徐振志), a semiconductor analyst with Citigroup Inc, in a report released yesterday.
“We believe the strength in September, or the third quarter, was mainly from CDMA, wireless, CMOS image sensor and handset names,” Shu said.
During the period from July to last month, TSMC’s revenues increased 6.95 percent quarter-on-quarter to NT$112.25 billion, higher than the chipmaker’s projected range from NT$109 billion to NT$111 billion, as customer demand exceeded capacity.
The third quarter matched Credit Suisse’s projection of NT$112 billion after a raise.
“The higher sales should take gross margin to the top end of the [chipmaker’s] guidance at 49.8 percent,” Randy Abrams said in a report on Wednesday.
Net income is expected to rise to NT$41.55 billion in that period, from NT$40.28 billion in the three-month period ending on June 30.
“The company is seeing strength with wireless and smartphones keeping 12-inch [chip] volumes full into the fourth quarter,” Abrams said.
Abrams also increased his forecast for TSMC’s fourth quarter revenues, saying that TSMC’s revenues would drop a mere 3.7 percent quarter-on-quarter to NT$107.99 billion, rather than the 13-percent contraction to NT$95.84 billion estimated previously.
Separately, United Microelectronics Corp (UMC, 聯電) reported yesterday that last month’s sales rose 0.54 percent month-on-month to NT$10.94 billion, setting a six-year high.
In the third quarter, UMC’s revenues grew 9.75 percent to NT$32.65 billion, hitting the high end of the world’s second-biggest contract chipmaker’s forecast of 5 percent to 10 percent quarterly growth.
UMC told investors in August that customer demand was strong, from the consumer electronics sector in particular, and constraint capacity was limiting its revenues growth. All factories would be fully used in the third quarter, UMC chief executive Sun Shih-wei (孫世偉) said at the time.
Next quarter, UMC is expected to see revenues down by 3.2 percent to NT$31.67 billion, Credit Suisse predicted. Factory utilization at its 12-inch is expected to remain full, but overall factory usage would fall to around 90 percent next quarter, the Swiss brokerage said.
The rise of the cryptocurrency dogecoin has reached a new level after the token was used to pay for a lunar satellite launch. SpaceX, Elon Musk’s commercial rocket firm, is to embark on a moon voyage next year carrying a so-called cubesat — a mini-satellite used for space research — from Geometric Energy Corp that has been paid for entirely in dogecoin. The development is the latest twist in the saga over the digital token, which started as a joke in 2013, but is now a dominating Internet meme and sitting on a 21,000 percent rally in the past year. Musk has
CAPACITY EXPANSION: Construction of the site, which is to be the firm’s first mRNA production facility outside of Europe, is to begin this year and likely finish in 2023 COVID-19 vaccine maker BioNTech SE yesterday said it would build a Southeast Asia headquarters and manufacturing site in Singapore to produce hundreds of millions of messenger RNA (mRNA)-based vaccines per year. Construction of the site would start this year, and it could become operational by 2023, the German company said in a statement. “With this planned mRNA production facility, we will increase our overall network capacity, and expand our ability to manufacture and deliver our mRNA vaccines and therapies to people around the world,” BioNTech chief executive Ugur Sahin said. The vaccine produced by BioNTech jointly with Pfizer Inc of
OUTBREAK: About 200 of the airline’s 1,200 pilots are not able to work. Most of them have been quarantined to prevent further infection, but 12 have COVID-19 China Airlines Ltd (CAL,中華航空) yesterday confirmed that it would temporarily reduce its cargo flight services to cope with a pilot shortage, as one-sixth of its pilots have been sidelined by a COVID-19 outbreak. “We are working out a new schedule,” the airline said in a statement after local news media reports on Saturday said that it would be reducing its cargo services from Wednesday, primarily affecting US destinations. CAL declined to give details about its new operating plan, but the reports said that it would be suspending its cargo flights to Dallas Fort Worth International Airport, Hartsfield-Jackson Atlanta International Airport and
The Financial Supervisory Commission (FSC) yesterday fined Citibank Taiwan Ltd (花旗台灣) NT$10 million (US$357,194) and DBS Bank Taiwan (星展台灣) NT$6 million for breaches of the nation’s anti-money laundering (AML) regulations. The NT$10 million fine is the highest penalty that it has imposed on a domestic bank, the commission said. Citibank Taiwan failed to set up a sound mechanism for evaluating clients’ risk of money laundering and for detecting suspicious transactions, Banking Bureau Deputy Director-General Huang Kuang-hsi (黃光熙) told a news conference in New Taipei City. The bank based its AML policies on those of its US-based parent company, Citigroup Inc, but the policies