Year-over-year, fourth quarter revenue increased 42.6% while net income increased 162.5% and diluted EPS increased 162.7%. Compared to third quarter of 2009, fourth quarter results represent a 2.4% increase in revenue, a 6.9% increase in net income, and a 7.2% increase in diluted EPS. All figures were prepared in accordance with R.O.C. GAAP on a consolidated basis.
Gross margin for the quarter was 48.5%, operating margin was 36.5%, and net margin was 35.5%.
As the global economy gradually recovered, fourth quarter saw a continued improvement in wafer sales with computer related applications growing strongly and consumer related applications declining seasonally.
Advanced process technologies (0.13-micron and below) accounted for 70% of wafer revenues. 90-nanometer process technology accounted for 16% of wafer revenues, 65-nanometer 30%, and 40-nanometer exceeded 9% of total wafer sales.
"Although first quarter normally is a sequentially declining quarter for all three major semiconductor applications, we expect the demand from consumer related applications to grow in first quarter of 2010, while computer and communication related applications will decline following their seasonal pattern," said Lora Ho, VP and Chief Financial Officer of TSMC. "Based on our current business outlook, management expects":
* First quarter revenue to be between NT$89 billion and NT$91 billion,
gross profit margin to be between 46.5% and 48.5%, and operating profit
margin to be between 35% and 37%;
* 2010 capital expenditure to be around US$4.8 billion, due to strong
demand outlook for our advanced technologies.
Conference Call & Webcast Notice:
TSMC's quarterly review conference call will be held at 8 a.m. Eastern Time (9 p.m. Taiwan Time) on Thursday, January 28, 2010. The conference call will also be webcast live on the Internet. Investors wishing to access the live webcast should visit TSMC's web site at http://www.tsmc.com at least 15 minutes prior to the broadcast. Instructions will be provided on the web site to facilitate the download and installation of necessary audio applications. Investors without Internet access may listen to the conference call, in listen-only mode, by dialing 1-617-213-8895 in the U.S., 852-3002-1672 in Hong Kong, and 44-207-365-8426 in the U.K. (Password: TSMC). An archived version of the webcast will be available on TSMC's web site for six months following the Company's quarterly review conference call and webcast.
Profile
TSMC is the world's largest dedicated semiconductor foundry, providing the industry's leading process technology and the foundry's largest portfolio of process-proven libraries, IPs, design tools and reference flows. The Company's managed capacity in 2009 totaled 9.96 million (8-inch equivalent) wafers, including capacity from two advanced 12-inch GIGAFABs(TM), four eight-inch fabs, one six-inch fab, as well as TSMC's wholly owned subsidiaries, WaferTech and TSMC China, and its joint venture fab, SSMC. TSMC is the first foundry to provide 40nm production capabilities. Its corporate headquarters are in Hsinchu, Taiwan. For more information about TSMC please visit http://www.tsmc.com .
(Management Report and Tables Follow)
TSMC 4Q09 Quarterly Management Report January 28, 2010
Topics in This Report
-- Revenue Analysis
-- Profit & Expense Analysis
-- Financial Condition Review
-- Cash Flow
-- CapEx & Capacity
-- Recap of Recent Important Events & Announcements
Operating Results Review:
Summary:
(Amounts are on consolidated basis
and are in NT billions except
otherwise noted) 4Q09 3Q09 4Q08 2009 2008
EPS (NT$ per common share) 1.26 1.18 0.48 3.44 3.81
(US$ per ADR unit) 0.19 0.18 0.07 0.52 0.61
Consolidated Net Sales 92.09 89.94 64.56 295.74 333.16
Gross Profit 44.70 42.86 20.19 129.33 141.75
Gross Margin 48.5% 47.7% 31.3% 43.7% 42.5%
Operating Expense (11.05) (10.87) (8.17) (37.37) (37.31)
Operating Income 33.64 31.99 12.02 91.96 104.44
Operating Margin 36.5% 35.6% 18.6% 31.1% 31.4%
Non-Operating Items 1.73 0.97 1.07 3.50 7.04
Net Income 32.67 30.55 12.45 89.22 99.93
Net Profit Margin 35.5% 34.0% 19.3% 30.2% 30.0%
Wafer Shipment (kpcs 8 inch-equiv.) 2,430 2,445 1,532 7,737 8,467
Note: Total outstanding shares were 25,903mn units on 12/31/09
Financial Highlights:
Fourth Quarter 2009
-- Consolidated net sales were NT$92.09 billion, increased 2.4% from
NT$89.94 billion in the prior quarter and 42.6% from NT$64.56 billion
in the year-ago quarter.
-- Gross margin was 48.5%, showing 0.8 percentage point increase from 3Q09
and a 17.2 percentage point increase from 4Q08.
-- Operating margin was 36.5%, 0.9 percentage point higher than 3Q09 and
17.9 percentage points higher than 4Q08.
-- Consolidated net income attributable to shareholders of the parent
company was NT$32.67 billion, increased 6.9% from 3Q09. Net profit
margin was 35.5% and diluted EPS was NT$1.26.
