Hsinchu, Taiwan, November 5, 2024 – GlobalWafers held its board meeting today (November 5, 2024) to approve its financial statements for the third quarter ended on September 30, 2024 with the consolidated revenue reached NT$15.9 billion with 3.6% QoQ and -8.7% YoY; gross profit margin of 30.0%, operating income margin of 20.2%; net profit of NT$3.0 billion with -2.6% QoQ, net profit margin of 18.6%; EPS of NT$6.18. The consolidated revenue for the first three quarters in 2024 reached NT$46.3 billion with -14.1% YoY; gross profit margin of 32.2%, operating income margin of 22.8%; net profit of NT$9.4 billion, net profit margin of 20.2%; EPS of NT$20.19.
Global economic growth is expected to remain modest, supported by strong demand for semiconductors and artificial intelligence (AI) in Asia, growth in the U.S. economy, while Europe faces more significant challenges. Emerging markets confront uncertainties due to geopolitical tensions and extreme climate. Despite softer demand in the automotive and industrial sectors, AI, high-performance computing (HPC), data centers, and personal computing are set to drive semiconductor industry growth in 2025. The semiconductor wafer market has experienced uneven recovery, with 2024 revenue impacted by weak demand in automotive and consumer electronics. Advanced process demand remains strong, but mature process recovery is still limited. Despite customer inventory levels being slightly above average, moderating silicon wafer shipments in 2024, a gradual recovery is anticipated in 2025, fueled by growing AI demand and increased needs for advanced processes. As AI integrated into peripheral devices, it is also expected to boost semiconductor market demand. The demand for sub-3nm nodes and AI technologies is forecasted to grow, prompting fab utilization over the next two years. GlobalWafers is well-positioned to capitalize on this momentum by strategically prioritizing its capital expenditures in advanced and specialty products to meet customer needs and enhance its competitiveness.
Regarding GlobalWafers’ expansion plans in the U.S., the construction of the Greenfield flagship plant, GlobalWafers America (GWA), is progressing on schedule. Additionally, the new tax provisions enacted by the U.S. CHIPS and Science Act have brought positive news for the semiconductor industry. The U.S. Department of the Treasury and the Internal Revenue Service (IRS) recently released the final regulations for the Advanced Manufacturing Investment Credit (AMIC), confirming that semiconductor manufacturing qualifies for a 25% tax credit. This incentive covers semiconductor ingots and wafers, benefiting GlobalWafers’ subsidiaries GWA and MEMC LLC. These significant government incentives are crucial for GlobalWafers’ goal of expanding the U.S. market with customers, enhancing financial flexibility, and creating additional growth opportunities.
GlobalWafers is committed to being a force for shaping a sustainable environment, working alongside supply chain partners to create a sustainable blueprint. On October 30, GlobalWafers held its Supplier Day themed “Green World, We Care!” with nearly 200 suppliers and procurement units in attendance. The event focused on green procurement, carbon management trends, and anti-bribery and anti-corruption measures, etc. By encouraging suppliers to measure their product carbon footprint and improve carbon reduction performance, GlobalWafers aims to unite the supply chain to achieve energy-saving and carbon reduction goals. GlobalWafers’ efforts in advancing ESG performance have garnered significant recognition. GlobalWafers was awarded as one of the “2024 Taiwan FINI 100 Companies,” marking its inclusion on the list for three consecutive years and highlighting continued recognition of its operational excellence by foreign investors. Besides, GlobalWafers has also received the “2024 Excellence in Corporate Social Responsibility Award” and the “CommonWealth Talent Sustainability Award” by the CommonWealth Magazine, showcasing its outstanding achievements in “Corporate Governance”, “Corporate Commitment”, “Social Engagement”, and “Environmental Sustainability”, as well as its dedication to enhancing workforce sustainability. Additionally, GlobalWafers’ initiatives in protecting the health of middle-aged and senior employees have earned it a place in the ” Top 100 DEI Companies for Middle-Aged and Elderly Workforce,” recognized by 104 Job Bank and Business Weekly. GlobalWafers will continue to promote workplace equality by embedding the values of Diversity, Equity, and Inclusion into its corporate DNA, fostering a supportive and inclusive work environment.