GlobalWafers Tag Archive

  • GlobalWafers on Schedule with Sustainability Goals

    GlobalWafers on Schedule with Sustainability Goals

    3 Min Read

    GlobalWafers has been responding to the challenges of global climate risks by dedicating to environmental sustainability in its manufacturing processes, renewable energy adoption and business strategies.

    GlobalWafers took the initiative in 2021 and committed to 100% renewable energy usage by 2050 in its global operations, and formally joined RE100 initiative in 2022 to reaffirm its determination to sustainable operation. As one of the very few semiconductor manufacturers that owns its solar power plants, GlobalWafers actively invests solar power plants to gain more flexibility and advantages in energy use, such as reducing carbon emissions, enhancing operational resilience, and meeting regulatory requirements more effectively. While the demand for clean energy continues to grow, GlobalWafers looks forward to positioning itself for long-term success in a rapidly evolving market.

    GlobalWafers’ commitment to green wafer manufacturing is exemplified by its operation sites in Denmark and Italy. GlobalWafers’ Danish site, Topsil, is poised to become the first semiconductor crystal manufacturing site to utilize its own installed 100% green electricity during 2H of 2024. 

    By constructing a new solar park with an estimated capacity of 10.2MW, the power plant is expected to generate 9,500,000 kWh per year. Accordingly, Topsil is set to produce more electricity than it consumes, marking a significant milestone in GlobalWafers’ green manufacturing process.

    Besides, GlobalWafers’ Italian site, MEMC Electronic Materials S.p.A., is also expected to reach 100% green electricity usage in the 12” new line during the capacity ramp-up stage in 2025. Leveraging power purchase agreements, installation of solar panels, and actively exploring alternative clean energy sources, the Italian site demonstrates GlobalWafers’ multifaceted approach to achieving its RE100 target.

    With its global presence, GlobalWafers emphasizes local supply to minimize transportation distances, consequently reducing the carbon footprint and the potential impact of carbon tariffs, while also mitigating geopolitical risks. In a proactive move, GlobalWafers has implemented Internal Carbon Pricing mechanism, urging each site to consider the environmental impact of its operations. By accounting for the true cost of carbon emissions, GlobalWafers aims to foster a culture of informed decision-making that prioritizes sustainability.

    To showcase solidarity with global transition towards net zero emission, GlobalWafers participates in the “Earth Hour 60” initiative again this year with affiliated group companies. On March 23rd at 8:30 pm, GlobalWafers’ Taiwan sites will switch off unnecessary lights and power-consuming equipment for one hour. This symbolic gesture underscores the GlobalWafers continuous commitment to energy conservation and carbon reduction.

    As the world grapples with the challenges of climate change, GlobalWafers, as a long-term partner of its customers, not only actively considers implementing SBTi, but also remains steadfast in its pursuit of a sustainable environment. By embracing renewable energy, reducing carbon emissions, and strengthening green wafer manufacturing, GlobalWafers is leading the charge towards a greener, more sustainable future.

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  • GlobalWafers Published Full Year 2023 Results

    GlobalWafers Published Full Year 2023 Results

    3 Min Read

    GlobalWafers held its board meeting to approve 2023 financial results.

    FY2023 consolidated revenue reached NT$70.7 billion with YoY 0.5%; gross profit of NT$26.4 billion, with -12.9% YoY, gross profit margin of 37.4%, with -5.8% YoY; operating income of NT$20.1 billion, with -19.7% YoY, operating income margin of 28.4%, with -7.1% YoY; profit before tax of NT$26.5 billion, with 31.8% YoY, profit before tax margin of 37.5%, with 8.9% YoY; net profit of NT$19.8 billion, with 28.6% YoY, net profit margin of 28.0%, with 6.1% YoY; EPS reached NT$45.41, with an increase of more than NT$10 compared with the previous year.

    FY2023 consolidated revenue grew in 3 concessive years and rose to the highest again! FY2023 EPS, profit before tax margin and net profit margin all hit record high.

    Despite the semiconductor industry in 2023 facing a slowdown in global economic and consumer electronics demand, coupled with increased inventory pressure, GlobalWafers benefited from a high proportion of LTAs and maintained high utilization rates for FZ wafers and compound semiconductor wafers, achieving continued growth in revenue throughout the year.

    Looking ahead to 2024, as terminal market inventories are gradually reabsorbed, AI features will progressively integrate into personal computers, tablets, and smartphones, potentially driving a wave of upgrades. In the meantime, the AI ecosystem relies on supports from peripherals and semiconductor components, fueling demands for edge computing, high-performance computing (HPC) and spurring the development of low-power consumption-related components (SiC, ULLD, IGBT…).

    More innovations are expected to be introduced, such as 5G, electrification, smart cockpits, and autonomous driving, contributing to the growth momentum in the semiconductor market. Besides, policies related to energy transition and net-zero carbon emissions in various countries have laid a long-term foundation for the development of compound semiconductors. In 2024, the market is expected to gradually recover, with memory leading the way in releasing signals.

    However, the pace and extent of economic recovery depend on various factors, including different terminal applications and global economic uncertainties such as war, rising shipping costs, interest rate changes, and exchange rate fluctuations. Positioned in the upstream of the semiconductor industry, GlobalWafers anticipates a recovery a quarter or two later than downstream and expects a healthier performance in the second half of the year compared to the first half, considering that customers will prioritize depleting existing inventories.

