Revenue doubled in Q2; growth expected to continue into 3Q
TAIPEI, Taiwan, July 29 /PRNewswire-Asia-FirstCall/ --
Second Quarter 2009 Overview (Note 1):
-- Revenue increased 108.8% sequentially to NT$22.63 billion (US$690
million)
-- Gross margin of 23.8%, operating margin of 11.9%
-- Net Income of NT$1.55 billion (US$47 million)
-- Earnings per share of NT$0.12; Earnings per ADS of US$0.018
Note 1: Unless otherwise stated, all financial figures discussed in this
announcement are prepared in accordance with ROC GAAP, which differ in
some material respects from generally accepted accounting principles in
the United States. They are un-audited, unconsolidated, and represent
comparisons among the three-month period ending June 30, 2009, the
three-month period ending March 31, 2009, and the equivalent three-month
period that ended June 30, 2008. For all 2Q09 results, New Taiwan Dollar
(NT$) amounts have been converted into U.S. Dollars at the June 30, 2009
exchange rate of NT$32.80 per U.S. Dollar.
United Microelectronics Corporation (NYSE: UMC) (TSE: 2303) ("UMC" or "the Company"), a leading global semiconductor foundry, today announced its unconsolidated operating results for the second quarter of 2009. Revenue increased a substantial 108.8% QoQ to NT$22.63 billion, from NT$10.84 billion in 1Q09, and decreased 10.3% YoY, from NT$25.24 billion in 2Q08. Gross profit margin was 23.8%, with net margin at 11.9%. Net income in 2Q09 was NT$1.55 billion, with earnings per ordinary share of NT$0.12.
Dr. Shih-Wei Sun, CEO of UMC said, "We experienced strong customer demand in 2Q09. Wafer shipments rose substantially to 898 thousand 8-inch equivalent wafers, while utilization rate for the quarter was up to 79%. Revenues for June have exceeded last year's figures for the same month and have returned to the levels prior to the economic crisis. We expect increased revenues for Q3, and will keep a close eye on the industry situation during the upcoming quarters and proceed accordingly."
Dr. Sun continued, "UMC has executed well on its Customer-Driven Foundry Solutions approach to provide ideal solutions that meet customers' needs. The number of new products for 65/55nm has increased as anticipated, with revenue from this technology segment growing significantly from Q1 to Q2 by approximately 120%. This will help contribute to our future revenue and market share for advanced process nodes. Furthermore, numerous customers have already adopted UMC's independently developed 40nm high performance logic process. This volume production process incorporates many advanced technologies such as SiGe, Laser Anneal and Ultra Low-K. In addition, yield optimization for ICs designed using our 45/40nm Low Power process are progressing smoothly.
For more advanced 28nm HK/MG technology development, UMC will mainly adopt the Gate-Last technology, which meets our customers' needs for both high performance and low power technologies at advanced nodes. To help sustain this growth in advanced process demand, we have increased our CAPEX spending in 2009 to US$500 million. This amount will mainly be used to expand 65/55nm, 45/40nm and 28nm production capacity and to acquire the most advanced R&D equipment."
"Throughout the past year, despite the challenges brought by the global economic crisis, UMC successfully persevered," said Dr. Sun. "UMC's management team and employees worked together through this period of economic adjustment, demonstrating commendable teamwork and execution to facilitate the company's smooth reorganization and human resource consolidation. This effort resulted in significant improvements to our operating efficiency and cost structure. Looking ahead, UMC will continue to improve our utilization rate and revenues while implementing cost-control measures at the same time. We will also exercise timely CAPEX spending, aggressively invest in advanced R&D and support customers' capacity needs in order to pursue stable, long-term growth, increase profitability, and maximize return on equity."
