Foundries UMC (2303-TW) Today (10), it was announced that January revenue was 20.473 billion yuan, an increase of 0.95% month-on-month and an increase of 31.83% year-on-year. It was the second consecutive month that it exceeded the 20 billion yuan mark and hit a new high.
Looking forward to the first quarter, UMC estimates that wafer shipments will be flat, and ASP willU.S. dollarPricing will increase by 5% from the previous quarter, the capacity utilization rate will be maintained at 100%, and the gross profit margin will be estimated at 40%. UMC’s ASP increased by 14-16% last year, and it is estimated that it will maintain a similar range this year.
UMC is optimistic that driven by applications such as 5G, electric vehicles and the Internet of Things, it will drive structural demand growth. The industry is in an upward cycle. In order to ensure production capacity, many customers have also signed long-term contracts one following another.
UMC also raised its revenue growth forecast for this year. UMC pointed out that although the demand for digital transformation driven by home working has slowed, the momentum of 5G, automotive, and AIoT has continued to strengthen. With the high-end capacity utilization rate and the increase in price increases, the estimated output value of foundries has been raised to an increase of regarding 20%, and UMC’s revenue growth will be similar to or higher than that of the industry.
