United Microelectronics Tops Q4 Consensus; Sees Market Demand to Exceed Supply

A woman watches a mask—a part used in wafer conception—at a show room of the 12-inch United Microelectronics Corp. (UMC) factory in Tainan, southern Taiwan, on 28 April 2006. (Sam Yeh/AFP via Getty Images)

United Microelectronics Corp. reported fourth-quarter FY21 revenue growth of 30.5 percent year-on-year to $2.14 billion, beating the consensus of $2.08 billion.

“In the fourth quarter, strong demand continued to drive full loading across our fabs, while overall wafer shipments grew 1.7 percent QoQ to 2.55 million 8-inch equivalents,” Co-President Jason Wang said.

Margin

The gross margin expanded 1,520 basis points to 39.1 percent.

Earnings per ADS of $0.235 beat the consensus of $0.210.

The company generated $3.3 billion in operating cash flow during the twelve months ended Dec. 31.

It held $4.8 billion in cash and equivalents.

Outlook

“Looking ahead into Q1 2022, we anticipate that demand across all nodes in UMC’s addressable markets will continue to outpace supply,” Wang said.

By Anusuya Lahiri

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