United Microelectronics (UMC) Q3 2020 earnings summary

Executive summary

• Q3 revenue rose 18.9% YoY and 1.1% QoQ to NT$44.870bn; net income increased 364.8% YoY and 48.9% QoQ to NT$9.010bn.

• 9M revenue reached NT$131.525bn, with operating income of NT$16.393bn and net income of NT$16.291bn.

Financial highlights

• Q3 gross profit was NT$9.769bn, up 51.9% YoY; operating income was NT$7.133bn, up 184.3% YoY.

• Q3 net non-operating income was NT$2.074bn, versus a NT$532m loss in Q3 2019; net other operating income and expenses were NT$2.872bn.

• 9M net cash provided by operating activities was NT$49.673bn; net income before tax was NT$16.692bn.

Key financial ratios and metrics

• Q3 gross margin was 21.8%, versus 17.1% YoY and 23.1% QoQ; operating margin was 15.9%, versus 6.7% YoY and 13.2% QoQ.

• Q3 net margin was 20.1%, versus 5.1% YoY and 13.6% QoQ; basic EPS was NT$0.75, versus NT$0.25 YoY and NT$0.55 QoQ.

• 9M gross margin was 21.4%, operating margin 12.5%, net margin 12.4%, and basic EPS NT$1.50.