UNITED MICROELECTRONICS CORPORATION TAIPEI, Taiwan, Jan. 27, 2016 /PRNewswire/ --
Fourth Quarter 2015 Overview[1]:
-- Revenue: NT$33.85 billion (US$1.03 billion)
-- Gross margin: 20.6%; operating margin: 5.6%
-- Foundry revenue from advanced nodes: 11% from 28nm, 24% from 40nm
-- Foundry capacity utilization rate: 83%
-- Net income attributable to stockholders of the parent: NT$3.16 billion
(US$96 million)
-- Earnings per share: NT$0.25; earnings per ADS: US$0.038
United Microelectronics Corporation (NYSE: UMC; TWSE: 2303) ("UMC" or "The Company"), a leading global semiconductor foundry, today announced its consolidated operating results for the fourth quarter of 2015.
Fourth quarter consolidated revenue was NT$33.85 billion, a 4.2% decrease from NT$35.32 billion in 3Q15 and a YoY decline of 9.1% from NT$37.24 billion in 4Q14. 4Q15 consolidated gross margin was 20.6%, with operating margin at 5.6%. Net income attributable to stockholders of the parent was NT$3.16 billion, with earnings per ordinary share of NT$0.25. For 2015, full year revenue was NT$144.83 billion, with NT$10.84 billion in operating income, NT$13.45 billion net income attributable to stockholders of parent and NT$1.08 earnings per share.
Po-Wen Yen, CEO of UMC, said "In the fourth quarter of 2015, UMC's foundry revenue declined 4.2% sequentially to NT$33.59 billion, due to continued inventory correction within the semiconductor industry. Wafer shipments reached 1.38 million 8-inch equivalent wafers, bringing overall capacity utilization rate to 83%. Our 28nm technology constituted 11% of 4Q15 revenue. For full year 2015, our foundry revenue grew 9% over 2014, aided by a 5% increase in total manufacturing capacity, higher blended ASP due to increased advanced node contribution and overall loading of approximately 90%. Our 28nm business tripled in 2015, propelled by strong demand from the communication sector. Furthermore, we have introduced a refined 28nm High-K Metal Gate (HKMG) process variation for communication ICs called 28HPC(U), which operates at the same speed range as 28nm HKMG, but with lower standby current to considerably extend battery life. UMC will continue to strengthen our 28nm technology roadmap with enhanced processes that raise chip performance while lowering power consumption. Besides 28nm technologies, we have also observed stronger demand for chips used in the automotive industry, on both 8" and 12" manufacturing processes. UMC customers are now migrating from consumer grade products to more stringent grade 1 and grade 0 semiconductors designed for critical automotive safety functions. These products include power management, display driver, imaging sensors, and microcontrollers. As more products begin to rely on UMC's comprehensive 'Automotive Service Package', our exposure in the automotive supply chain will help generate a new revenue stream for our foundry business."
CEO Yen continued, "We are seeing signs of cyclical bottoming as most of our customers' inventory has returned to reasonable levels. For the first quarter of 2016, we expect our foundry revenue to remain flat. UMC is optimistic on the growth outlook for the foundry industry, led by communication and consumer products. We anticipate positive momentum for our 28nm as new products scheduled to enter production throughout the year provide additional business traction. To meet increased demand, we plan to expand our 12" operations with Tainan Fab 12A phase 5 coming online and Xiamen Fab 12X currently under construction. UMC has budgeted 2016 CAPEX at approximately US$2.2 billion, which will mainly focus on adding 300mm capacity. As a key upstream supplier, we look forward to expanding our involvement in exciting new applications, which will enable UMC to sustain our momentum across the industry."
Summary of Operating Results
Operating Results
-----------------
(Amount: NT$ million) 4Q15 3Q15 QoQ % 4Q14 YoY %
change change
Net Operating Revenues 33,849 35,320 (4.2) 37,235 (9.1)
Gross Profit 6,979 6,911 1.0 10,186 (31.5)
Operating Expenses (5,065) (5,126) (1.2) (5,672) (10.7)
Net Other Operating Income and Expenses (34) (804) (95.8) 18 -
Operating Income 1,880 981 91.6 4,532 (58.5)
Net Non-Operating Income and Expenses 906 410 121.0 843 7.5
Net Income Attributable to Stockholders of the Parent 3,160 1,708 85.0 4,563 (30.7)
EPS (NT$ per share) 0.25 0.14 0.36
(US$ per ADS) 0.038 0.021 0.055
------------ ----- ----- -----
Consolidated revenues in 4Q15 declined 4.2% sequentially to NT$33.85 billion, including NT$33.59 billion from the foundry segment. Gross profit during the quarter grew 1% QoQ to NT$6.98 billion, or 20.6% of revenue. Operating expenses went down 1.2% to NT$5.07 billion. Net other operating expenses decreased 95.8% QoQ to NT$34 million leading to an operating income of NT$1.88 billion, or 5.6% of revenue, up 91.6% from 3Q15. Net non-operating income increased 121% QoQ to NT$0.91 billion compared to NT$0.41 billion in 3Q15. Net income attributable to stockholders of the parent in 4Q15 was NT$3.16 billion, up 85.0% from NT$1.71 billion in 3Q15.
