Jan. 19, 2012 (China Knowledge) - Taiwan
Semiconductor Manufacturing Co or TSMC, the world's largest contract chip maker by revenue, reaped NT$31.58 billion or US$1.06 billion in net profit in the fourth quarter of 2011, reflecting a year-on-year drop of 22% from NT$40.72 billion.
The profit forecast made by eight economists at Dow Jones Newswires was NT$30.92 billion, sources reported.
The Taiwanese company's revenue for the fourth quarter stood at NT$104.7 billion, 4.9% less than NT$110.14 billion it realized in the same quarter of 2010 or in the firm's previous forecast range between NT$103 billion and NT$105 billion.
In the three months ending December. 31, 2011, TSMC saw its gross margin amount to 44.7%, compared with the firm's projected gross margin range between 42.5% and 44.5% in the first quarter of 2012.
In the first quarter of this year, TSMC aims to reach between NT$103 billion and NT$105 billion in revenue.
The contract chip maker trimmed its capital expenditure forecast twice last year to US$7.3 billion, more than projected capital expenditure of US$6 billion for 2012, said TSMC, adding that it has also reduced forecast for global chip industry growth this year to 2% from previous between 3% and 5%.