07.27.2001
TSMC's 2Q results in line with expectations

• Development: TSMC announced its 2Q01 results, posting a pretax loss of NT$870m and net profit of NT$310m with EPS of NT$0.01, including a tax credit of NT$1.18bn.

• Analysis: The company's internal B/B ratio has stabilized at 1.0 in 2Q01, up from 0.8 in 1Q01. Morris Chang, TSMC's Chairman, expects the company's revenue to gradually pick up in 3Q01.

• Primasia View: TSMC has manifested strong abilities in adjusting better product mixes and client-side applications over competitors. We recommend positioning this counter as a Core Holding.