UMC Reports First Quarter 2026 Results

Business traction on 22nm continues to gain momentum, accounting for 14% of Q1 revenue

Expect Q2 wafer shipments to grow by high single digit

First Quarter 2026 Overview¹:

• Revenue: NT$61.04 billion (US$1.93 billion)
• Gross margin: 29.2%; Operating margin: 18.5%
• Revenue from 22/28nm: 34%
• Capacity utilization rate: 79%
• Net income attributable to shareholders of the parent: NT$16.17 billion (US$511 million)
• Earnings per share: NT$1.29; earnings per ADS: US$0.204

TAIPEI, Taiwan-- April 30, 2026 -- United Microelectronics Corporation (NYSE: UMC; TWSE: 2303) (“UMC” or “The Company”), a leading global semiconductor foundry, today announced its consolidated operating results for the first quarter of 2026.

First quarter consolidated revenue was NT$61.04 billion, decreasing 1.2% from NT$61.81 billion in 4Q25. Compared to a year ago, 1Q26 revenue increased 5.5%. Consolidated gross margin for 1Q26 was 29.2%. Net income attributable to the shareholders of the parent was NT$16.17 billion, with earnings per ordinary share of NT$1.29.

Jason Wang, CEO of UMC, said, “In the first quarter, our wafer shipments increased 2.7% quarter-on-quarter on strong growth in the consumer segment, lifting overall utilization rate to 79%. Despite a decline in blended average selling price during the quarter, which partly reflected higher 8-inch wafer shipments, gross margin held firm at 29.2%. Demand for our 22nm logic and specialty processes continues to gain momentum, with 22nm revenue reaching another record high and accounting for 14% of first-quarter revenue. By the end of this year, over 50 customers will have completed tape-outs on our 22nm platforms for a diverse range of applications, including display driver ICs, networking chips, and microcontrollers. We continue to invest in next-generation technologies – beyond 22nm, our 12nm collaboration with Intel will provide customers with technology continuity as well as a U.S.-based manufacturing option. UMC also recently announced important developments in emerging businesses, including a strategic partnership to deploy thin-film lithium niobate (TFLN) photonics for AI infrastructure.”

CEO Wang added, “Going into the second quarter, we expect strong wafer shipment growth across both 8-inch and 12-inch portfolios, supported by a strong rebound in the communication segment as well as healthy demand across computer, consumer, and industrial markets. While the current memory supply shortage and the ongoing conflict in the Middle East are creating certain headwinds and market volatility, UMC continues to foresee resilient market demand. UMC will continue to monitor industry and macroeconomic developments closely while prudently managing our business to cope with market dynamics amid evolving semiconductor landscape changes.”

CEO Wang said, “UMC’s long-term commitment to corporate sustainability was once again recognized in S&P Global’s annual Sustainability Yearbook. With only 848 out of 9,200 large corporations selected for the 2026 Yearbook, UMC was awarded the ‘Top 1%’ highest ranking within the Semiconductor and Semiconductor Equipment sector. Last month, we also announced a MoU with Infineon to drive reduction of greenhouse gas emissions across our shared supply chain. With value chain (Scope 3) emissions the largest share of a company’s total emissions, and also the most complex to address, collaboration with our partners is essential as we strive towards our goal of achieving net zero emissions by 2050. We are pleased to join forces with Infineon to accelerate decarbonization action among our common suppliers.”

Summary of Operating Results

Operating Results

(Amount: NT$ million)	1Q26	4Q25	QoQ % change	1Q25	YoY % change
Operating Revenues	61,038	61,810	(1.2)	57,859	5.5
Gross Profit	17,818	18,958	(6.0)	15,447	15.4
Operating Expenses	(7,099)	(7,384)	(3.9)	(6,123)	15.9
Net Other Operating Income and Expenses	557	651	(14.5)	462	20.4
Operating Income	11,276	12,225	(7.8)	9,786	15.2
Net Non-Operating Income and Expenses	5,367	3,278	63.8	(439)	-
Net Income Attributable to Shareholders of the Parent	16,171	10,055	60.8	7,777	107.9
EPS (NT$ per share)	1.29	0.81		0.62
(US$ per ADS)	0.204	0.129		0.093
Exchange rate (USD/NTD)	31.63	31.40		33.18
Note：Sums may not equal totals due to rounding.

First quarter operating revenues declined 1.2% sequentially to NT$61.04 billion. Revenue contribution from 40nm and below technologies represented 52% of wafer revenue. Gross profit declined 6.0% QoQ to NT$17.82 billion, or 29.2% of revenue. Operating expenses decreased 3.9% to NT$7.10 billion. Net other operating income decreased 14.5% to NT$0.56 billion. Net non-operating income totaled NT$5.37 billion. Net income attributable to shareholders of the parent amounted to NT$16.17 billion.