Full Year 2009
-- Consolidated net sales were NT$295.74 billion, representing an 11.2%
decline from 2008.
-- In spite of lower net sales, gross margin was 43.7%, increased 1.2
percentage points from 42.5% in 2008. Operating margin was 31.1%,
declined 0.3 percentage point from 2008.
-- Earnings per share was NT$3.44, with net profit margin of 30.2%.
I. Revenue Analysis
I. Wafer Sales Analysis
By Application 4Q09 3Q09 4Q08
Computer 33% 28% 30%
Communication 39% 42% 39%
Consumer 13% 16% 16%
Industrial/Others 15% 14% 15%
By Technology 4Q09 3Q09 4Q08
45/40nm 9% 4% 0%
65nm 30% 31% 27%
90nm 16% 18% 21%
0.11/0.13um 15% 14% 17%
0.15/0.18um 18% 21% 22%
0.25/0.35um 9% 9% 10%
0.50um+ 3% 3% 3%
By Customer Type 4Q09 3Q09 4Q08
Fabless/System 79% 80% 72%
IDM 21% 20% 28%
By Geography 4Q09 3Q09 4Q08
North America 71% 70% 72%
Asia Pacific 13% 13% 11%
China 3% 3% 2%
Europe 10% 11% 11%
Japan 3% 3% 4%
Revenue Analysis:
4Q09 marked the third consecutive growth quarter, mainly driven by strong demand from Computer related applications during the quarter. Revenues from Computer applications grew 22% sequentially, while Communication declined 8% after strong momentum in the prior two quarters and Consumer declined 15% following seasonal pattern.
As demand for 40/45nm technology remained strong and yield continued to improve, revenues from 40/45nm again more than doubled during the quarter and accounted for 9% of total wafer sales. Meanwhile, demand from 65nm and 90nm continued to be robust and accounted for 30% and 16%, respectively. Overall, revenues from 0.13-micron and below increased three percentage points sequentially and represented 70% of total wafer sales.
Revenues from IDM customers accounted for 21% of total wafer sales in 4Q09, up one percentage point from 3Q09.
From a geographic perspective, revenues from customers based in North America accounted for 71% of total wafer sales, while sales from Asia Pacific, China, Europe and Japan accounted for 13%, 3%, 10%, and 3% of total wafer sales, respectively.
II. Profit & Expense Analysis
II - 1. Gross Profit Analysis
(In NT billions) 4Q09 3Q09 4Q08 2009 2008
COGS 47.39 47.08 44.37 166.41 191.41
Depreciation 18.60 18.37 19.29 74.48 74.70
Other MFG Cost 28.79 28.71 25.08 91.93 116.71
Gross Profit 44.70 42.86 20.19 129.33 141.75
Gross Margin 48.5% 47.7% 31.3% 43.7% 42.5%
Gross Profit Analysis:
Gross margin for the quarter was 48.5%, increased by 0.8 percentage point from 47.7% in 3Q09, due to a higher level of capacity utilization and continued cost improvement, partially offset by the unfavorable exchange rate.
On a full year basis, gross margin for 2009 was 43.7%, increased 1.2 percentage points from 2008, mainly due to a favorable exchange rate and cost improvement, partially offset by an adverse inventory valuation adjustment under ROC SFAS No.10.
II - 2. Operating Expenses
(In NT billions) 4Q09 3Q09 4Q08 2009 2008
Total Operating Exp. 11.05 10.87 8.17 37.37 37.31
SG&A 4.48 4.67 3.34 15.78 15.83
Research & Development 6.57 6.20 4.83 21.59 21.48
Total Operating Exp. as a % of Sales 12.0% 12.1% 12.7% 12.6% 11.1%
Operating Expenses:
Total operating expenses for 4Q09 increased by NT$0.18 billion to NT$11.05 billion, representing 12.0% of net sales.
SG&A expenses decreased by NT$0.19 billion from 3Q09, primarily due to lower legal fees.
Research and development expenditures increased by NT$0.37 billion sequentially, mainly due to increased development activities in 28nm and 22nm technologies.
For full year 2009, total operating expenses were NT$37.37 billion, similar to that in 2008. However, due to a lower net sales base, total operating expenses accounted for 12.6% of net sales in 2009, compared with 11.1% in the prior year.
II - 3. Non-Operating Items
(In NT billions) 4Q09 3Q09 4Q08 2009 2008
Non-Operating Inc./(Exp.) 1.43 0.52 1.41 3.45 6.34
Net Interest Income/(Exp.) 0.35 0.42 1.18 2.21 4.76
Other Non-Operating 1.08 0.10 0.23 1.24 1.58
L-T Investments 0.30 0.45 (0.34) 0.05 0.70
SSMC 0.29 0.26 (0.07) 0.43 0.76
Others 0.01 0.19 (0.27) (0.38) (0.06)
Total Non-Operating Items 1.73 0.97 1.07 3.50 7.04
Non-Operating Items:
Combined result from non-operating income and long-term investments was a gain of NT$1.73 billion for 4Q09.