Earnings per ordinary share for the quarter was NT$0.25. Earnings per ADS was US$0.038. The basic weighted average number of outstanding shares in 4Q15 was 12,407,897,412, compared with 12,524,504,594 shares in 3Q15 and 12,509,658,059 shares in 4Q14. The diluted weighted average number of outstanding shares was 13,601,975,910 in 4Q15, compared with 13,694,010,855 shares in 3Q15 and 12,620,712,149 shares in 4Q14. The fully diluted share count on December 31, 2015 was approximately 13,858,726,000. On December 31, 2015, UMC held 334 million treasury shares acquired from the 15th and 16th share buy-back programs.
Detailed Financials Section
COGS & Expenses
---------------
(Amount: NT$ million) 4Q15 3Q15 QoQ % 4Q14 YoY %
change change
--- ------ ------
Net Operating Revenues 33,849 35,320 (4.2) 37,235 (9.1)
COGS (26,870) (28,409) (5.4) (27,049) (0.7)
Depreciation (9,700) (9,654) 0.5 (8,495) 14.2
Other Mfg. Costs (17,170) (18,755) (8.5) (18,554) (7.5)
Gross Profit 6,979 6,911 1.0 10,186 (31.5)
Gross Margin (%) 20.6% 19.6% 27.4%
Operating Expenses (5,065) (5,126) (1.2) (5,672) (10.7)
G&A (916) (942) (2.8) (1,013) (9.6)
Sales & Marketing (1,044) (1,045) (0.1) (1,124) (7.1)
R&D (3,105) (3,139) (1.1) (3,535) (12.2)
Net Other Operating (34) (804) (95.8) 18 -
Income & Expenses
Operating Income 1,880 91.6 (58.5)
981 4,532
--- --- -----
Foundry revenue decreased 4.2% in 4Q15 to NT$33.59 billion, reflecting the IC industry inventory adjustment. Cost of goods sold was NT$26.87 billion, a decline of 5.4% QoQ, which resulted from a 8.5% decrease in other manufacturing costs due to softened demand. 4Q15 gross profit increased 1.0% to NT$6.98 billion, partly due to favorable foreign exchange rates. Operating expenses slightly decreased to NT$5.07 billion. R&D expenses represented 9.1% of operating revenues. Net other operating expenses fell to NT$34 million, resulting in operating income of NT$1.88 billion, up 91.6% from 3Q15.
Non-Operating Income and Expenses
---------------------------------
(Amount: NT$ million) 4Q15 3Q15 4Q14
-------------------- ---- ---- ----
Non-Operating Income and Expenses 906 410 843
Net Interest Income and Expenses (19) (23) (12)
Net Investment Gain and Loss 230 (396) (37)
Gain and Loss on Disposal of Investment 376 612 639
Exchange Gain and Loss (35) 471 201
Other Gain and Loss 354 (254) 52
------------------- --- ---- ---
Net non-operating income in 4Q15 was NT$906 million, including a NT$376 million gain on disposal of investment, NT$354 million in other gains and a NT$230 million gain from net investment.
Cash Flow Summary
-----------------
(Amount: NT$ million) For the 3-Month Period Ended For the 3-Month Period
Ended
Dec. 31, 2015 Sep. 30, 2015
---
Cash Flow from Operating Activities 15,428 16,286
Net Income before tax 2,786 1,391
Depreciation & Amortization 11,938 11,592
Net loss (gain) of financial assets at (61) 321
FVTPL
Share of profit or loss of associates and joint ventures (195) 159
Gain on disposal of investments (376) (612)
Impairment loss on financial assets 22 744
Impairment loss on non-financial assets - 795
Changes in working capital 1,340 2,241
Income tax paid (98) (574)
Other 72 229
Cash Flow from Investing Activities (17,065) (20,416)
Capital expenditures (13,350) (20,227)
Acquisition of available-for-sale financial assets (2,004) (235)
Proceeds from disposal of available-for-sale financial assets 591 645
Acquisition of investments accounted (2,364) (51)
for under the equity method
Proceeds from capital reduction and liquidation of investments 256 294
Changes in other noncurrent assets 73 (589)
Other (267) (253)
Cash Flow from Financing Activities 2,893 (9,822)
Bank loans 2,886 330
Treasury stock acquired - (2,203)
Acquisition of subsidiaries 3 (935)
Cash dividends - (6,939)
Other 4 (75)
Effect of Exchange Rate (109) 2,049
Net Cash Flow 1,147 (11,903)
------------- ----- -------
Cash inflow from operating activities reached NT$15.43 billion. Cash outflow from investing activities totaled NT$17.07 billion, including NT$13.34 billion CAPEX spending for the foundry segment. Acquisition of available for sale financial assets totaled NT$2.00 billion, including NT$1.35 billion to acquire an increasing stake of Mie Fujitsu Semiconductor Limited through its new share issuance. Cash inflow from financing activities was NT$2.89 billion, mainly due to bank loans. Net cash inflow for 4Q15 was NT$1.15 billion. Over the next 12 months, the company expects to repay NT$6.60 billion in bank loans.
