Monday, February 18th 2019

TSMC Revises Financial Outlook, Accounts for January Chemical Contamination and Lost Silicon

TSMC has revised its financial outlook following the recent contamination of its 14 B Gigafab, which saw between 10,000 and 30,000 wafers affected. It seems that TSMC has needed to scrap a higher number of wafers than it had initially calculated (no word on where exactly on those 10,000-30,000 spectrum that number is). This has resulted in an expected, lowered first-quarter 2019 revenues by about US$550 million, gross margin by 2.6%, operating margin by 3.2%, and EPS (Earnings Per Share) by NT$0.42, the foundry house said.

TSMC said it expects to deliver these chips in the second quarter, making up for most of the lost revenue - it's not so much of a loss, but more of a delay in earnings. As it comes to the actual, final impact of the event on TSMC's operating profits, the company estimates a reduced gross margin by 0.2%, operating margin by 0.2%, and EPS by NT$0.08. TSMC said that it has been in constant conversation with customers, and has already scheduled replacement deliveries - surprising absolutely no one.
Source: DigiTimes
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3 Comments on TSMC Revises Financial Outlook, Accounts for January Chemical Contamination and Lost Silicon

#1
NdMk2o1o
So a proverbial fart in the wind really :laugh:
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#2
Tsukiyomi91
"intentional self-inflicting industrial sabotage" is what they say?? well, not surprised. :laugh:
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