17 slides from Taiwan Semiconductor Manufacturing's earnings presentation, Jan 25, 2007
Slide 1: 2006 Fourth Quarter Results Investor Conference
Proprietary TSMC 2006 Fourth Quarter Results Investor Conference January 25, 2007 © 2007 TSMC, Ltd
Slide 2: Agenda
Agenda Proprietary z Welcome z 2006 4Q Consolidated Financial Results z Q&A P. 2 © 2007 TSMC, Ltd
Slide 3: Safe Harbor Notice
Safe Harbor Notice Proprietary z TSMC’s statements of its current expectations are forward- looking statements subject to significant risks and uncertainties and actual results may differ materially from those contained in the forward-looking statements. z Information as to those factors that could
Slide 4: 4Q'06 Result Highlights
4Q’06 Result Highlights Proprietary (In NT$ Billion) 4Q06 3Q06 4Q05 Net Sales 74.96 82.48 79.23 (1) Net Income 27.91 32.49 33.90 EPS - Diluted (NT$) 1.08 1.26 1.31 Total Assets 587.49 563.35 519.51 Total Liabilities 78.35 81.49 73.27 Shareholders' Equity 509.14 481.86 446.24 Shipment (Kpcs, 8"-equiv
Slide 5: Income Statements
Income Statements Proprietary (In NT$ Billion) 4Q06 3Q06 4Q05 QoQ YoY Net Sales 74.96 82.48 79.23 -9.1% -5.4% COGS (40.51) (41.35) (37.92) -2.0% 4.5% Gross Profit 34.45 41.13 41.31 -16.2% -16.6% Gross Margin 46.0% 49.9% 52.1% Operating Expense (7.05) (7.50) (6.90) -6.1% 2.1% Operating Income 27.40 3
Slide 6: Balance Sheets & Key Indices
Balance Sheets & Key Indices Proprietary Selected Items from Balance Sheets 4Q06 3Q06 4Q05 (In NT$ Billion) Amount % Amount % Amount % Cash & Marketable Securities 195.1 33.2% 164.1 29.1% 145.3 28.0% Accounts Receivable - Trade 31.6 5.4% 37.7 6.7% 38.5 7.4% Inventory 21.4 3.6% 20.3 3.6% 17.7 3.4% Cu
Slide 7: Cash Flows
Cash Flows Proprietary (In NT$ Billion) 4Q06 3Q06 4Q05 - Net Income 27.9 32.5 33.9 - Depreciation & Amortization 19.7 18.4 18.7 - Other Op Sources/(Uses) 5.4 1.8 (2.5) From Operation 53.0 52.7 50.1 - Capital Expenditures (17.6) (28.3) (13.6) - Marketable Financial Instruments (6.7) (8.6) 1.0 - Other
Slide 8: Installed Capacity
Installed Capacity Proprietary 1Q06 2Q06 3Q06 4Q06 2006 1Q07 FAB / (Wafer size) (A) (A) (A) (A) (A) (Est) Fab-2 ( 6") 1 244 258 258 266 1,025 257 Fab-3 ( 8") 246 252 265 258 1,021 259 Fab-5 ( 8") 135 138 147 153 573 144 Fab-6 ( 8") 215 222 233 248 918 235 Fab-7 ( 8") 33 23 4 0 60 0 Fab-8 ( 8") 231 2
Slide 9: Capital Expenditures
Capital Expenditures Proprietary (In US$ Million) 1Q06 2Q06 3Q06 4Q06 YTD* TSMC 344 653 852 561 2,410 TSMC Subsidiaries 12 11 14 10 47 TSMC Consolidated 356 664 866 571 2,457 * YTD CapEx was based on the weighted average exchange rate of NT$32.523 per US dollar. P. 9 © 2007 TSMC, Ltd
Slide 10: Sales Breakdown by Technology
Sales Breakdown by Technology Proprietary 0.50um+ 0.25/0.35um 0.15/0.18um 0.11/0.13um 90nm 100% 4 2 10 17 20 24 24 23 41 41 75% 33 32 29 25 25 25 50% 31 34 35 32 32 32 33 33 25% 18 17 16 14 14 14 13 14 6 6 6 5 5 5 5 5 0% 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 P. 10 © 2007 TSMC, Ltd
Slide 11: Sales Breakdown by Application
Sales Breakdown by Application Proprietary Computer Comm. Consumer Memory Others 100% 6 6 5 1 5 5 5 5 7 2 1 1 1 1 2 3 17 18 18 20 20 23 21 16 75% 37 39 41 41 42 41 44 45 50% 25% 34 38 37 30 32 30 28 32 0% 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 P. 11 © 2007 TSMC, Ltd
Slide 12: Sales Breakdown by Geography
Sales Breakdown by Geography Proprietary N. America Asia Europe Japan 100% 7 6 5 4 4 4 4 4 8 7 9 8 7 6 8 9 8 9 11 11 10 10 11 11 75% 50% 79 77 75 77 78 77 78 78 25% 0% 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 Note: This chart does not reflect the actual shipment destination of sales. P. 12 © 2007 TSM
Slide 13: Sales Breakdown by Customer
Sales Breakdown by Customer Proprietary Fabless/System IDM 100% 31 26 29 28 26 28 29 28 75% 50% 69 74 71 72 74 72 71 72 25% 0% 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 P. 13 © 2007 TSMC, Ltd
Slide 14: 2006 Highlights
2006 Highlights Proprietary (In NT$ Billion Except Noted Otherwise) 2006 2005 YoY % Net Sales 317.41 266.57 19% Net Sales (US$ billion) 9.76 8.29 18% Gross Margin (%) 49.1% 44.3% Net Income 127.01 93.58 36% Net Income (US$ billion) 3.91 2.91 34% EPS - Diluted (NT$) 4.92 3.63 36% Diluted Earnings per
Slide 15: 1Q'07 Guidance
1Q’07 Guidance Proprietary ¾ Revenue to be between NT$62 billion and NT$64 billion ¾ Gross profit margin to be between 37% and 39% ¾ Operating profit margin to be between 26% and 28% ¾ 2007 capital expenditure to be in the range of US$2.6 billion to US$2.8 billion P. 15 © 2007 TSMC, Ltd
Slide 16: Recap of Recent Major Events
Recap of Recent Major Events Proprietary ¾ NXP Semiconductors and TSMC Strengthen R&D Cooperation and Manufacturing Partnership (2007/01/16) ¾ TSMC Welcomes Government Approval for 0.18 Micron Generation Technology Transfer to China (2006/12/29) ¾ TSMC won 6 awards at the IR Magazine Hong Kong and T
Slide 17: Contact: tsmc.com, invest@tsmc.com
Proprietary http://www.tsmc.com invest@tsmc.com © 2007 TSMC, Ltd