UMC Q3 profit up 24%
UMC, the No.3 foundry, saw Q3 profits up 24% y-o-y at $83m while revenues rose 13% to $975m. Capacity utilisation was 84%.
“Increased 40nm revenue contribution led to higher ASP, which contributed to 3Q revenue growth,” says Dr. Shih-Wei Sun, CEO of UMC, “with the share of 40nm sales growing from 9% to 13% quarter-over-quarter due to solid 40nm chip demand, we anticipate our 15% year-end internal revenue target from 40nm to be achieved ahead of schedule.”
“28nm progress is within our expectation,” adds Sun, UMC successfully taped out a mobile communication product in 3Q using our 28nm high-k/-metal-gate (gate-last) process. Based on our IBM FinFET licensing, UMC has decided to aggressively develop 14nm FinFET technology on 20nm metal. 14nm FinFET will deliver the most optimal low-power and high-performance solution to offset the cost impact from using double patterning lithography.”
On the market, Sun says: ” We expect the present inventory adjustment to continue into early next year.”