Summary of Operating Results
Operating Results
(Amount: NT$ QoQ% YoY%
million) 2Q09 1Q09 change 2Q08 change
Revenue 22,628 10,838 108.8 25,238 (10.3)
Gross Profit (Loss) 5,381 (4,335) -- 5,817 (7.5)
Operating Expenses (2,685) (2,982) (10.0) (3,454) (22.3)
Operating Income
(Loss) 2,696 (7,317) -- 2,363 14.1
Non-op. Income
(Expenses) (901) (843) (6.9) 98 --
Net Income (Loss) 1,547 (8,160) -- 2,397 (35.5)
EPS (NT$ per share) 0.12 (0.64) -- 0.19 --
(US$ per ADS) 0.018 (0.098) -- 0.029 --
Revenue increased 108.8% QoQ to NT$22.63 billion, from NT$10.84 billion in 1Q09, and decreased 10.3% YoY, from NT$25.24 billion in 2Q08. Gross profit was NT$5.38 billion, or 23.8% of revenue, compared to a gross loss of NT$4.34 billion, or 40% of 1Q09 revenue. Operating income for the quarter was NT$2.70 billion, or 11.9% of revenue, compared to an operating loss of NT$7.32 billion, or 67.5% of 1Q09 revenue. Higher wafer shipments, lower inventory cost associated with the adoption of ROC SFAS No. 10 in 1Q09 and activities on cost control were the main reasons for the increase in gross profit and operating income. Net income in 2Q09 was NT$1.55 billion, compared to a net loss of NT$8.16 billion in 1Q09.
Earnings per ordinary share for the quarter was NT$0.12. Earnings per ADS was US$0.018. One ADS represents five Taiwan-listed ordinary shares. The basic weighted average number of outstanding shares in 2Q09 was 12,671,692,578, compared with 12,767,114,132 shares in 1Q09 and 13,171,692,578 shares in 2Q08. The diluted weighted average number of outstanding shares was 12,677,712,645 in 2Q09, compared with 12,767,114,132 shares in 1Q09 and 13,178,374,070 shares in 2Q08. The fully diluted share count on June 30, 2009 was 13,865,780 thousand. On June 30, 2009, UMC held 300,000 thousand treasury shares acquired from the 13th share buy-back program.
Detailed Financials Section
COGS & Expenses
QoQ% YoY%
(Amount: NT$ million) 2Q09 1Q09 change 2Q08 change
Revenue 22,628 10,838 108.8 25,238 (10.3)
CoGS (17,247) (15,173) 13.7 (19,421) (11.2)
Depreciation (8,861) (6,973) 27.1 (7,510) 18.0
Other Mfg. Costs (8,386) (8,200) 2.3 (11,911) (29.6)
Gross Profit 5,381 (4,335) -- 5,817 (7.5)
Gross Margin (%) 23.8% (40.0%) -- 23.0% --
Total Operating Exp. (2,685) (2,982) (10.0) (3,454) (22.3)
G&A (454) (529) (14.2) (744) (39.0)
Sales & Marketing (376) (632) (40.5) (620) (39.4)
R&D (1,855) (1,821) 1.9 (2,090) (11.2)
Operating Income 2,696 (7,317) -- 2,363 14.1
Operating Margin (%) 11.9% (67.5%) -- 9.4% --
Depreciation within CoGS increased by 27.1% to NT$8.86 billion due to higher shipments in 2Q09. Other mfg. costs increased with rising wafer production in 2Q09, but were offset by the adoption of ROC SFAS No. 10, which allocated more fixed costs in 1Q09. As a result, other mfg. costs only increased by 2.3%. General and administration expenses decreased to NT$454 million, mainly due to the decrease in professional fees. Sales & marketing expenses dropped significantly to NT$376 million, mainly due to the collection of estimated bad debts that were charged as expenses in previous quarters. Therefore, total operating expenses decreased 10% to NT$2.69 billion. The total R&D expense was 8.2% of revenue in 2Q09.
Non-operating Income (Expenses)
(Amount: NT$ million) 2Q09 1Q09 2Q08
Net Non-operating Income (Exp.) (901) (843) 98
Net Interest Income 17 37 160
Net Investment Loss (1,586) (1,079) (629)
Gain on Disposal of Investment 788 0 524
Exchange Gain (Loss) (141) 255 36
Others 21 (56) 7
Net non-operating losses during 2Q09 were NT$901 million. Net investment losses were NT$1.59 billion, mainly coming from other-than-temporary fixed asset impairment losses from UMCJ. Gain on disposal of investment of NT$788 million was from disposal of Mediatek holdings during 2Q09. The exchange loss of NT$141 million was partially offset by the valuation gain of forward contract. Therefore, the net exchange loss was NT$3.7 million.
