Taiwan's UMC Q1 net income more than doubles on consumer segment growth

United Microelectronics

29/04/2026 13:03

Overview

Taiwan semiconductor foundry's Q1 revenue rose 5.5% yr/yr, net income more than doubled

Company's gross margin held at 29.2% despite lower average selling prices

UMC expects Q2 wafer shipments to grow by high single digit percentage

Outlook

UMC expects Q2 wafer shipments to grow by high single digit percentage

Company sees strong rebound in communication segment and healthy demand in key markets

Result Drivers

CONSUMER SEGMENT DEMAND - Co said strong growth in the consumer segment drove a 2.7% increase in wafer shipments and lifted utilization rate to 79%

PRODUCT MIX PRESSURE - Decline in blended average selling price partly reflected higher 8-inch wafer shipments, which pressured gross margin

22NM PROCESS MOMENTUM - Demand for 22nm logic and specialty processes continued to gain momentum, with 22nm revenue reaching a record high and accounting for 14% of Q1 revenue

Company press release: ID:nBwp78D1a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
T$61.04 bln
Q1 EPS
T$1.29
Q1 Net Income
T$16.17 bln
Q1 Gross Margin
29.20%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and 2 "sell" or "strong sell"

The average consensus recommendation for the semiconductors peer group is "buy."

Wall Street's median 12-month price target for United Microelectronics Corp is $9.43, about 19.1% below its April 28 closing price of $11.66

The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 20 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)