Taipei, Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker, said Friday that its sales for July rose more than 5 percent from a month earlier, with market analysts attributing the growth to the peak season effect.
In July, TSMC posted NT$74.37 billion (US$2.43 billion) in consolidated sales, up 5.6 percent from a month earlier. Analysts said the chipmaker benefited from moves by its customers to build up inventories during the current peak season, and TSMC witnessed demand for chips on its advanced 7-nanometer process growing.
The July figure was also up 3.9 percent from a year earlier, according to TSMC.
The latest monthly sales were the third-lowest so far this year, only higher than NT$70.44 billion in June and NT$64.64 billion in February, indicating that the peak-season effect for TSMC was not very significant.
In an investor conference held in mid-July, TSMC said the sales for the third quarter could be affected by slower global demand for mining devices used for cryptocurrency transactions.
TSMC had given its third-quarter guidance, saying its revenue for the three-month period would range between US$8.45 billion and US$8.55 billion, up about 8 percent from a quarter earlier.
However, a computer virus attack that took place Aug. 3, which interrupted TSMC's production, is expected to drag down the third- quarter sales by less than 2 percent.
TSMC said the sales loss in the third quarter is expected to be made up in the fourth quarter, so it has left unchanged its sales target of a year-on-year 7 percent-9 percent increase for the whole of 2018.
In the first seven months of this year, TSMC's consolidated sales rose 7 percent from a year earlier to NT$555.73 billion, according to the chipmaker.
Source: Focus Taiwan News Channel