Cash Flow Summary
For the For the
3-Month 3-Month
(Amount: NT$ Period Period
million) Ended Ended
Jun. 30, Mar. 31,
2009 2009
Cash Flow from Operations 3,420 3,746
Net Income (Loss) 1,547 (8,160)
Depreciation & Amortization 8,452 8,640
Changes in working capital (6,620) 3,051
Others 41 215
Cash Flow from Investing (1,326) (1,696)
Capital Expenditures (1,256) (1,568)
Others (70) (128)
Cash Flow from Financing 103 (2,393)
Long term loan 100 --
Purchase of treasury stock -- (2,393)
Others 3 --
Effect of exchange rate (199) 125
Net Cash Flow 1,998 (218)
Net cash inflow was NT$2 billion in 2Q09. Operating cash inflow was NT$3.42 billion. The investing cash outflow primarily reflects the CAPEX in 2Q09 of NT$1.26 billion. Free cash flow (Note 2) for 2Q09 and 1H09 was NT$2.16 billion and NT$4.35 billion, respectively. Over the next 12 months, UMC expects to repay NT$7.5 billion in term loans.
Note 2: Free cash flow = Operating cash flow - Capital expenditures
Current Assets
(Amount: NT$ billion) 2Q09 1Q09 2Q08
Cash & Cash Equivalents 37.90 35.91 25.42
Notes & Accounts Receivable 13.78 6.08 14.79
Days Sales Outstanding 40 58 50
Inventories 8.53 7.05 12.31
Avg. Inventory Turnover 42 45 56
Total Current Assets 63.90 51.50 58.37
Cash and cash equivalents increased NT$2 billion to NT$37.9 billion. The increase in notes & accounts receivable reflected the upward trend of the business. The increase in inventory mainly came from the increase of work-in-process wafers and the increase in fair value of inventory. Average inventory turnover decreased to 42 days during 2Q09.
Liabilities
(Amount: NT$ billion) 2Q09 1Q09 2Q08
Total Current Liabilities 19.96 10.95 25.22
Accounts Payable 4.44 2.58 4.62
Short-term Credit / Bonds 0.00 0.00 0.46
Others 15.52 8.37 20.14
Long-term Liabilities 0.79 8.20 7.54
Total Liabilities 24.24 22.67 36.48
Debt to Equity 13% 12% 18%
Current liabilities increased to NT$19.96 billion, mainly due to the acquisition of more raw materials and the reclassification of bonds payable, which will be due within one year from long-term liabilities to other current liabilities. Total liabilities increased to NT$24.2 billion in 2Q09. UMC's Debt to Equity ratio slightly increased to 13%.
Analysis of Revenue (Note 3)
Revenue Breakdown by Region
Region 2Q09 1Q09 4Q08 3Q08 2Q08
North America 47% 53% 57% 60% 50%
Asia Pacific 42% 37% 31% 32% 35%
Europe 10% 9% 10% 6% 13%
Japan 1% 1% 2% 2% 2%
The percentage of revenue from the Asia Pacific region increased to 42%, mainly due to stronger demand from Asian fabless customers.
Revenue Breakdown by Geometry
Geometry 2Q09 1Q09 4Q08 3Q08 2Q08
65nm 12% 11% 8% 7% 5%
90nm 27% 27% 27% 31% 31%
90nm < x <=0.13um 19% 16% 22% 20% 21%
0.13um < x <=13um 21% 22% 23% 21% 20%
0.18um < x <=0.35um 16% 18% 15% 16% 18%
0.5um and above 5% 6% 5% 5% 5%
Revenue from 65nm business increased to 12% of total revenue, compared to
11% in 1Q09. The 2Q09 65nm revenue grew significantly by approximately 120%
from 1Q09. This was due to the stronger demand for leading communication
chips. The percentage of revenue from 90nm and below was 39% in 2Q09. Revenue
from 0.13um business increased to 19%, driven by more demand from the
communication segment.