Current Assets
--------------
(Amount: NT$ billion) 4Q15 3Q15 4Q14
-------------------- ---- ---- ----
Cash and Cash Equivalents 53.29 52.14 45.70
Notes & Accounts Receivable 19.33 19.76 22.37
Days Sales Outstanding 53 53 54
Inventories, net 17.64 16.56 15.24
Days of Inventory 58 52 50
Total Current Assets 94.82 95.03 96.86
-------------------- ----- ----- -----
Cash and cash equivalents increased to NT$53.29 billion, mainly due to bank loans. The days of inventory increased 6 days to 58 days, mainly due to an increase in WIP for 1Q16 wafer shipments.
Liabilities
-----------
(Amount: NT$ billion) 4Q15 3Q15 4Q14
-------------------- ---- ---- ----
Total Current Liabilities 48.25 44.47 48.11
Notes & Accounts Payable 5.95 6.34 6.17
Short-Term Credit / Bonds 12.11 8.84 10.03
Payable on Equipment 14.66 14.08 10.48
Liabilities directly associated with non-current assets held for sale - - 5.59
Other 15.53 15.21 15.84
Long-Term Credit / Bonds 47.52 47.79 33.40
Long-Term Investment Liabilities 6.06 6.24 -
Total Liabilities 108.55 105.21 88.24
Debt to Equity 47% 47% 39%
-------------- --- --- ---
Current liabilities increased to NT$48.25 billion, primarily from a NT$3.27 billion increase in short-term credit/bonds, leading to total liabilities of NT$108.55 billion. Debt to equity ratio remained at 47%.
Analysis of Revenue[2] for Foundry Segment
Revenue Breakdown by Region
---------------------------
Region 4Q15 3Q15 2Q15 1Q15 4Q14
------ ---- ---- ---- ---- ----
North America 47% 45% 46% 47% 45%
------------- --- --- --- --- ---
Asia Pacific 37% 41% 42% 40% 42%
------------ --- --- --- --- ---
Europe 6% 6% 6% 7% 8%
------ --- --- --- --- ---
Japan 10% 8% 6% 6% 5%
----- --- --- --- --- ---
Revenue contribution from Asia Pacific decreased to 37% in 4Q15, partly from a decline in Asian Pacific customers' demand for communication products.
Revenue Breakdown by Geometry
-----------------------------
Geometry 4Q15 3Q15 2Q15 1Q15 4Q14
-------- ---- ---- ---- ---- ----
28nm and below 11% 10% 11% 9% 7%
-------------- --- --- --- --- ---
28nm
28nm revenue represented 11% of 4Q15 sales, while 40nm revenue accounted for 24%. 65nm contribution increased to 23%, up from 21% in 3Q15.
Revenue Breakdown by Customer Type
----------------------------------
Customer Type 4Q15 3Q15 2Q15 1Q15 4Q14
------------- ---- ---- ---- ---- ----
Fabless 85% 88% 89% 90% 90%
------- --- --- --- --- ---
IDM 15% 12% 11% 10% 10%
--- --- --- --- --- ---
4Q15 revenue from IDM customers increased to 15% of sales.
Revenue Breakdown by Application (1)
-----------------------------------
Application 4Q15 3Q15 2Q15 1Q15 4Q14
----------- ---- ---- ---- ---- ----
Computer 11% 11% 12% 13% 14%
-------- --- --- --- --- ---
Communication 52% 55% 55% 56% 54%
------------- --- --- --- --- ---
Consumer 29% 27% 28% 26% 28%
-------- --- --- --- --- ---
Others 8% 7% 5% 5% 4%
------ --- --- --- --- ---
Revenue from communication segment declined to 52% of 4Q15 sales, partly due to a softer demand in the handset supply chain.
(1) Computer consists of ICs such as CPU, GPU, HDD controllers, DVD/CD-RW control ICs, PC chipset, audio codec, keyboard controller, monitor scaler, USB, I/O chipset. Communication consists of handset components, broadband, WLAN, bluetooth, Ethernet, LAN, DSP, etc. Consumer consists of ICs used for DVD players, DTV, STB, MP3/MP4, flash controller, game consoles, DSC, smart cards, toys, etc.
Blended ASP Trend for Foundry Segment
Blended average selling price (ASP) slightly decreased in 4Q15.