Non-operating income was NT$1.43 billion for 4Q09, a NT$0.91 billion increase from 3Q09, primarily due to the receipt of litigation compensation.
Net investment gain was NT$0.30 billion, lower than NT$0.45 billion in the prior quarter, mainly due to lower profits from certain invested companies.
On a full year basis, total non-operating items decreased by NT$3.54 billion to NT$3.50 billion in 2009, mostly due to less interest income and weaker business in certain invested companies.
III. Financial Condition Review
III - 1. Liquidity Analysis
(Selected Balance Sheet Items)
(In NT billions) 4Q09 3Q09 4Q08
Cash & Marketable Securities 195.80 180.32 211.45
Accounts Receivable - Trade 35.38 35.88 18.50
Inventory 20.91 19.18 14.88
Total Current Assets 259.80 244.24 252.62
Accounts Payable 40.61 26.30 14.04
Current Portion of Bonds Payable 0.00 0.00 8.00
Accrued Bonus to Employees 13.43 8.62 15.37
Accrued Liabilities and Others 25.09 20.09 19.40
Total Current Liabilities 79.13 55.01 56.81
Current Ratio (x) 3.3 4.4 4.4
Net Working Capital 180.67 189.23 195.81
Liquidity Analysis:
At the end of 4Q09, cash and marketable securities totaled NT$195.80 billion, increased by NT$15.48 billion from 3Q09, primarily due to NT$19.29 billion of free cash flow generated during this quarter.
Total current liabilities increased NT$24.12 billion in this quarter, primarily due to increase in accounts payables to contractors and equipment suppliers and accruals for employee profit sharing/bonus during the quarter.
Net working capital was NT$180.67 billion and current ratio decreased to 3.3x.
III - 2. Receivable/Inventory Days
(In Number of Days)
4Q09 3Q09 4Q08
Days of Receivable 36 36 46
Days of Inventory 42 41 40
Receivable and Inventory Days:
Days of receivable remained stable at 36 days in 4Q09.
Days of inventory increased by one day from prior quarter to 42 days.
III - 3. Debt Service
(In NT billions) 4Q09 3Q09 4Q08
Cash & Marketable Securities 195.80 180.32 211.45
Interest-Bearing Debt 15.09 15.33 23.44
Net Cash Reserves 180.71 164.99 188.01
Debt Service:
Net cash reserves, defined as the excess of cash and short-term marketable securities over interest-bearing debt, increased by NT$15.72 billion to NT$180.71 billion at the end of 4Q09, primarily due to NT$19.29 billion of free cash flow generated during this quarter.
IV. Cash Flow
IV - 1.1. Cash Flow Analysis
(In NT billions) 4Q09 3Q09 4Q08
Net Income 32.67 30.55 12.45
Depreciation & Amortization 20.28 20.00 20.96
Employee Profit Sharing Payment* n.a (7.49) n.a
Other Operating Sources/(Uses) 9.05 3.60 29.83
Total Operating Sources/(Uses) 62.00 46.66 63.24
Capital Expenditure (42.71) (32.04) (11.26)
Marketable Financial Instruments (3.59) (18.94) 30.31
Other Investing Sources/(Uses) (0.80) (0.53) (1.04)
Net Investing Sources/(Uses) (47.10) (51.51) 18.01
Cash Dividends 0.00 (76.88) 0.00
Other Financing Sources/(Uses) (0.28) (0.11) (0.30)
Net Financing Sources/(Uses) (0.28) (76.99) (0.30)
Net Cash Position Changes 14.62 (81.84) 80.95
Exchange Rate Changes & Others (0.28) (0.74) 1.21
Ending Cash Balance 171.28 156.94 194.61
*Starting 2008, Taiwan accounting rule requires company to expense
employee profit sharing
Summary of Cash Flow:
Cash generated from operating activities totaled NT$62.00 billion during the quarter, an increase of NT$15.34 billion from 3Q09, mainly due to the increase in net income, the absence of the cash payment of employee profit sharing, and a decrease in net working capital.
Net cash used in investing activities decreased NT$4.41 billion to NT$47.10 billion in 4Q09, primarily reflecting less purchases of marketable financial instruments, partially offset by an increase in capital expenditures.
Net cash used in financing activities was NT$0.28 billion during the quarter.
As a result, TSMC ended 4Q09 with a cash balance of NT$171.28 billion.
IV - 1.2. Cash Flow Analysis
(In NT billions) 2009 2008 Diff.