Revenue Breakdown by Customer Type
Customer Type 2Q09 1Q09 4Q08 3Q08 2Q08
Fabless 77% 80% 80% 74% 71%
IDM 23% 20% 20% 26% 29%
System 0% 0% 0% 0% 0%
The percentage of revenue from IDM customers increased to 23% in 2Q09.
Revenue Breakdown by Application (1)
Application 2Q09 1Q09 4Q08 3Q08 2Q08
Computer 15% 15% 15% 16% 17%
Communication 62% 57% 61% 59% 58%
Consumer 21% 25% 22% 23% 22%
Memory 1% 1% 1% 1% 1%
Others 1% 2% 1% 1% 2%
(1) Computer consists of ICs such as HDD controllers, DVD-ROM/CD-ROM
drives ICs, LCD drivers, graphic processors, and PDAs. Communication
consists of xDSL, DSP, WLAN, LAN controllers, handset components, caller
ID devices, etc. Consumer consists of ICs used for DVD players, game
consoles, digital cameras, smart cards, toys, etc. Memory consists of DRAM,
SRAM, Flash, EPROM, ROM, and EEPROM.
Revenue from all applications increased significantly in 2Q09. The communication segment made above-average improvements and generated 62% of total revenue in 2Q09, which was mainly due to stronger demand from the wireless communication segment.
Note 3: Revenue in this section represents wafer sales.
Blended Average Selling Price Trend
The blended average selling price (ASP) decreased by 5% in US dollar terms during 2Q09, mainly because some Q2 shipments were under the incentive program offered to customers in 1Q.
(To view ASP trend, visit
http://www.umc.com/english/investors/2Q09_ASP_trend.asp )
Shipment and Utilization Rate (Note 4)
Wafer Shipments
2Q09 1Q09 4Q08 3Q08 2Q08
Wafer Shipments
('000 8-inch eq.) 898 384 567 883 875
Quarterly Capacity Utilization Rate
2Q09 1Q09 4Q08 3Q08 2Q08
Utilization Rate 79% 30% 48% 79% 85%
Total Capacity
('000 8-inch eq.) 1,151 1,151 1,151 1,149 1,107
Wafer shipments increased 134% sequentially to 898 thousand in 2Q09, compared to 384 thousand 8-inch equivalent wafers shipped in 1Q09. Overall utilization rate for the quarter was 79%.
Note 4: Utilization Rate = Quarterly Wafer Out / Quarterly Capacity
Capacity (Note 5)
Capacity during the second quarter was 1,151 thousand 8-inch equivalent wafers, which was the same as from 1Q09, but encompassed more capacity for advanced nodes from new capacity installation as well as internal capacity conversion. The total estimated installed capacity in 3Q09 remains unchanged.
Annual Capacity in
thousands of 8-inch wafer equivalents
FAB Geometry 2008 2007 2006 2005
(um)
Fab 6A 6" 3.5 - 0.45 328 328 328 344
Fab 8A 8" 0.5 - 0.25 816 816 816 816
Fab 8C 8" 0.35 - 0.15 417 400 400 401
Fab 8D 8" 0.18 - 0.09 257 260 252 274
Fab 8E 8" 0.5 - 0.18 408 408 406 404
Fab 8F 8" 0.25 - 0.15 372 372 372 378
Fab 8S (1) 8" 0.25 - 0.15 291 276 276 278
Fab 12A 12" 0.18 - 0.045 876 847 754 597
Fab 12i (2) 12" 0.13 - 0.065 742 601 413 363
Total (3) 4,507 4,308 4,017 3,855
YoY Growth Rate 5% 7% 4% 22%
Quarterly Capacity in
thousands of 8-inch wafer equivalents
FAB 3Q09E 2Q09 1Q09 4Q08
Fab 6A 82 82 82 82
Fab 8A 204 204 204 204
Fab 8C 99 99 108 108
Fab 8D 68 68 63 63
Fab 8E 102 102 102 102
Fab 8F 96 96 93 93
Fab 8S 75 75 75 75
Fab 12A 222 222 222 220
Fab 12i 203 203 202 202
Total (3) 1,151 1,151 1,151 1,151
(1) Former fab of SiSMC, which was acquired from Silicon Integrated
Systems in July 2004.
