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Wednesday, May 10, 2017
TSMC's April Revenue Decreased

Taiwan Semiconductor Manufacturing Company's (TSMC) revenues for April 2017 fell to a new low in 37 months, as iPhone demand slumps in the lead-up to one of Apple's most anticipated devices in years.

TSMC reported consolidated revenues of NT$56.87 billion (US$1.88 billion) for April 2017, down 33.8% sequentially and 14.9% on year. Revenues totaled NT$290.79 billion for the first four months of 2017, rising 7.6% from a year earlier.

TSMC expects to post an 8-9% sequential drop in consolidated revenues for the second quarter of 2017. Demand will be weaker than the prior quarter due to supply chain inventory management during the second quarter and mobile product seasonality, said TSMC SVP and CFO Lora Ho.

Apple this month reported a surprise drop in iPhone sales, underscoring the need to upgrade the iPhone, due late 2017. This year's redesigned 10th-anniversary iPhone is said to feature an all-screen front and a cutting-edge organic light-emitting diode (OLED) display.

TSMC, Apple's main chip-maker, is also facing rising competition in chips from Samsung Electronics, as it remains less dominant in processors for Android smartphones.

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