Net Income 89.22 99.93 (10.71)
Depreciation & Amortization 80.81 81.51 (0.70)
Employee Profit Sharing Payment* (7.49) 0.00 (7.49)
Other Operating Sources/(Uses) (2.57) 40.05 (42.62)
Total Operating Sources/(Uses) 159.97 221.49 (61.52)
Capital Expenditure (87.78) (59.22) (28.56)
Marketable Financial Instruments (7.04) 52.35 (59.39)
Other Investing Sources/(Uses) (1.65) (1.17) (0.48)
Net Investing Sources/(Uses) (96.47) (8.04) (88.43)
Cash Dividends (76.88) (76.78) (0.10)
Employee Profit Sharing* 0.00 (3.94) 3.94
Repayment of Bonds Payable (8.00) 0.00 (8.00)
Purchase of Treasury Stock 0.00 (33.48) 33.48
Other Financing Sources/(Uses) (0.59) (1.19) 0.60
Net Financing Sources/(Uses) (85.47) (115.39) 29.92
Net Cash Position Changes (21.97) 98.06 (120.03)
Exchange Rate Changes & Others (1.36) 1.56 (2.92)
Ending Cash Balance 171.28 194.61 (23.33)
*Starting 2008, Taiwan accounting rule requires company to expense
employee profit sharing
On a full year basis, cash generated from operating activities decreased NT$61.52 billion to NT$159.97 billion in 2009. The decrease mainly reflected the decrease in net income, the cash payment of 2008 employee profit sharing made in 2009, and increases in net working capital due to acceleration of business momentum.
Net cash used in investing activities was NT$96.47 billion in 2009, NT$88.43 billion higher than that in 2008, primarily reflecting redemptions of marketable financial instruments in 2008 and the increase in capital expenditures during 2009.
Meanwhile, net cash used in financing activities decreased by NT$29.92 billion to NT$85.47 billion during 2009, mainly due to the absence of repurchase of treasury stock and the reclassification of employee profit sharing from financing activities to operating activities starting 2009, partially offset by the repayment of corporate bonds in the first quarter.
IV - 2. Operating and Free Cash Flows:
Operating and Free Cash Flows:
Cash flows generated from operating activities were NT$62.00 billion during the quarter. Free cash flow, defined as the excess of operating cash flows over capital expenditures, totaled NT$19.29 billion in 4Q09, compared to NT$14.62 billion in 3Q09.
Total free cash flow generated in 2009 was NT$72.19 billion, declined NT$90.08 billion from NT$162.27 billion in 2008. The year-over-year decline was primarily due to lower business activities resulting from the economic downturn and the increased capital expenditures.
Please refer to the link for the index charts: http://www.tsmc.com/uploadfile/ir/quarterly/index_charts.pdf
V. CapEx & Capacity
V - 1. Capital Expenditures
(In US millions) 1Q09 2Q09 3Q09 4Q09 2009 2008
TSMC 161 218 963 1,304 2,646 1,807
XinTec and GUC 2 3 6 1 12 23
TSMC Shanghai & WaferTech 3 3 0 4 10 52
Other TSMC Subsidiaries 0 0 2 1 3 4
Total TSMC 166 224 971 1,310 2,671 1,886
Capital Expenditures:
Capital expenditures for TSMC on a consolidated basis totaled US$1,310 million in 4Q09.
For year 2009, total capital expenditures for TSMC consolidated group totaled US$2.67 billion, compared with US$1.89 billion spent in 2008.
V-2 . Capacity
1Q09 2Q09 3Q09 4Q09 2009 1Q10
Fab / (Wafer size) (A) (A) (A) (A) (A) (F)
Fab-2 (6") Note1 274 280 283 283 1,121 263
Fab-3 (8") 286 289 292 283 1,150 268
Fab-5 (8") 162 149 144 144 599 139
Fab-6 (8") 295 284 287 287 1,154 269
Fab-8 (8") 275 271 265 255 1,066 247
Fab-12 (12") Note 2 218 219 199 243 879 269
Fab-14 (12") Note 2 238 238 239 243 958 255
WaferTech (8") 106 107 109 109 431 106
TSMC China (8") 128 134 135 135 531 132
TSMC total capacity (8"
equiv. Kpcs) 2,431 2,419 2,379 2,467 9,695 2,488
SSMC (8") 64 65 65 65 259 69
Total managed capacity (8"
equiv. Kpcs) 2,495 2,483 2,444 2,532 9,955 2,557
Note: 1. Figures represent number of 6" wafers. Conversion to 8"-
equivalent wafers is obtained by dividing this number by 1.78
2. Figures represent number of 12" wafers. Conversion to 8"-
equivalent wafers is obtained by multiplying this number by 2.25
Capacity:
Total managed capacity was 2,532K 8-inch equivalent wafers in 4Q09, increased by 3.6% from 2,444K in 3Q09. TSMC managed capacity in 1Q10 is expected to increase by 1% to reach 2,557K 8-inch equivalent wafers. 12" wafer capacity will increase by 38K (12''). However, due to scheduled annual maintenance and capacity migration to higher nodes, total legacy fabs capacity will decrease by 60K (8'') in the first quarter of 2010.
Total managed capacity in 2009 reached 9,955K 8-inch equivalent wafers, representing an increase of 6.2% from 9,377K 8-inch equivalent wafers in 2008, while capacity for 12-inch wafer fabs increased by 10.8% year-over-year, reaching 41.5% of total 2009 capacity.
