UMC’s revenue reached 19.159 billion yuan in October, a record high

UMC’s October results showed that consolidated revenue reached 19.159 billion yuan a record high. The industry expects that its fourth quarter is also expected to hit a new high, and its annual net profit will increase by 80%. The price increase continues unabated, and operations are expected to achieve another success.

According to the latest report”, the industry pointed out that OEM prices continued to rise, and UMC’s capacity utilization rate remained at full capacity, thus driving the fourth-quarter revenue to a record high, and the net profit will be significantly better than the same period last year, driving the annual net profits are expected to increase by 80% and hit new highs.

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According to UMC’s previous forecast, wafer shipments in the fourth quarter will increase by 1-2%, the average dollar price will increase by 1-2%, the average gross profit margin will increase to 37-39%, and the capacity utilization rate will remain above 100%.

Looking forward to next year, the supply-side foundry production capacity will increase limited (about 6% for 8-inch and about 14% for 12-inch), and each generation factory continues to expand production of mature processes, but it is still difficult to meet demand; demand for 5G, electric vehicles, etc. Seeing the slowdown, the industry is optimistic that the price increase of workers in the next generation will continue unabated.

In terms of UMC, the production capacity in the first half of next year has been booked out, and it is expected that the production capacity in the second half of the year will be approaching full capacity, and the performance in 2022 is expected to rewrite a record high again.