“Generally speaking, demand for Vanguard’s foundry services will increase at a constant rate this quarter, greatly enhancing order visibility,” Vanguard chairman Fang Leuh (方略) told investors in an online conference. Revenue from 0.18 micron and more-advanced technology made up 52 percent of Vanguard’s revenue last quarter following five consecutive quarters of increases, the company said. Vanguard plans to hike prices by a low-teen percentage this quarter from last quarter, given the favorable supply-demand environment and increases in manufacturing costs, it said. To alleviate a supply crunch, Vanguard said it plans this quarter to add about 8,000 wafers a month of capacity at its Taoyuan fab. Gross margin is expected to improve to between 44 and 46 percent this quarter, after reaching a 14-year high of 40.9 percent last quarter, Vanguard said.

Source: Taipei Times August 03, 2021 15:56 UTC