(To view ASP trend, visit http://www.umc.com/english/investors/4Q15_ASP_trend.asp)
Shipment and Utilization Rate[3] for Foundry Segment
Wafer Shipments
---------------
4Q15 3Q15 2Q15 1Q15 4Q14
---- ---- ---- ---- ----
Wafer
Shipments 1,384 1,467 1,536 1,481 1,431
(8" K
equivalents)
-------------
Quarterly Capacity Utilization Rate
-----------------------------------
4Q15 3Q15 2Q15 1Q15 4Q14
---- ---- ---- ---- ----
Utilization
Rate 83% 89% 94% 93% 93%
----------- --- --- --- --- ---
Total
Capacity 1,690 1,685 1,659 1,583 1,577
(8" K
equivalents)
-------------
Wafer shipments declined 5.6% to 1,384K in 4Q15. Quarterly capacity increased to 1,690K, resulting in an overall utilization rate of 83% for the quarter.
Capacity[4] for Foundry Segment
Overall capacity during the fourth quarter increased to 1,690K 8-inch equivalent wafers, due to the continuous expansion at Fab 8N. First quarter's estimated capacity will be approximately 1,692K 8-inch equivalent wafers from capacity deployment at Fab 8N and Fab 8A, along with the recognition of WTK's GaAs quarterly capacity.
Annual Capacity in Quarterly Capacity in
thousands of wafers thousands of wafers
------------------- -------------------
FAB Geometry 2015 2014 2013 2012 FAB 1Q16E 4Q15 3Q15 2Q15
(um)
--- ---
WTK 6" 3.5 - 0.45 311 - - - WTK 105 99 99 113
--- --- ---------- --- --- --- --- --- --- --- --- ---
Fab 6A 6" 3.5 - 0.45 111 448 448 481 Fab 8A 206 204 204 204
------ --- ---------- --- --- --- --- ------ --- --- --- ---
Fab 8A 8" 0.5 - 0.25 813 813 813 815 Fab 8C 87 87 87 87
------ --- ---------- --- --- --- --- ------ --- --- --- ---
Fab 8C 8" 0.35 - 0.11 347 347 347 360 Fab 8D 85 86 86 86
------ --- ----------- --- --- --- --- ------ --- --- --- ---
Fab 8D 8" 0.13 - 0.09 341 358 382 371 Fab 8E 104 105 105 105
------ --- ----------- --- --- --- --- ------ --- --- --- ---
Fab 8E 8" 0.5 - 0.18 418 418 418 449 Fab 8F 97 98 98 98
------ --- ---------- --- --- --- --- ------ --- --- --- ---
Fab 8F 8" 0.18 - 0.11 388 388 388 389 Fab 8S 84 84 84 84
------ --- ----------- --- --- --- --- ------ --- --- --- ---
Fab 8S 8" 0.18 - 0.11 335 335 335 348 Fab 8N 187 183 178 162
------ --- ----------- --- --- --- --- ------ --- --- --- ---
Fab 8N 8" 0.5 - 0.13 667 547 469 - Fab 12A 205 206 206 198
------ --- ---------- --- --- --- --- ------- --- --- --- ---
Fab 12A 12" 0.18 - 0.028 793 700 651 579 Fab 12i 144 144 144 144
------- --- ------------ --- --- --- --- ======= === === === ===
Fab 12i 12" 0.13 - 0.040 572 573 550 537 Total 1,692 1,690 1,685 1,659
------- --- ------------ --- --- --- --- ----- ----- ----- ----- -----
Total(1) 6,617 6,323 6,107 5,514
======= ===== ===== ===== =====
YoY Growth Rate
5% 4% 11% 4%
---
2012 figures account for UMC parent company only.
((1))One 6-inch wafer is converted into 0.5625(6(2)/8(2)) 8-inch equivalent wafer; one 12-inch wafer is converted into 2.25(12(2)/8(2)) 8-inch equivalent wafers. Capacity total figures are expressed in 8-inch equivalent wafers.
CAPEX for Foundry Segment
Capital Expenditure by Year - in US$ billion
--------------------------------------------
Year 2015 2014 2013 2012 2011
---- ---- ---- ---- ---- ----
CAPEX $1.9 $1.4 $1.1 $1.7 $1.6
----- ---- ---- ---- ---- ----
2011~2012 figures account for UMC parent company only
2016 CAPEX Plan
---------------
8" 12" Total
--- --- -----
5% 95% US$2.2 billion
--- --- --------------
4Q15 CAPEX spending was US$410 million. Full year 2015 CAPEX totaled US$1.9 billion including US$190 million for Fab 12X. Foundry capital expenditure budget for 2016 is expected to be approximately US$2.2 billion, mainly for capacity deployment in 300mm facilities.