VI. Recap of Recent Important Events & Announcements
-- TSMC Announces Process Technologies For Integrated LED Drivers
( 2009/12/15 )
-- TSMC and Motech Announce Strategic Partnership ( 2009/12/09 )
-- TSMC Recognizes Supplier Excellence at Supply Chain Management
Forum ( 2009/12/04 )
-- TSMC Launches Automotive Process Qualification Specification and
Service Package in China Market ( 2009/11/27 )
-- TSMC Announces Settlement of SMIC Trade Secret Litigation
( 2009/11/10 )
-- Infineon and TSMC Extend Technology And Production Partnership
Agreement; Will Jointly Develop 65nm Embedded Flash Process
Technology For Automotive and Chip Card Applications ( 2009/11/05 )
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Consolidated Condensed Balance Sheets
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars("USD ")) (1)
December 31, 2009 September 30, 2009
(audited) (unaudited)
ASSETS USD NTD % NTD %
Current Assets
Cash and Cash Equivalents $5,347 $171,276 28.8 $156,935 29.0
Investments in Marketable
Financial Instruments 766 24,521 4.1 23,384 4.3
Accounts Receivable - Trade 1,105 35,382 5.9 35,881 6.6
Inventories, Net 653 20,914 3.5 19,176 3.5
Other Current Assets 240 7,711 1.4 8,865 1.7
Total Current Assets 8,111 259,804 43.7 244,241 45.1
Long-Term Investments 1,182 37,845 6.4 38,553 7.1
Properties, Plant and
Equipment 30,204 967,419 162.7 911,844 168.3
Less: Accumulated
Depreciation (21,660) (693,744) (116.7) (675,028) (124.6)
Properties, Plant and
Equipment, Net 8,544 273,675 46.0 236,816 43.7
Other Assets 730 23,372 3.9 22,287 4.1
Total Assets $18,567 $594,696 100.0 $541,897 100.0
LIABILITIES AND SHAREHOLDERS'
EQUITY
Current Liabilities
Accounts Payables $365 $11,689 2.0 $10,633 2.0
Payables to Contractors and
Equipment Suppliers 903 28,924 4.9 15,666 2.9
Accrued Expenses and Other
Current Liabilities 1,173 37,571 6.2 28,401 5.2
Current Portion of Bonds
Payable and Long-Term
Debts 30 949 0.2 309 0.1
Total Current
Liabilities 2,471 79,133 13.3 55,009 10.2
Bonds Payable 140 4,500 0.8 4,500 0.8
Other Long-Term Liabilities 375 12,015 2.0 15,761 2.9
Total Liabilities 2,986 95,648 16.1 75,270 13.9
Shareholders' Equity
Attributable to Shareholders
of the Parent
Capital Stock at Par Value 8,087 259,027 43.6 259,007 47.8
Capital Surplus 1,732 55,486 9.3 55,440 10.2
Legal Capital Reserve (2) 2,414 77,317 13.0 77,317 14.3
Special Capital Reserve (2) -- -- -- -- --
Unappropriated Earnings (2) 3,265 104,565 17.5 71,899 13.3
Treasury Stock -- -- -- -- --
Others (41) (1,312) (0.2) (778) (0.2)
Total Equity
Attributable to
Shareholders of the
Parent 15,457 495,083 83.2 462,885 85.4
Minority Interests 124 3,965 0.7 3,742 0.7
Total Shareholders'
Equity 15,581 499,048 83.9 466,627 86.1
Total Liabilities &
Shareholders' Equity $18,567 $594,696 100.0 $541,897 100.0
Note :
(1) Amounts in New Taiwan dollars have been translated into U.S. dollars
at the rate of NT$32.030 as of December 31, 2009.