(2) Former fab of UMCi, a UMC wholly owned subsidiary in December 2004
that was merged into UMC in April 2005
(3) One 6-inch wafer is converted into 0.5625(6sq/8sq) 8-inch equivalent
wafer; one 12-inch wafer is converted into 2.25(12sq/8sq) 8-inch
equivalent wafers.
Note 5: Estimated capacity numbers are based on calculated maximum output
rather than designed capacity. The actual capacity numbers may differ
depending upon equipment delivery schedules, pace of migration to more
advanced process technologies, and other factors affecting production ramp
up.
CAPEX
UMC Capital Expenditure by Year - in US$ billion
Year 2008 2007 2006 2005 2004 2003
CAPEX $0.35 $0.9 $1.0 $0.7(1) $1.5 $0.4
(1) 2005 CAPEX contained UMC 2005 full year CAPEX and UMCi CAPEX during
1Q05.
2009 CAPEX Plan
8" 12" Total
UMC 18% 82% US$500 million
The capital expenditure budget for 2009 increased to US$500 million. 82% of the budget is for expansion of 45/40nm and 65/55nm production capacity and to acquire the most advanced R&D equipment. As UMC's 1H09 CAPEX totaled US$86 million, most of the 2009 budget will be consumed in 2H09.
Recent Developments / Announcements
Jul. 06, 2009 UMC's 2008 Corporate Social Responsibility (CSR) Report
Verified by DNV
Jun. 15, 2009 UMC Announces Retirement of Mr. Tony Yu as President of
UMC-USA Office
Jun. 10, 2009 UMC Shareholders Approve the Acquisition of He Jian
Technology (Suzhou)
Co., Ltd. and Elect 11th term of Directors at Annual
Shareholders Meeting
- Shareholders approved UMC's acquisition of the holding
company of He Jian Technology (Suzhou) Co., Ltd. The
completion of the acquisition is subject to approval from
government authorities. The shareholders also approved the
new share issuance for the merger with the holding
companies of He Jian.
- Four independent directors and one outside director were
elected during the meeting for the Company's 11th term of
Directors. Since the number of independent and outside
directors will account for more than half of the 9 board
seats, this action will significantly help to increase
operating transparency as well as maintain the interaction
and balance between the board and the management team.
At the meeting, shareholders also approved:
- The 2008 Business Report and Financial Statements. The
Company's revenue for 2008 was NT$92.53 billion and net
loss was NT$22.32 billion.
- An appropriation of NT$26,748,416,346 to offset
accumulated deficit at the end of 2008, which includes
NT$19,711,864,516 from legal reserve and NT$7,036,551,830
from additional paid-in capital - Premium.
May 08, 2009 UMC Files Form 20-F for 2008 with US Securities and
Exchange Commission
Apr. 29, 2009 UMC Board of Directors Important Announcement
- Board approved to propose the acquisition by UMC of the
holding company of He Jian Technology (Suzhou) Co., Ltd.
for resolution at the annual shareholders meeting.
Apr. 29, 2009 UMC 1Q 2009 Financial Results
Please visit UMC's website http://www.umc.com/english/news/index.asp for further details regarding the above announcements.
Third Quarter of 2009 Outlook & Guidance
Quarter-over-quarter Guidance:
-- Wafer shipments: to increase by approximately 8-10%
-- Wafer ASP in US$: to rise by approximately 5%
-- Capacity Utilization Rates: approximately 85%
-- Profitability: modest increase from previous quarter
-- The computer segment is expected to be the strongest, followed by the
consumer and communication segments
-- 2009 capex budget: US$500 million
Conference Call / Webcast Announcement
Wednesday, July 29, 2009
Time: 8:00 PM (Taipei) / 8:00 AM (New York) / 1:00 PM (London)
Dial-in numbers and Access Codes:
USA Toll Free: 1866 519 4004
UK Toll Free: 0808 234 6646
Singapore and Other Areas: +65 6735 7955
Access Code: UMC
A live webcast and replay of the 2Q09 results announcement will be available at http://www.umc.com under the "Investor Relations \ Investor Events" section.
