07.26.2001
TSMC may post positive 2Q01 EPS at NT$0.03

• Development: TSMC is expected to officially announce 2Q01 results later today. We anticipate the quarter’s EPS to come in around NT$0.03, a sharp decline from NT$0.50 in 1Q01.

• Analysis: The result includes a tax credit of approx. NT$2.5bn. Compared to peers, TSMC will have a more sanguine coming quarter. We forecast a sequential up-tick in revenues for 3Q01 (5%), serving to reverse the current trend.

• Primasia View: The company is extremely well positioned in terms of product mix and cost structure, and will likely outperform peers during the next cyclical upturn.