(2) Certain prior period balances have been reclassified to conform to
the current period presentation.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Consolidated Condensed Balance Sheets
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD")) (1) (Continued)
December 31, 2008
(audited) QoQ YoY
ASSETS NTD % Amount % Amount %
Current Assets
Cash and Cash
Equivalents $194,614 34.8 $14,341 9.1 ($23,338) (12.0)
Investments in
Marketable
Financial
Instruments 16,836 3.0 1,137 4.9 7,685 45.6
Accounts Receivable
- Trade 18,497 3.3 (499) (1.4) 16,885 91.3
Inventories, Net 14,877 2.7 1,738 9.1 6,037 40.6
Other Current Assets 7,795 1.4 (1,154) (13.0) (84) (1.1)
Total Current
Assets 252,619 45.2 15,563 6.4 7,185 2.8
Long-Term Investments 39,982 7.2 (708) (1.8) (2,137) (5.3)
Properties, Plant and
Equipment 862,461 154.3 55,575 6.1 104,958 12.2
Less: Accumulated
Depreciation (618,816) (110.7) (18,716) 2.8 (74,928) 12.1
Properties, Plant
and Equipment,
Net 243,645 43.6 36,859 15.6 30,030 12.3
Other Assets 22,671 4.0 1,085 4.9 701 3.1
Total Assets $558,917 100.0 $52,799 9.7 $35,779 6.4
LIABILITIES AND
SHAREHOLDERS' EQUITY
Current Liabilities
Accounts Payables $6,043 1.1 $1,056 9.9 $5,646 93.4
Payables to
Contractors and
Equipment Suppliers 7,999 1.4 13,258 84.6 20,925 261.6
Accrued Expenses and
Other Current
Liabilities 34,543 6.2 9,170 32.3 3,028 8.8
Current Portion of
Bonds Payable and
Long-Term Debts 8,222 1.5 640 207.7 (7,273) (88.5)
Total Current
Liabilities 56,807 10.2 24,124 43.9 22,326 39.3
Bonds Payable 4,500 0.8 -- -- -- --
Other Long-Term
Liabilities 17,237 3.1 (3,746) (23.8) (5,222) (30.3)
Total Liabilities 78,544 14.1 20,378 27.1 17,104 21.8
Shareholders' Equity
Attributable to
Shareholders of the
Parent
Capital Stock at Par
Value 256,254 45.8 20 0.0 2,773 1.1
Capital Surplus 49,875 8.9 46 0.1 5,611 11.2
Legal Capital
Reserve (2) 67,324 12.0 -- -- 9,993 14.8
Special Capital
Reserve (2) 392 0.1 -- -- (392) (100.0)
Unappropriated
Earnings (2) 102,338 18.3 32,666 45.4 2,227 2.2
Treasury Stock -- -- -- -- -- --
Others 194 0.1 (534) 68.8 (1,506) (777.5)
Total Equity
Attributable to
Shareholders of
the Parent 476,377 85.2 32,198 7.0 18,706 3.9
Minority Interests 3,996 0.7 223 6.0 (31) (0.7)
Total
Shareholders'
Equity 480,373 85.9 32,421 6.9 18,675 3.9
Total Liabilities &
Shareholders' Equity $558,917 100.0 $52,799 9.7 $35,779 6.4
Note :
(1) Amounts in New Taiwan dollars have been translated into U.S. dollars
at the rate of NT$32.030 as of December 31, 2009.
(2) Certain prior period balances have been reclassified to conform to
the current period presentation.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Unaudited Consolidated Condensed Income Statements
For the Three Months Ended December 31, 2009, September 30, 2009,
December 31, 2008
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD") (1)
Except for Per Share Amounts and Shares Outstanding)
4Q 2009 3Q 2009
USD NTD % NTD %
Net Sales $2,849 $92,094 100.0 $89,936 100.0
Cost of Sales (1,466) (47,399) (51.5) (47,078) (52.3)
Gross Profit 1,383 44,695 48.5 42,858 47.7
Operating Expenses
Research and Development
Expenses (203) (6,567) (7.1) (6,202) (6.9)
General and Administrative
Expenses (101) (3,269) (3.6) (3,541) (3.9)
Sales and Marketing Expenses (38) (1,217) (1.3) (1,131) (1.3)
Total Operating Expenses (342) (11,053) (12.0) (10,874) (12.1)
Income from Operations 1,041 33,642 36.5 31,984 35.6
Non-Operating Income, Net 44 1,427 1.6 519 0.6
Investment Gains 9 299 0.3 454 0.5
Income before Income Tax 1,094 35,368 38.4 32,957 36.6
Income Tax Expenses (77) (2,508) (2.7) (2,285) (2.5)
Net Income 1,017 32,860 35.7 30,672 34.1
Minority Interests (6) (194) (0.2) (121) (0.1)
Net Income Attributable to
Shareholders of
the Parent 1,011 32,666 35.5 30,551 34.0
Earnings per Share - Diluted $0.04 $1.26 -- $1.18 --
Earnings per ADR - Diluted (2) $0.19 $6.30 -- $5.88 --
Weighted Average Outstanding
Shares - Diluted ('M) (3) -- 25,916 -- 25,984 --
Note:
(1) Amounts in New Taiwan dollars have been translated into U.S.
dollars at the weighted average rate of NTD32.320 for the fourth
quarter of 2009.
(2) 1 ADR equals 5 ordinary shares.