Earnings per ordinary share for the quarter was NT$1.29. Earnings per ADS was US$0.204. The basic weighted average number of shares outstanding in 1Q26 was 12,491,206,358, compared with 12,487,002,150 shares in 4Q25 and 12,484,780,989 shares in 1Q25. The diluted weighted average number of shares outstanding was 12,583,475,228 in 1Q26, compared with 12,594,788,681 shares in 4Q25 and 12,579,207,466 shares in 1Q25. The fully diluted shares counted on March 31, 2026 were approximately 12,583,475,000.

Detailed Financials Section

Operating revenues decreased to NT$61.04 billion. COGS increased 0.9% QoQ to NT$43.22 billion. Gross profit decreased 6.0% QoQ to NT$17.82 billion. Operating expenses decreased 3.9% QoQ to NT$7.10 billion, as R&D decreased 7.3% to NT$4.58 billion and G&A decreased 1.0% to NT$1.83 billion, while Sales & Marketing increased 15.8% to NT$0.69 billion. Net other operating income was NT$0.56 billion. In 1Q26, operating income decreased 7.8% QoQ to NT$11.28 billion.

COGS & Expenses

(Amount: NT$ million)	1Q26	4Q25	QoQ % change	1Q25	YoY % change
Operating Revenues	61,038	61,810	(1.2)	57,859	5.5
COGS	(43,219)	(42,851)	0.9	(42,412)	1.9
Depreciation	(13,719)	(12,991)	5.6	(12,321)	11.3
Other Mfg. Costs	(29,500)	(29,860)	(1.2)	(30,091)	(2.0)
Gross Profit	17,818	18,958	(6.0)	15,447	15.4
Gross Margin (%)	29.2	30.7		26.7
Operating Expenses	(7,099)	(7,384)	(3.9)	(6,123)	15.9
Sales & Marketing	(689)	(595)	15.8	(619)	11.3
G&A	(1,834)	(1,853)	(1.0)	(1,542)	18.9
R&D	(4,575)	(4,937)	(7.3)	(3,964)	15.4
Expected Credit Impairment Gain	0	0	2,150.0	2	(98.1)
Net Other Operating Income & Expenses	557	651	(14.5)	462	20.4
Operating Income	11,276	12,225	(7.8)	9,786	15.2
Note：Sums may not equal totals due to rounding.

Net non-operating income in 1Q26 was NT$5.37 billion, primarily reflecting the NT$5.00 billion in net investment gain and the NT$0.30 billion in exchange gain.

Non-Operating Income and Expenses

(Amount: NT$ million)	1Q26	4Q25	1Q25
Non-Operating Income and Expenses	5,367	3,278	(439)
Net Interest Income and Expenses	88	134	219
Net Investment Gain and Loss	4,997	2,812	(769)
Exchange Gain and Loss	303	332	115
Other Gain and Loss	(20)	0	(5)

Note：Sums may not equal totals due to rounding.

In 1Q26, cash inflow from operating activities was NT$21.98 billion. Cash outflow from investing activities totaled NT$21.35 billion, including NT$13.16 billion in capital expenditures, resulting in free cash flow of NT$8.83 billion. Cash outflow from financing activities was NT$3.69 billion, primarily due to NT$3.04 billion in bank loans. Net cash outflow in 1Q26 amounted to NT$1.64 billion. Over the next 12 months, the company expects to repay NT$6.68 billion in bank loans.

Cash Flow Summary

(Amount: NT$ million)	For the 3-Month Period Ended Mar. 31, 2026	For the 3-Month Period Ended Dec. 31, 2025
Cash Flow from Operating Activities	21,981	33,003
Net income before tax	16,644	15,503
Depreciation & Amortization	15,987	15,630
Share of profit of associates and joint ventures	(2,815)	(929)
Income tax paid	(464)	(301)
Changes in working capital & others	(7,370)	3,100)
Cash Flow from Investing Activities	(21,348)	(17,059)
Increase in financial assets measured at amortized cost	(7,101)	(3,074)
Acquisition of PP&E	(12,526)	(14,826)
Acquisition of investments accounted for under the equity method	(643)	-
Acquisition of intangible assets	(681)	(667)
Others	(397)	1,508)
Cash Flow from Financing Activities	(3,686)	(11,416)
Bank loans	(3,039)	(20,885)
Bonds issued	-	9,800
Others	(647)	(331)
Effect of Exchange Rate	1,411	1,915
Net Cash Flow	(1,641)	6,443
Beginning balance	110,660	104,217
Ending balance	109,019	110,660

Note：Sums may not equal totals due to rounding.