Brief Summary of Full Year 2015 Consolidated Results
Operating Results
-----------------
(Amount: NT$ million) 2015 2014 YoY %
change
Net Operating Revenues 144,830 140,012 3.4
Gross Profit 31,769 31,853 (0.3)
Operating Expenses (19,969) (21,238) (6.0)
Net Other Operating Income & Expenses (964) (539) 78.8
Operating Income 10,836 10,076 7.5
Net Non-Operating Income & Expenses 2,876 3,437 (16.3)
Income Tax Expense (876) (2,033) (56.9)
Net Income Attributable to Stockholders of the Parent 13,449 12,141 10.8
EPS (NT$ per share) 1.08 0.97
(US$ per ADS) 0.165 0.148
------------ ----- -----
-- Consolidated revenue increased 3.40% YoY to NT$144.83 billion, up from
NT$140.01 billion in 2014. Foundry segment revenue in 2015 increased
9.0% YoY to NT$141.19 billion, up from NT$129.53 billion in 2014.
-- Gross margin was 21.9%, compared to 22.8% in 2014.
-- Operating margin was 7.5%, compared to 7.2% in 2014.
-- Net income attributable to stockholders of the parent was NT$13.45
billion for 2015.
-- EPS was NT$1.08, or EPADS was US$0.165 for 2015.
-- The overall percentage of revenue from 28nm was 10% in 2015, while
revenue from 40nm increased to 24%.
Annual Sales Breakdown in Revenue for Foundry Segment
Region 2015 2014
------ ---- ----
North America 46% 45%
------------- --- ---
Asia Pacific 40% 44%
------------ --- ---
Europe 7% 6%
------ --- ---
Japan 7% 5%
----- --- ---
Technology 2015 2014
---------- ---- ----
28nm and below 10% 3%
-------------- --- ---
28nmFirst Quarter of 2016 Outlook & Guidance
Quarter-over-Quarter Guidance:
-- Wafer Shipments: To remain flat
-- ASP in US$: ASP softness offset by favorable USD to NTD exchange rate
-- Profitability: Gross profit margin will be in high teens % range
-- Foundry Segment Capacity Utilization: Approximately low 80% range
-- 2016 CAPEX for Foundry Segment: US$2.2bn
Recent Developments / Announcements
Nov 17, 2015 UMC's Automotive Semi Revenue Doubles YoY on Strong Customer
Adoption
Nov 13, 2015 UMC Listed on CDP's Climate Disclosure Leadership Index
Oct 28, 2015 UMC 3Q 2015 Financial Results
Please visit UMC's website for further details regarding the above announcements
Conference Call / Webcast Announcement
Wednesday, January 27, 2016
Time:
5:00 PM (Taipei) /4:00
AM (New York) /09:00
AM (London)
Dial-in numbers and Access Codes:
USA Toll Free: 1-800 871-3110, 1-888
700-7397
Taiwan Number: 02-2192-8016
Other Areas: +886-2-2192-8016
Access Code: UMC
A live webcast and replay of the 4Q15 results announcement will be available at
www.umc.com under the "Investors / Events" section.
About UMC
UMC (NYSE: UMC, TWSE: 2303) is a leading global semiconductor foundry that provides advanced IC production for applications spanning every major sector of the electronics industry. UMC's robust foundry solutions enable chip designers to leverage the company's sophisticated technology and manufacturing, which include volume production 28nm gate-last High-K/Metal Gate technology, ultra-low power platform processes specifically engineered for Internet of Things (IoT) applications and the automotive industry's highest-rated AEC-Q100 Grade-0 manufacturing capabilities for production of ICs found in cars. UMC's 10 wafer fabs are strategically located throughout Asia and are able to produce over 500,000 wafers per month. The company employs more than 17,000 people worldwide, with offices in Taiwan, mainland China, Europe, Japan, Korea, Singapore, and the United States. UMC can be found on the web at http://www.umc.com
Note from UMC Concerning Forward-Looking Statements
Some of the statements in the foregoing announcement are forward looking within the meaning of the U.S. Federal Securities laws, including statements about future outsourcing, wafer capacity, technologies, business relationships and market conditions. Investors are cautioned that actual events and results could differ materially from these statements as a result of a variety of factors, including conditions in the overall semiconductor market and economy; acceptance and demand for products from UMC; and technological and development risks. Further information regarding these and other risks is included in UMC's filings with the U.S. Securities and Exchange Commission, including its registration statements and reports on Forms F-1, F-3, F-6 and 20-F and 6-K, in each case as amended. UMC does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
Safe Harbor Statements
This release contains forward-looking statements. These statements constitute "forward-looking" statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by use of words such as "strategy," "expects," "continues," "plans," "anticipates," "believes," "will," "estimates," "intends," "projects," "goals," "targets" and other words of similar meaning. You can also identify them by the fact that they do not relate strictly to historical or current facts.
These forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual performance, financial condition or results of operations of UMC to be materially different from what is stated or may be implied in such forward-looking statements. Investors are cautioned that actual events and results could differ materially from those statements as a result of a number of factors including, but not limited to: (i) our dependence upon the frequent introduction of new services and technologies based on the latest developments in our industry; (ii) the intensely competitive semiconductor, communications, consumer electronics and computer industries and markets; (iii) the risks associated with international global business activities; (iv) our dependence upon key personnel; (v) general economic and political conditions; (vi) possible disruptions in commercial activities caused by natural and human-induced events and disasters, including terrorist activity, armed conflict and highly contagious diseases; (vii) reduced end-user purchases relative to expectations and orders; and (viii) fluctuations in foreign currency exchange rates. Further information regarding these and other risks is included in UMC's filings with the U.S. Securities and Exchange Commission, including its registration statements and reports on Form F-1, F-3, F-6 and 20-F and 6-K, in each case as amended. UMC does not undertake any obligation to update any forward-looking statement as a result of new information, future events or otherwise, except as required under applicable law.
The financial statements included in this release are prepared and published in accordance with TIFRSs recognized by Financial Supervisory Commission in the ROC, which is different from IFRSs issued by the International Accounting Standards Board. Investors are cautioned that there may be significant differences between TIFRSs and IFRSs. In addition, TIFRSs and IFRSs differ in certain significant respects from ROC GAAP and US GAAP.
This presentation is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration or an exemption from registration. Any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer or selling security holder and that will contain detailed information about the company and management, as well as financial statements.
- FINANCIAL TABLES TO FOLLOW -
UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES
Consolidated Condensed Balance Sheet
As of December 31, 2015
Figures in Millions of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
December 31, 2015
-----------------
US$ NT$ %
--- --- ---
Assets
Current assets
Cash and cash equivalents 1,624 53,290 15.8%
Financial assets at fair value through profit or loss, current 20 665 0.2%
Notes & Accounts receivable, net 589 19,332 5.7%
Inventories, net 538 17,641 5.2%
Other current assets 119 3,889 1.2%
Total current assets 2,890 94,817 28.1%
----- ------ ----
Non-current assets
Funds and investments 1,224 40,151 11.9%
Property, plant and equipment 5,682 186,433 55.3%
Other non-current assets 486 15,966 4.7%
Total non-current assets 7,392 242,550 71.9%
----- ------- ----
Total assets 10,282 337,367 100.0%
====== ======= =====
Liabilities
Current liabilities
Short-term loans 168 5,505 1.6%
Financial liabilities at fair value through profit or loss, current 0 1 0.0%
Payables 1,071 35,131 10.4%
Current portion of long-term liabilities 201 6,602 2.0%
Other current liabilities 30 1,007 0.3%
Total current liabilities 1,470 48,246 14.3%
----- ------ ----
Non-current liabilities
Bonds payable 1,269 41,637 12.3%
Long-term loans 179 5,888 1.7%
Other non-current liabilities 390 12,779 3.9%
Total non-current liabilities 1,838 60,304 17.9%
----- ------ ----
Total liabilities 3,308 108,550 32.2%
----- ------- ----
Equity
Equity attributable to the parent company
Capital 3,888 127,581 37.8%
Additional paid-in capital 1,269 41,652 12.3%
Retained earnings, unrealized gain or loss on available-for-sale 1,872 61,383 18.2%
financial assets and exchange differences on translation of
foreign operations
Treasury stock (117) (3,826) (1.1%)
Total equity attributable to the parent company 6,912 226,790 67.2%
Non-controlling interests 62 2,027 0.6%
--- ----- ---
Total equity 6,974 228,817 67.8%
----- ------- ----
Total liabilities and equity 10,282 337,367 100.0%
====== ======= =====
Note New Taiwan Dollars have been translated into U.S. Dollars at the December 31, 2015 exchange rate of NT $32.81 per U.S. Dollar.
UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES
Consolidated Condensed Statements of Comprehensive Income
Figures in Millions of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
Except Per Share and Per ADS Data
Year over Year Comparison Quarter over Quarter Comparison
------------------------- -------------------------------
Three-Month Period Ended Three-Month Period Ended
December 31, 2015 December 31, 2014 Chg. December 31, 2015 September 30, 2015 Chg.
