United Microelectronics Clocks 25% Revenue Growth In Q3, Notes Margin Expansion - United Microelectronics (NYSE:UMC)

United Microelectronics Corp UMC reported third-quarter FY21 revenue growth of 24.6% year-on-year to $2.01 billion (NT$55.91 billion), beating the consensus of $1.95 billion.
"In the third quarter, we continued to experience robust chip demand across computing, consumer, and communication end segments, Co-President Jason Wang said.
Higher 12" wafer shipments in the quarter reflected ongoing product mix enhancements and partially contributed to the lift in blended ASP.
Overall wafer shipments grew 2.6% Q/Q to 2.50 million 8-inch equivalents.
Margins: The gross margin expanded 1,500 basis points to 36.8%. The operating margin expanded by 1,120 basis points to 27.1%.
Earnings per ADS of $0.257 beat the consensus of $0.2.
The company generated $2.3 billion in operating cash flow during the nine months ended September 30.
It held $4.1 billion in cash and equivalents.
Outlook: "Looking into the fourth quarter, we anticipate wafer shipments and the ASP trend will remain firm," Wang said.
"Capacity utilization across 8" and 12" facilities will continue to remain fully loaded, as gross margin continues to exhibit upward momentum, thanks to our team's efforts in optimizing capacity productivity and product mix," Wang added.
Price Action: UMC shares traded higher by 4.21% at $11.14 in the premarket session on the last check Wednesday.