Taiwan’s United Microelectronics Corp. said Wednesday net profit in the three months to June fell 6.3 percent year-on-year to Tw$2.99 billion ($99.3 million) and issued a weak demand warning.
However, UMC, the world’s second biggest contract microchip maker by revenue, said the second-quarter figure was more than double the previous three months’ profit of Tw$1.34 billion.
“In the second quarter, UMC’s results exceeded our expectations,” company chief executive officer Sun Shih-wei said in a statement.
Wafer shipments rose 18.6 percent from the previous quarter, with momentum coming mainly from the communication and consumer sectors, he said.
But the company was cautious regarding the outlook as the European debt crisis prompted customers to cut supply chain inventory, he said.