----------------- ----------------- ----------------- ------------------
US$ NT$ US$ NT$ % US$ NT$ US$ NT$ %
--- --- --- --- --- --- --- --- --- ---
Net operating revenues 1,032 33,849 1,135 37,235 (9.1%) 1,032 33,849 1,077 35,320 (4.2%)
Operating costs (819) (26,870) (825) (27,049) (0.7%) (819) (26,870) (866) (28,409) (5.4%)
Gross profit 213 6,979 310 10,186 (31.5%) 213 6,979 211 6,911 1.0%
--- ----- --- ------ ------ --- ----- --- ----- ---
20.6% 20.6% 27.4% 27.4% 20.6% 20.6% 19.6% 19.6%
Operating expenses
- Sales and marketing expenses (32) (1,044) (34) (1,124) (7.1%) (32) (1,044) (32) (1,045) (0.1%)
- General and administrative expenses (28) (916) (31) (1,013) (9.6%) (28) (916) (29) (942) (2.8%)
- Research and development expenses (95) (3,105) (108) (3,535) (12.2%) (95) (3,105) (95) (3,139) (1.1%)
Subtotal (155) (5,065) (173) (5,672) (10.7%) (155) (5,065) (156) (5,126) (1.2%)
---- ------ ---- ------ ------ ---- ------ ---- ------ -----
Net other operating income and expenses (1) (34) 1 18 - (1) (34) (25) (804) (95.8%)
--- --- --- --- --- --- --- ---- ------
Operating income 57 1,880 138 4,532 (58.5%) 57 1,880 30 981 91.6%
5.6% 5.6% 12.2% 12.2% 5.6% 5.6% 2.8% 2.8%
Net non-operating income and expenses 28 906 26 843 7.5% 28 906 12 410 100.0%
--- --- --- --- --- --- --- --- --- -----
Income from continuing operations before 85 2,786 164 5,375 (48.2%) 85 2,786 42 1,391 100.0%
income tax
8.2% 8.2% 14.4% 14.4% 8.2% 8.2% 3.9% 3.9%
Income tax benefit(expense) 9 285 (28) (911) - 9 285 (2) (84) -
--- --- --- ---- --- --- --- --- --- ---
Net income 94 3,071 136 4,464 (31.2%) 94 3,071 40 1,307 100.0%
9.1% 9.1% 12.0% 12.0% 9.1% 9.1% 3.7% 3.7%
Other comprehensive income (loss) 54 1,776 122 4,006 (55.7%) 54 1,776 47 1,543 15.1%
--- ----- --- ----- ------ --- ----- --- ----- ----
Total comprehensive income (loss) 148 4,847 258 8,470 (42.8%) 148 4,847 87 2,850 70.1%
=== ===== === ===== ====== === ===== === ===== ====
Net income attributable to:
Stockholders of the parent 96 3,160 139 4,563 (30.7%) 96 3,160 52 1,708 85.0%
Non-controlling interests (2) (89) (3) (99) (10.1%) (2) (89) (12) (401) (77.8%)
Comprehensive income (loss) attributable to:
Stockholders of the parent 151 4,961 258 8,467 (41.4%) 151 4,961 98 3,215 54.3%
Non-controlling interests (3) (114) 0 3 - (3) (114) (11) (365) (68.8%)
Earnings per share-basic 0.008 0.25 0.011 0.36 0.008 0.25 0.004 0.14
----- ---- ----- ---- ----- ---- ----- ----
Earnings per ADS (2) 0.038 1.25 0.055 1.80 0.038 1.25 0.021 0.70
----- ---- ----- ---- ----- ---- ----- ----
Weighted average number of shares
outstanding (in millions) 12,408 12,510 12,408 12,525
------ ------ ------ ------
Notes:
(1) New Taiwan Dollars have been translated into U.S. Dollars at the December 31, 2015 exchange rate of NT $32.81 per U.S. Dollar.
(2) 1 ADS equals 5 common shares.
UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES
Consolidated Condensed Statements of Comprehensive Income
Figures in Millions of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
Except Per Share and Per ADS Data
For the Three-Month Period Ended For the Twelve-Month Period Ended
December 31, 2015 December 31, 2015
----------------- -----------------
US$ NT$ % US$ NT$ %
--- --- --- --- --- ---
Net operating revenues 1,032 33,849 100.0% 4,414 144,830 100.0%
Operating costs (819) (26,870) (79.4%) (3,446) (113,061) (78.1%)
Gross profit 213 6,979 20.6% 968 31,769 21.9%
--- ----- ---- --- ------ ----
Operating expenses
- Sales and marketing expenses (32) (1,044) (3.1%) (124) (4,064) (2.8%)
- General and administrative expenses (28) (916) (2.7%) (114) (3,730) (2.6%)
- Research and development expenses (95) (3,105) (9.1%) (371) (12,175) (8.4%)
Subtotal (155) (5,065) (14.9%) (609) (19,969) (13.8%)
---- ------ ------ ---- ------- ------
Net other operating income and expenses (1) (34) (0.1%) (29) (964) (0.6%)
--- ----- --- -----
Operating income 57 1,880 5.6% 330 10,836 7.5%
Net non-operating income and expenses 28 906 2.6% 88 2,876 2.0%
--- --- --- --- ----- ---
Income from continuing operations before 85 2,786 8.2% 418 13,712 9.5%
income tax
Income tax benefit(expense) 9 285 0.9% (27) (876) (0.6%)
--- --- --- --- ---- -----
Net income 94 3,071 9.1% 391 12,836 8.9%
Other comprehensive Income (loss) 54 1,776 5.2% (54) (1,795) (1.3%)
--- ----- --- --- ------ -----
Total comprehensive income (loss) 148 4,847 14.3% 337 11,041 7.6%
=== ===== ==== === ====== ===
Net income attributable to:
Stockholders of the parent 96 3,160 9.3% 410 13,449 9.3%
Non-controlling interests (2) (89) (0.2%) (19) (613) (0.4%)
Comprehensive income (loss) attributable to:
Stockholders of the parent 151 4,961 14.7% 357 11,716 8.1%
Non-controlling interests (3) (114) (0.4%) (20) (675) (0.5%)
Earnings per share-basic 0.008 0.25 0.033 1.08
----- ---- ----- ----
Earnings per ADS (2) 0.038 1.25 0.165 5.40
----- ---- ----- ----
Weighted average number of shares 12,408 12,508
outstanding (in millions)
Notes:
(1) New Taiwan Dollars have been translated into U.S. Dollars at the December 31, 2015 exchange rate of NT $32.81 per U.S. Dollar.
