UMC’s Q2 profit was down 6.3% to $99m on sales which dropped 1.4% to $994m.
“We started to see some deterioration in the summer and the second half will be weaker,” says UMC CEO Sun Shih- wei.
Q3 sales and ASPs are expected to be up ‘marginally’, but Q4 sales and Q1 2013 sales are expected to be lower because of world economic conditions.
Fab capacity utilisation is expected to stay at Q2’s 84%.
Q2 gross margin was 24.4% and is expected to be in the ‘mid-20% range’ in Q3, says UMC.
2012 capex is held at $2bn.