Cash and cash equivalents decreased to NT$109.02 billion. Days sales outstanding increased 3 days to 50 days, while days of inventory increased 3 day to 80 days.

Current Assets

(Amount: NT$ billion)	1Q26	4Q25	1Q25
Cash and Cash Equivalents	109.02	110.66	106.35
Accounts Receivable	35.60	31.27	34.80
Days Sales Outstanding	50	47	54
Inventories, net	38.65	37.23	35.43
Days of Inventory	80	77	77
Total Current Assets	216.44	204.78	192.32

Current liabilities decreased to NT$79.61 billion. Long-term credit / bonds increased to NT$47.17 billion. Total liabilities decreased to NT$193.20 billion, while debt to equity ratio decreased to 47%.

Liabilities

(Amount: NT$ billion)	1Q26	4Q25	1Q25
Total Current Liabilities	79.61	87.60	72.87
Accounts Payable	9.07	9.17	9.27
Short-Term Credit / Bonds	22.89	27.60	17.63
Payables on Equipment	7.98	11.68	8.46
Other	39.67	39.15	37.51
Long-Term Credit / Bonds	47.17	45.37	44.63
Total Liabilities	193.20	199.14	182.13
Debt to Equity	47%	52%	47%

Analysis of Revenue²

Revenue from Asia Pacific increased to 65%, while business from North America remained at 21% of sales. Business from Europe decreased to 9%, while contribution from Japan increased to 5%.

Revenue Breakdown by Region

Region	1Q26	4Q25	3Q25	2Q25	1Q25
North America	21%	21%	25%	20%	22%
Asia Pacific	65%	64%	63%	67%	66%
Europe	9%	11%	8%	8%	7%
Japan	5%	4%	4%	5%	5%

Revenue contribution from 22/28nm decreased to 34% of wafer revenue, while 40nm contribution increased to 18% of sales.

Revenue Breakdown by Geometry

Geometry	1Q26	4Q25	3Q25	2Q25	1Q25
14nm and below	0%	0%	0%	0%	0%
14nm<x<=28nm	34%	36%	35%	40%	37%
28nm<x<=40nm	18%	17%	17%	15%	16%
40nm<x<=65nm	18%	17%	18%	17%	16%
65nm<x<=90nm	8%	8%	8%	7%	8%
90nm<x<=0.13um	7%	7%	8%	7%	7%
0.13um<x<=0.18um	10%	10%	9%	9%	10%
0.18um<x<=0.35um	4%	4%	4%	4%	5%
0.5um and above	1%	1%	1%	1%	1%

Revenue from fabless customers accounted for 86% of revenue.

Revenue Breakdown by Customer Type

Customer Type	1Q26	4Q25	3Q25	2Q25	1Q25
Fabless	86%	80%	81%	81%	82%
IDM	14%	20%	19%	19%	18%

Revenue from the communication segment accounted for 39%, while business from computer applications was 12% of sales. Business from consumer applications accounted for 32%, while other segments was 17% of revenue.

Revenue Breakdown by Application ⁽¹⁾

Application	1Q26	4Q25	3Q25	2Q25	1Q25
Computer	12%	12%	12%	11%	11%
Communication	39%	42%	42%	41%	40%
Consumer	32%	28%	29%	33%	34%
Others	17%	18%	17%	15%	15%

(1) Computer consists of ICs such as CPU, GPU, HDD controllers, DVD/CD-RW control ICs, PC chipset, audio codec, keyboard controller, monitor scaler, USB, I/O chipset, WLAN. Communication consists of handset components, broadband, bluetooth, Ethernet, LAN, DSP, etc. Consumer consists of ICs used for DVD players, DTV, STB, MP3/MP4, flash controller, game consoles, DSC, smart cards, toys, etc.

Blended ASP Trend

(To view blended ASP trend, please click here for 1Q26 ASP)

Shipment and Utilization Rate³

Wafer shipments increased 2.7% QoQ to 1,021K during the first quarter, while quarterly capacity was 1,283K. Overall utilization rate in 1Q26 was 79%.

Wafer Shipments

	1Q26	4Q25	3Q25	2Q25	1Q25
Wafer Shipments (12” K equivalents)	1,021	994	1,000	967	910

Quarterly Capacity Utilization Rate

	1Q26	4Q25	3Q25	2Q25	1Q25
Utilization Rate	79%	78%	78%	76%	69%
Total Capacity (12” K equivalents)	1,283	1,305	1,305	1,290	1,264

Capacity⁴

Total capacity in the first quarter was 1,283K 12-inch equivalent wafers. Capacity will increase to 1,305K 12-inch equivalent wafers in the second quarter of 2026.

