United Microelectronics (NYSE: UMC) reported a 12.6% increase in second-quarter revenue, reaching TWD 68.73 billion, boosted by strong demand in communications and consumer applications. Wafer shipments rose by 10.6% to 1.13 million 12-inch wafer equivalents, while gross margin improved to 32.5% and utilization increased to 85% from 79%. The net income for the quarter was TWD 42.26 billion, equating to TWD 3.39 per share.
For the first half of 2026, revenue totaled TWD 129.77 billion, an 11.3% year-over-year increase. Looking ahead, UMC anticipates high-single-digit growth in wafer shipments for the third quarter, with expected utilization above 90%. The company has increased its 2026 capital expenditure budget to $2 billion—up from $1.5 billion—to support expansion in silicon photonics and advanced packaging.
Additionally, UMC’s ongoing collaboration with Intel for a 12nm process is progressing, with designs expected to be ready by late 2026 and significant production anticipated in 2028. Management noted that AI-related revenue could approach $300 million in 2026, with potential to exceed $1 billion within three years.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