(3) Total diluted weighted average outstanding shares were 25,942M
shares for 4Q08 after the retroactive adjustments for stock dividends
and stock bonus.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Unaudited Consolidated Condensed Income Statements
For the Three Months Ended December 31, 2009, September 30, 2009,
December 31, 2008
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD") (1)
Except for Per Share Amounts and Shares Outstanding) (Continued)
4Q 2008 QoQ YoY
NTD % Amount % Amount %
Net Sales $64,562 100.0 $2,158 2.4 $27,532 42.6
Cost of Sales (44,367) (68.7) (321) 0.7 (3,032) 6.8
Gross Profit 20,195 31.3 1,837 4.3 24,500 121.3
Operating Expenses
Research and Development
Expenses (4,826) (7.5) (365) 5.9 (1,741) 36.1
General and
Administrative Expenses (2,285) (3.5) 272 (7.7) (984) 43.0
Sales and Marketing
Expenses (1,062) (1.6) (86) 7.6 (155) 14.6
Total Operating Expenses (8,173) (12.7) (179) 1.6 (2,880) 35.2
Income from
Operations 12,022 18.6 1,658 5.2 21,620 179.8
Non-Operating Income, Net 1,412 2.2 908 174.7 15 1.0
Investment Gains (340) -0.5 (155) (34.0) 639 (187.9)
Income before Income Tax 13,094 20.3 2,411 7.3 22,274 170.1
Income Tax Expenses (452) (0.7) (223) 9.8 (2,056) 454.7
Net Income 12,642 19.6 2,188 7.1 20,218 159.9
Minority Interests (196) (0.3) (73) 60.2 2 (0.8)
Net Income Attributable to
Shareholders of
the Parent 12,446 19.3 2,115 6.9 20,220 162.5
Earnings per Share -
Diluted $0.48 $0.08 7.2 $0.78 162.7
Earnings per ADR -
Diluted (2) $2.40 $0.42 7.2 $3.90 162.7
Weighted Average
Outstanding Shares -
Diluted ('M) (3) 25,942 -- -- -- --
Note:
(1) Amounts in New Taiwan dollars have been translated into U.S.
dollars at the weighted average rate of NTD32.320 for the fourth
quarter of 2009.
(2) 1 ADR equals 5 ordinary shares.
(3) Total diluted weighted average outstanding shares were 25,942M
shares for 4Q08 after the retroactive adjustments for stock dividends
and stock bonus.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Audited Consolidated Condensed Income Statements
For the Year Ended December 31, 2009 and 2008
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD")(1)
Except for Per Share Amounts and Shares Outstanding)
For the Year Ended December 31
2009 2008
USD NTD % NTD %
Net Sales $8,998 $295,742 100.0 $333,158 100.0
Cost of Sales (5,063) (166,413) (56.3) (191,408) (57.5)
Gross Profit 3,935 129,329 43.7 141,750 42.5
Operating Expenses
Research and Development
Expenses (657) (21,593) (7.3) (21,481) (6.4)
General and Administrative
Expenses (343) (11,286) (3.8) (11,097) (3.3)
Sales and Marketing Expenses (137) (4,488) (1.5) (4,737) (1.4)
Total Operating Expenses (1,137) (37,367) (12.6) (37,315) (11.1)
Income from Operations 2,798 91,962 31.1 104,435 31.4
Non-Operating Income, Net 105 3,455 1.2 6,335 1.9
Investment Gains (Losses) 1 46 -- 702 0.2
Income before Income Tax 2,904 95,463 32.3 111,472 33.5
Income Tax Expenses (182) (5,997) (2.0) (10,949) (3.3)
Net Income 2,722 89,466 30.3 100,523 30.2
Minority Interests (8) (248) (0.1) (590) (0.2)
Net Income Attributable to
Shareholders of the Parent 2,714 89,218 30.2 99,933 30.0
Earnings per Share - Diluted $0.10 $3.44 -- $3.81 --
Earnings per ADR - Diluted (2) $0.52 $17.21 -- $19.05 --
Weighted Average Outstanding
Shares - Diluted ('M) (3) -- 25,914 -- 26,236 --
Note:
(1) Amounts in New Taiwan dollars have been translated into U.S. dollars
at the weighted average rate of NTD 32.868 for the year ended December
31, 2009.
(2) 1 ADR equals 5 ordinary shares.
(3) Total diluted weighted average outstanding shares were 26,236M shares
for the year ended December 31, 2008 after the retroactive adjustment
for stock dividends.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Audited Consolidated Condensed Income Statements
For the Year Ended December 31, 2009 and 2008
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD")(1)
Except for Per Share Amounts and Shares Outstanding)
For the Year Ended December 31
YoY
Amount %
Net Sales ($37,416) (11.2)
Cost of Sales 24,995 (13.1)
Gross Profit (12,421) (8.8)
Operating Expenses
Research and Development Expenses (112) 0.5
General and Administrative Expenses (189) 1.7
Sales and Marketing Expenses 249 (5.3)
Total Operating Expenses (52) 0.1
Income from Operations (12,473) (11.9)
Non-Operating Income, Net (2,880) (45.5)
Investment Gains (Losses) (656) (93.4)
Income before Income Tax (16,009) (14.4)
Income Tax Expenses 4,952 (45.2)
Net Income (11,057) (11.0)
Minority Interests 342 (57.9)
Net Income Attributable to
Shareholders of the Parent (10,715) (10.7)
Earnings per Share - Diluted ($0.37) (9.6)
Earnings per ADR - Diluted (2) ($1.84) (9.6)
Weighted Average Outstanding Shares -
Diluted ('M) (3) -- --
Note:
(1) Amounts in New Taiwan dollars have been translated into U.S. dollars
at the weighted average rate of NTD 32.868 for the year ended December
31, 2009.