(2) 1 ADS equals 5 common shares.
UNITED MICROELECTRONICS CORPORATION AND SUBSIDIARIES
Consolidated Condensed Statement of Cash Flows
For The Twelve-Month Period Ended December 31, 2015
Figures in Millions of New Taiwan Dollars (NT$) and U.S. Dollars (US$)
USD NTD
--- ---
Cash flows from operating activities
:
Net income
before tax 418 13,712
Depreciation &
Amortization 1,386 45,472
Gain on
disposal of
investments (76) (2,496)
Impairment loss
on financial
assets 38 1,245
Impairment loss
on non-
financial
assets 31 1,021
Changes in
notes &
accounts
receivable 105 3,430
Changes in
inventory (58) (1,918)
Changes in
other current
assets 65 2,117
Changes in
assets,
liabilities
and others (8) (197)
Income tax paid (71) (2,343)
--- ------
Net cash
provided by
operating
activities 1,830 60,043
Cash flows from investing activities
:
Acquisition of
available-
for-sale
financial
assets (146) (4,801)
Proceeds from
disposal of
available-
for-sale
financial
assets 60 1,964
Acquisition
ofinvestments
accounted for
under the
equity method (75) (2,475)
Acquisition of
property,
plant and
equipment (1,844) (60,504)
Increase in
refundable
deposits (46) (1,503)
Acquisition of
intangible
assets (33) (1,088)
Increase in
other
noncurrent
assets-others (33) (1,087)
Others 22 758
--- ---
Net cash used
in investing
activities (2,095) (68,736)
Cash flows from financing activities
:
Proceeds from
bonds issued 562 18,425
Proceeds from
long-term
loans 151 4,953
Repayments of
long-term
loans (163) (5,338)
Increase in
other
financial
liabilities 186 6,108
Cash dividends (211) (6,939)
Treasury
stockacquired (67) (2,203)
Others 1 43
--- ---
Net cash
provided by
financing
activities 459 15,049
Effect of
exchange rate
changes on
cash and cash
equivalents 22 722
--- ---
Net increase in
cash and cash
equivalents 216 7,078
Cash and cash
equivalents at
beginning of
period 1,408 46,212
----- ------
Cash and cash
equivalents at
end of period 1,624 53,290
===== ======
Note: New Taiwan Dollars have been translated into U.S. Dollars at the
December 31, 2015 exchange rate of NT $32.81 per U.S. Dollar.
[1]Unless otherwise stated, all financial figures discussed in this announcement are prepared in accordance with TIFRSs recognized by Financial Supervisory Commission in the ROC, which is different from IFRSs issued by the International Accounting Standards Board. They represent comparisons among the three-month period ending Dec 31, 2015, the three-month period ending Sep 30, 2015, and the equivalent three-month period that ended Dec 31, 2014. For all 4Q15 results, New Taiwan Dollar (NT$) amounts have been converted into U.S. Dollars at the Dec 31, 2015 exchange rate of NT$ 32.81 per U.S. Dollar.
[2] Revenue in this section represents wafer sales
[3] Utilization Rate = Quarterly Wafer Out / Quarterly Capacity
[4] Estimated capacity numbers are based on calculated maximum output rather than designed capacity. The actual capacity numbers may differ depending upon equipment delivery schedules, pace of migration to more advanced process technologies, and other factors affecting production ramp-up.
Contacts:
Bowen Huang / David Wong
UMC, Investor Relations
+ 886-2-2658-9168, ext. 16900
bowen_huang@umc.com
david_wong@umc.com
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/umc-reports-fourth-quarter-2015-results-300210498.html
SOURCE United Microelectronics Corporation