Annual Capacity in thousands of wafers

FAB		Geometry (um)	2025	2024	2023	2022
WTK	6"	5 – 0.15	317	331	328	335
8A	8"	3 – 0.11	857	829	811	765
8C	8"	0.35 – 0.11	500	477	473	459
8D	8"	0.18 – 0.11	471	473	440	410
8E	8"	0.6 – 0.11	522	524	490	469
8F	8"	0.18 – 0.11	583	578	570	550
8S	8"	0.18 – 0.11	466	455	447	443
8N	8"	0.5 – 0.11	996	1,013	996	952
12A	12"	0.13 – 0.014	1,629	1,556	1,305	1,170
12i	12"	0.13 – 0.040	684	678	655	655
12X	12"	0.080 – 0.022	347	318	317	314
12M	12"	0.13 – 0.040	471	455	438	436
Total(1)			5,163	5,022	4,674	4,458
YoY Growth Rate			3%	7%	5%	6%

Quarterly Capacity in thousands of wafers

FAB		2Q26E	1Q26	4Q25	3Q25
WTK	6"	80	78	80	80
8A	8"	215	212	215	215
8C	8"	125	123	125	125
8D	8"	118	116	118	118
8E	8"	131	129	131	131
8F	8"	146	144	146	146
8S	8"	117	115	117	117
8N	8"	250	246	250	250
12A	12"	409	402	409	409
12i	12"	172	169	172	172
12X	12"	95	93	95	95
12M	12"	119	117	119	119
Total		1,305	1,283	1,305	1,305

⁽¹⁾ One 6-inch wafer is converted into 0.25 (6²/12²) 12-inch equivalent wafer; one 8-inch wafer is converted into 0.44 (8²/12²) 12-inch equivalent wafers. Total capacity figures are expressed in 12-inch equivalent wafers.

CAPEX

CAPEX spending in 1Q26 totaled US$416 million. 2026 cash-based CAPEX budget will be US$1.5 billion.

Capital Expenditure by Year - in US$ billion

Year	2025	2024	2023	2022	2021
CAPEX	$ 1.6	$ 2.9	$ 3.0	$ 2.7	$ 1.8

 2026 CAPEX Plan

8"	12"	Total
10%	90%	US$1.5 billion

Second Quarter 2026 Outlook & Guidance

Quarter-over-Quarter Guidance:

• Wafer Shipments: Will increase by high-single digit
• ASP in USD: Will increase by low-single digit
• Gross Profit Margin: Approximately 30%
• Capacity Utilization: low-80% range
• 2026 CAPEX: US$1.5 billion

Recent Developments / Announcements

Feb. 23, 2026	UMC Again Ranks Top 1% in the Semiconductor Industry in S&P Global Sustainability Yearbook 2026
Feb. 25, 2026	UMC Announces Key Changes in Executive Leadership
Feb. 25, 2026	UMC Board of Directors Announces Proposals for its Annual Shareholders Meeting
Mar. 04, 2026	Infineon and UMC Partner in Driving Decarbonization Across the Supply Chain
Mar. 11, 2026	Adeia and UMC Expand Long-Term Collaboration in Hybrid Bonding Technologies
Mar. 12, 2026	HyperLight, UMC, and Wavetek Announce Strategic Partnership for High-Volume Foundry Production of TFLN Chiplet™ Platform
Mar. 13, 2026	HyperLight and UMC Collaborate with Jabil to Bring TFLN Photonics to Data-Center Scale Deployment
Mar. 20, 2026	UMC Earns Intel’s 2026 EPIC Supplier Award
Apr. 21, 2026	UMC earns highest “AAA” rating in MSCI ESG Ratings

Please visit UMC’s website for further details regarding the above announcements

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About UMC

UMC (NYSE: UMC, TWSE: 2303) is a leading global semiconductor foundry company. The company provides high-quality IC fabrication services, focusing on logic and various specialty technologies to serve all major sectors of the electronics industry. UMC’s comprehensive IC processing technologies and manufacturing solutions include Logic/Mixed-Signal, embedded High-Voltage, embedded Non-Volatile-Memory, RFSOI, BCD etc. Most of UMC’s 12-in and 8-in fabs with its core R&D are in Taiwan, with additional ones throughout Asia. UMC has a total of 12 fabs in production with a combined capacity of more than 400,000 wafers per month (12-in equivalent), and all of them are certified with IATF 16949 automotive quality standards. UMC is headquartered in Hsinchu, Taiwan, plus local offices in the United States, Europe, China, Japan, Korea, and Singapore, with a worldwide total of 20,000 employees. For more information, please visit: http://www.umc.com.