(2) 1 ADR equals 5 ordinary shares.
(3) Total diluted weighted average outstanding shares were 26,236M shares
for the year ended December 31, 2008 after the retroactive adjustment
for stock dividends.
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED AND SUBSIDIARIES
Consolidated Condensed Statements of Cash Flows
For the Year Ended December 31, 2009 and for the Three Months Ended
December 31, 2009, September 30, 2009, and December 31, 2008
(Expressed in Millions of New Taiwan Dollars ("NTD") and
U.S. Dollars ("USD")) (1)
2009 4Q 2009 3Q 2009 4Q 2008
(audited) (unaudited)(unaudited)(unaudited)
USD NTD NTD NTD NTD
Cash Flows from Operating
Activities:
Net Income $2,714 $89,218 $32,666 $30,551 $12,446
Net Income
Attributable to
Minority Interest 8 248 194 121 196
Depreciation &
Amortization 2,459 80,815 20,277 20,001 20,961
Deferred Income Tax (53) (1,752) (630) (426) 154
Equity in Losses
(Earnings) of Equity
Method Investees,
Net (1) (46) (299) (454) 340
Changes in Working
Capital & Others (260) (8,517) 9,791 (3,138) 29,147
Net Cash Provided by
Operating Activities 4,867 159,966 61,999 46,655 63,244
Cash Flows from Investing
Activities:
Acquisitions of:
Marketable
Financial
Instruments (1,552) (51,025) (19,979) (20,827) (33,059)
Investments
Accounted for
Using Equity
Method (1) (43) (11) (32) (1)
Property, Plant
and Equipment (2,671) (87,785) (42,715) (32,038) (11,258)
Financial Assets
Carried at Cost (10) (321) (51) (139) (73)
Proceeds from
Disposal or maturity
of:
Marketable
Financial
Instruments 1,338 43,985 16,394 1,886 63,368
Property, Plant
and Equipment 1 24 17 2 24
Financial Assets
Carried at Cost 4 131 37 19 73
Others (44) (1,434) (794) (381) (1,061)
Net Cash Used In
Investing Activities (2,935) (96,468) (47,102) (51,510) 18,013
Cash Flows from Financing
Activities:
Decrease in Guarantee
Deposits (15) (478) (151) (77) (140)
Proceeds from
Exercise of Stock
Options 8 261 70 162 5
Bonus Paid to
Directors and
Supervisors -- -- -- -- --
Repayment of Long-
Term Bonds Payable (243) (8,000) -- -- --
Cash Dividends Paid
for Common Stock (2,339) (76,876) -- (76,876) --
Repurchase of
Treasury Stock -- -- -- -- --
Cash Bonus Paid to
Employees -- -- -- -- --
Others (11) (378) (196) (191) (163)
Net Cash Used in
Financing Activities (2,600) (85,471) (277) (76,982) (298)
Net Increase (Decrease)
in Cash and Cash
Equivalents (668) (21,973) 14,620 (81,837) 80,959
Effect of Exchange Rate
Changes and Others (42) (1,365) (279) (745) 1,209
Cash and Cash Equivalents
at Beginning of Period 5,921 194,614 156,935 239,517 112,446
Cash and Cash Equivalents
at End of Period $5,211 $171,276 $171,276 $156,935 $194,614
Note:
(1) Amounts in New Taiwan dollars have been translated into U.S. dollars
at the weighted average rate of NTD32.868 for the year ended December
31, 2009.
Safe Harbor Notice:
The statements included in this press release that are not historical in nature are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. TSMC cautions readers that forward-looking statements are subject to significant risks and uncertainties and are based on TSMC's current expectations. Actual results may differ materially from those contained in such forward-looking statements for a variety of reasons including, among others, risks associated with cyclicality and market conditions in the semiconductor industry; demand and supply for TSMC's foundry manufacturing capacity in particular and for foundry manufacturing capacity in general; intense competition; the failure of one or more significant customers to continue to place the same level of orders with us; TSMC's ability to remain a technological leader in the semiconductor industry; TSMC's ability to manage its capacity; TSMC's ability to obtain, preserve and defend its intellectual property rights; natural disasters and other unexpected events which may disrupt production; and exchange rate fluctuations. Additional information as to these and other risk factors that may cause TSMC's actual results to differ materially from TSMC's forward-looking statements may be found in TSMC's Annual Report on Form 20-F, filed with the United States Securities and Exchange Commission (the "SEC") on April 17, 2009, and such other documents as TSMC may file with, or submit to, the SEC from time to time. Except as required by law, we undertake no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.
CONTACT:
Elizabeth Sun
Investor Relations Division
TSMC
Email: invest@tsmc.com
Tel: +886-3-568-2085
SOURCE Taiwan Semiconductor Manufacturing Company Limited
| Contact: |
| Taiwan Semiconductor Manufacturing Company Limited
Elizabeth Sun, Investor Relations Division of TSMC Phone: +886-3-568- 2085 Email Contact Web: http://www.tsmc.com |