About UMC
UMC (NYSE: UMC) (TSE: 2303) is a leading global semiconductor foundry that provides advanced technology and manufacturing services for applications spanning every major sector of the IC industry. UMC's customer-driven foundry solutions allow chip designers to leverage the strength of the company's leading-edge processes, which include production proven 65nm, 45/40nm, mixed signal/RFCMOS, and a wide range of specialty technologies. Production is supported through 10 wafer manufacturing facilities that include two advanced 300mm fabs; Fab 12A in Taiwan and Singapore-based Fab 12i are both in volume production for a variety of customer products. The company employs approximately 12,000 people worldwide and has offices in Taiwan, Japan, Singapore, Europe, and the United States. UMC can be found on the web at http://www.umc.com .
Safe Harbor Statements
This release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by use of words such as "strategy," "expects," "continues," "plans," "anticipates," "believes," "will," "estimates," "intends," "projects," "goals," "targets" and other words of similar meaning. You can also identify them by the fact that they do not relate strictly to historical or current facts.
These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual performance, financial condition or results of operations of UMC to be materially different from what is stated or may be implied in such forward-looking statements. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors including, but not limited to: (i) our dependence upon the frequent introduction of new services and technologies based on the latest developments in our industry; (ii) the intensely competitive semiconductor, communications, consumer electronics and computer industries and markets; (iii) the risks associated with international global business activities; (iv) our dependence upon key personnel; (v) general economic and political conditions; (vi) possible disruptions in commercial activities caused by natural and human-induced events and disasters, including terrorist activity, armed conflict and highly contagious diseases; (vii) reduced end-user purchases relative to expectations and orders; and (viii) fluctuations in foreign currency exchange rates. Further information regarding these and other risks is included in UMC's filings with the U.S. Securities and Exchange Commission, including its registration statements on Form F-1, F-3, F-6 and 20-F, in each case as amended. UMC does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
The financial statements included in this release are unaudited and unconsolidated, and prepared and published in accordance with ROC GAAP. Investors are cautioned that there are many differences between ROC GAAP and US GAAP.
This presentation is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the company and management, as well as financial statements.
-- FINANCIAL TABLES TO FOLLOW --
UNITED MICROELECTRONICS CORPORATION
Unaudited Condensed Unconsolidated Balance Sheet
As of June 30, 2009
Figures in Million of New Taiwan Dollars (NT$) and U.S. Dollars(US$)
June 30, 2009
US$ NT$ %
ASSETS
Current Assets
Cash and Cash Equivalents 1,156 37,904 17.7%
Financial assets at fair value
through profit or loss,
current 36 1,182 0.6%
Notes & Accounts Receivable 420 13,784 6.4%
Inventories 260 8,529 4.0%
Other Current Assets 76 2,503 1.1%
Total Current Assets 1,948 63,902 29.8%
Non-Current Assets
Funds and Long-term
Investments 1,781 58,424 27.2%
Property, Plant and Equipment 2,642 86,662 40.4%
Other Assets 168 5,493 2.6%
Total Non-Current Assets 4,591 150,579 70.2%
TOTAL ASSETS 6,539 214,481 100.0%
LIABILITIES
Current Liabilities
Payables 369 12,095 5.6%
Current Portion of Long-term
Liabilities 229 7,509 3.5%
Other Current Liabilities 11 356 0.2%
Total Current Liabilities 609 19,960 9.3%
Non-Current Liabilities
Long-term Loans 24 789 0.4%
Other Liabilities 106 3,491 1.6%
Total Non-Current
Liabilities 130 4,280 2.0%
TOTAL LIABILITIES 739 24,240 11.3%
STOCKHOLDERS' EQUITY
Capital Stock 3,960 129,878 60.6%
Additional Paid-in Capital 1,348 44,211 20.6%
Retained Earnings, Unrealized
Gain on Financial Assets and
Translation Adjustment 569 18,665 8.7%
Treasury Stock (77) (2,513) (1.2%)
TOTAL STOCKHOLDERS' EQUITY 5,800 190,241 88.7%
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY 6,539 214,481 100.0%
Note New Taiwan Dollars have been translated into U.S. Dollars at
the June 30, 2009 exchange rate of NT $32.80 per U.S. Dollar.
All figures are in ROC GAAP.
