TSMC Reports Fourth Quarter EPS of NT$2.81

Hsinchu, Taiwan, R.O.C., January 14, 2016 -- TSMC today announced consolidated revenue of NT$203.52 billion, net income of NT$72.84 billion, and diluted earnings per share of NT$2.81 (US$0.43 per ADR unit) for the fourth quarter ended December 31, 2015.

Year-over-year, fourth quarter revenue decreased 8.5% while net income and diluted EPS both decreased 8.9%. Compared to third quarter 2015, fourth quarter results represent a 4.2% decrease in revenue, and a 3.3% decrease in net income. All figures were prepared in accordance with TIFRS on a consolidated basis.

In US dollars, fourth quarter revenue was $6.24 billion, which decreased 6.4% from previous quarter and decreased 13.7% year-over-year.

Gross margin for the quarter was 48.6%, operating margin was 38.3%, and net profit margin was 35.8%.

Shipments of 16/20-nanometer accounted for 24% of wafer revenues, and 28-nanometer process technology accounted for 25% of total wafer revenues. Advanced technologies, defined as 28-nanometer and more advanced technologies, accounted for 49% of total wafer revenues.

TSMC's 2015 fourth Quarter Consolidated results:
(Unit: NT$ million, except for EPS)

	4Q15 Amount a	4Q14 Amount	YoY Inc. (Dec.) %	3Q15 Amount	QoQ Inc. (Dec.) %
Net Sales	203,518	222,521	(8.5)	212,505	(4.2)
Gross profit	98,925	110,560	(10.5)	102,336	(3.3)
Income from operations	77,964	88,216	(11.6)	78,389	(0.5)
Income before tax	80,644	89,312	(9.7)	83,394	(3.3)
Net income	72,837	79,986	(8.9)	75,330	(3.3)
EPS (NTS)	2.81b	3.08b	(8.9)	2.91b	(3.3)

a: 4Q2015 figures have not bee approved by Board of Directors
b: Based on 25,930 million weighted average outstanding shares