- UMC (UMC, Financial) reports Q1 2025 revenue of NT$57.86 billion, a 4.2% decline from Q4 2024
- 22nm revenue surges by 46% quarter-over-quarter due to high demand for various chips
- New Singapore fab inaugurated to boost 22nm production, with volume production set for early 2026
United Microelectronics Corporation (UMC), a key player in the semiconductor manufacturing industry, announced its financial results for the first quarter of 2025. The company's revenue for Q1 2025 stood at NT$57.86 billion (US$1.74 billion), marking a 4.2% decrease from the previous quarter's NT$60.39 billion. However, this figure represents a 5.9% increase compared to the same period last year.
UMC's gross margin for Q1 2025 was reported at 26.7%, with an operating margin of 16.9%. The company's net income attributable to shareholders was NT$7.78 billion (US$234 million), with earnings per share of NT$0.62.
A significant driver of UMC's performance was the record high revenue from its 22/28nm manufacturing processes, which constituted 37% of total sales. This was fueled by a 46% quarter-over-quarter increase in 22nm revenues, driven by strong demand for OLED display driver ICs, image signal processors, and chips used in digital TV, WiFi, and audio codecs.
To support future growth in its 22nm production capacity, UMC inaugurated a new fab in Singapore earlier this month. The facility, which will enhance UMC's geographic diversification and supply chain resilience, is expected to commence volume production by early 2026.
Looking ahead, UMC anticipates a moderate rebound in demand across all segments in the second quarter. The company is also focused on navigating the challenges presented by recent tariff announcements by closely aligning with customer forecasts and advancing key technology projects, including a 12nm collaboration with a U.S. partner.
Additionally, UMC's board has proposed a cash dividend of NT$2.85 per share, pending shareholder approval. The company's capacity utilization rate for Q1 2025 was noted at 69%, a slight dip from the previous quarter's 70%.