UNITED MICROELECTRONICS CORPORATION
Unaudited Condensed Unconsolidated Income Statement
Figures in Million of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
Except Per Share and Per ADS Data
Year over Year Comparison
Three-Month Period Ended
June 30, 2009 June 30, 2008 %
US$ NT$ US$ NT$ Chg.
Net Sales 690 22,628 769 25,238 (10.3%)
Cost of Goods Sold (526) (17,247) (592) (19,421) (11.2%)
Net Gross Profit (Loss) 164 5,381 177 5,817 (7.5%)
23.8% 23.8% 23.0% 23.0% --
Operating Expenses
- Sales & Marketing (11) (376) (19) (620) (39.4%)
- General & Administrative (14) (454) (23) (744) (39.0%)
- Research & Development (57) (1,855) (63) (2,090) (11.2%)
(82) (2,685) (105) (3,454) (22.3%)
Operating Income (Loss) 82 2,696 72 2,363 14.1%
11.9% 11.9% 9.4% 9.4% --
Net Non-Operating Income
(Expenses) (27) (901) 3 98 (1,019.4%)
Income (Loss) from continuing
operations before income tax 55 1,795 75 2,461 (27.1%)
7.9% 7.9% 9.8% 9.8% --
Income Tax Expense (8) (248) (2) (64) 287.5%
Net Income (Loss) 47 1,547 73 2,397 (35.5%)
6.8% 6.8% 9.5% 9.5% --
Earnings (Loss) per Share 0.004 0.12 0.006 0.19 --
Earnings (Loss) per ADS (2) 0.018 0.60 0.029 0.95 --
Weighted Average Number of
Shares Outstanding
(in millions) -- 12,672 -- 13,172 --
Note:
(1) New Taiwan Dollars have been translated into U.S. Dollars at
the June 30, 2009 exchange rate of NT$32.80 per U.S. Dollar.
All figures are in ROC GAAP.
(2) 1 ADS equals 5 common shares.
UNITED MICROELECTRONICS CORPORATION
Unaudited Condensed Unconsolidated Income Statement
Figures in Million of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
Except Per Share and Per ADS Data (Continued)
Quarter over Quarter Comparison
Three-Month Period Ended
June 30, 2009 Mar 31, 2009 %
US$ NT$ US$ NT$ Chg.
Net Sales 690 22,628 330 10,838 108.8%
Cost of Goods Sold (526) (17,247) (462) (15,173) 13.7%
Net Gross Profit (Loss) 164 5,381 (132) (4,335) (224.1%)
23.8% 23.8% (40.0%) (40.0%) --
Operating Expenses
- Sales & Marketing (11) (376) (19) (632) (40.5%)
- General & Administrative (14) (454) (16) (529) (14.2%)
- Research & Development (57) (1,855) (56) (1,821) 1.9%
(82) (2,685) (91) (2,982) (10.0%)
Operating Income (Loss) 82 2,696 (223) (7,317) (136.8%)
11.9% 11.9% (67.5%) (67.5%) --
Net Non-Operating Income
(Expenses) (27) (901) (26) (843) 6.9%
Income (Loss) from continuing
operations before income tax 55 1,795 (249) (8,160) (122.0%)
7.9% 7.9% (75.3%) (75.3%) --
Income Tax Expense (8) (248) (0) (0) 100.0%
Net Income (Loss) 47 1,547 (249) (8,160) (119.0%)
6.8% 6.8% (75.3%) (75.3%) --
Earnings (Loss) per Share 0.004 0.12 (0.020) (0.64) --
Earnings (Loss) per ADS (2) 0.018 0.60 (0.098) (3.20) --
Weighted Average Number of
Shares Outstanding
(in millions) -- 12,672 -- 12,767 --
Note:
(1) New Taiwan Dollars have been translated into U.S. Dollars at
the June 30, 2009 exchange rate of NT$32.80 per U.S. Dollar.
All figures are in ROC GAAP.
(2) 1 ADS equals 5 common shares.
UNITED MICROELECTRONICS CORPORATION
Unaudited Condensed Unconsolidated Income Statement
Figures in Million of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
Except Per Share and Per ADS Data
For the Three-Month
Period Ended For the Year Ended
June 30, 2009 June 30, 2009
US$ NT$ % US$ NT$ %
Net Sales 690 22,628 100.0% 1,020 33,466 100.0%
Cost of Goods Sold (526) (17,247) (76.2%) (988) (32,420) (96.9%)
Net Gross Profit 164 5,381 23.8% 32 1,046 3.1%
Operating Expenses
- Sales & Marketing (11) (376) (1.7%) (31) (1,008) (3.0%)
- General &
Administrative (14) (454) (2.0%) (30) (983) (2.9%)
- Research &
Development (57) (1,855) (8.2%) (112) (3,676) (11.0%)
(82) (2,685) (11.9%) (173) (5,667) (16.9%)
Operating Income (Loss) 82 2,696 11.9% (141) (4,621) (13.8%)
Net Non-Operating Income
(Expenses) (27) (901) (4.0%) (53) (1,744) (5.2%)
Income (Loss) from
continuing operations
before income tax 55 1,795 7.9% (194) (6,365) (19.0%)
Income Tax Expense (8) (248) (1.1%) (8) (248) (0.8%)
Net Income (Loss) 47 1,547 6.8% (202) (6,613) (19.8%)
Earnings (Loss) per Share 0.004 0.12 -- (0.016) (0.52) --
Earnings (Loss) per
ADS (2) 0.018 0.60 -- (0.079) (2.60) --
Weighted Average Number
of Shares Outstanding -- 12,672 -- -- 12,719 --
(in millions)
Note:
(1) New Taiwan Dollars have been translated into U.S. Dollars at the June
30, 2009 exchange rate of NT$32.80 per U.S. Dollar.
All figures are in ROC GAAP.
(2) 1 ADS equals 5 common shares.
UNITED MICROELECTRONICS CORPORATION
Unaudited Condensed Unconsolidated Statement of Cash Flows
For The Six Months Ended June 30, 2009
Figures in Million of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
USD NTD
Cash flows from operating activities :
Net Income (202) (6,613)
Depreciation & Amortization 521 17,092
Gain on recovery in market
value and obsolescence of
inventories (68) (2,242)
Cash dividends received under
the equity method 12 390
Investment loss accounted for
under the equity method 69 2,265
Loss on valuation of financial
assets and liabilities 18 594
Impairment loss 4 118
Gain on disposal of investments (24) (788)
Gain on disposal of property,
plant and equipment -- (3)
Exchange loss on financial
assets and liabilities -- 11
Amortization of bond discounts -- 1
Amortization of deferred income (3) (102)
Compensation cost of employee
stock options -- 9
Change in assets, liabilities
and others (109) (3,566)
Net cash provided by operating
activities 218 7,166
Cash flows from investing activities:
Proceeds from disposal of
available-for-sales financial
assets 25 809
Acquisition of long-term
investments accounted for
under the equity method (2) (63)
Proceeds from liquidation of
long-term investments -- 15
Acquisition of property, plant
and equipment (86) (2,823)
Proceeds from disposal of
property, plant and equipment 1 17
Increase in deferred charges (6) (198)
Decrease in other assets -
others (24) (779)
Net cash used in investing
activities (92) (3,022)
Cash flows from financing activities :
Proceeds from long-term Loans 9 300
Repayments of long-term Loans (6) (200)
Purchase of treasury stock (73) (2,393)
Increase in deposits-in -- 3
Net cash used in financing
activities (70) (2,290)
Effect of exchange rate changes on
cash and cash equivalents (2) (74)
Net increase in cash and cash
equivalents 54 1,780
Cash and cash equivalents at
beginning of period 1,102 36,124
Cash and cash equivalents at end of
period 1,156 37,904
Note: New Taiwan Dollars have been translated into U.S. Dollars at the
June 30, 2009 exchange rate of NT$32.80 per U.S. Dollar.
All figures are in ROC GAAP.
Contacts:
Bowen Huang / Tien Yu Tseng
UMC, Investor Relations
Tel: +886-2-2700-6999 ext. 6957
Email: bowen_huang@umc.com
tien_yu_tseng@umc.com
SOURCE United Microelectronics Corporation
Web site:
http://www.umc.com/
http://www.umc.com/english/investors/2Q09_ASP_trend.asp/