    With a comprehensive product spectrum ranging from 3” to 12” semiconductor wafers, GlobalWafers is able to cater for customers’ needs to cope with market fluctuations of individual products. Moreover, the Company has carried out expansion plans to get ready for the acceleration toward advanced processes.

    GlobalWafers has become a long-term partner of customers with its focus on sustainability and the unique advantages of highly regionalized deployment that allows the Company to supply products in proximity, reducing the carbon footprint and the impact of carbon tariffs, while also mitigating geopolitical risks. With flexible asset allocation and a sound financial structure, GlobalWafers is resilient to market volatility and continues to create profits through prudent operations.

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  • Sino-American Silicon and GlobalWafers Announced Monthly Revenue for January 2024

    Sino-American Silicon and GlobalWafers Announced Monthly Revenue for January 2024

    2 Min Read

    Sino-American Silicon (SAS) and its semiconductor subsidiary, GlobalWafers, jointly announced their monthly revenues for January 2024. SAS reported a consolidated revenue of NT$ 6.17 billion, reflecting a year-on-year decrease of 7.3%, while GlobalWafers reported a consolidated revenue of NT$ 4.4 billion, indicating a year-on-year decrease of 25.9%.

    The primary reasons for the decline in January revenue compared to the same period last year can be attributed to various factors. Firstly, the impact of the Noto Peninsula earthquake in Japan on January 1st resulted in a delay in the shipment of certain products from GlobalWafers’ Japanese subsidiary, with shipments rescheduled to early February.

    Secondly, GlobalWafers adjusted its shipment plans for January and February to the end of the first quarter in response to customers’ inventory adjustments. Additionally, being positioned in the upstream of the semiconductor industry, the expected recovery timeline for wafer phase is anticipated to be one to two quarters later than downstream, as the majority of customers are still actively reducing existing inventory in the first quarter, with limited increases in capacity utilization.

    According to the prevailing market sentiment, it is anticipated that the semiconductor industry will experience a more pronounced recovery in the second half of the year. We will proactively adjust production capacity and collaborate closely with customers to align with their recovery pace, ensuring a consistent and stable supply to meet customer demand.

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  • GlobalWafers Reports Q3 2023 Results

    GlobalWafers Reports Q3 2023 Results

    3 Min Read

    GlobalWafers held its board meeting to approve its financial statements for the third quarter ended on September 30, 2023 with the consolidated revenue reached NT$17.4 billion with -2.9% QoQ and -3.7% YoY; gross profit of NT$6.4 billion with -5.7% QoQ and -19.4% YoY, gross profit margin of 36.6% with -1.1% QoQ and -7.1YoY; operating income of NT$4.8 billion with -7.4% QoQ, -23.8% YoY, operating income margin of 27.8% with -1.3% QoQ and-7.3% YoY; net profit of NT$5.5 billion with 15.7% QoQ and 8.4% YoY.

    Q323 revenue was impacted by customers’ inventory adjustments, and gross profit decreased slightly compared with Q223 mainly due to depreciation. Yet, along with the rise in the share price of Siltronic AG held by GlobalWafers and other operation performance, Q323 net profit margin of 31.9%, still hit the record high! Additionally, the NT$12.73 EPS recorded its highest performance over the same period! 

    The consolidated revenue for the first three quarters in 2023 reached NT$53.9 billion with 3.8% YoY; gross profit of NT$20.7 billion with -8.1% YoY, gross profit margin of 38.3% with -5.0% YoY; operating income of NT$16.1 billion with -13.3% YoY, operating income margin of 29.9% with -6.0% YoY; net profit of NT$15.3 billion, with 60.1% YoY, net profit margin of 28.4% with 10.0% YoY; EPS of NT$35.22 which was close to the full-year EPS of 2022 ( NT$35.31). For the first three quarters in 2023, GlobalWafers set new highest record in revenue, net profit margin and EPS!

    The board meeting also approved the company to issue unsecured corporate bonds, with total amount not exceeding NT$14 billion. This plan aims to raise medium and long-term capitals to fund various initiatives, including replenish the working capital, support green investment plans, and purchase machine and equipment, etc.

    While alleviated inflation catalyzed by global monetary policy, there are signs of recovery in the semiconductor industry driven by stabilized demand, balanced inventories, and growth in the automotive and industrial sectors. Nevertheless, based on industry cycle experience, since the semiconductor wafers sector is positioned in the upstream of the supply chain, its recovery is still a few months behind the end market.

    The ongoing war, energy crises, and inflation concerns are also casting a shadow over the macro environment. Looking forward to 2024, underpinned by customers’ inventory reabsorption, the emergence of AI and automation, and the expansion of new facilities, an upturn is likely to happen barring any uncertainties such as geopolitics.

    Downturn in the memory market led to production cuts and an increase in average selling prices (ASPs), alongside the adjustment in product mix, bringing equilibrium to the global memory market. Furthermore, technological advancements in compound semiconductors are revitalizing the demand and investment in this sector, further enhancing market penetration.

    As a projected rebound in the semiconductor equipment market in 2024, the increase in downstream equipment investments is expected to stimulate demands for upstream materials. Standing as a reliable provider of a comprehensive product portfolio of high-quality wafers, GlobalWafers will continue to stably supply our customers’ needs. With a strong focus on research and development, GlobalWafers further extends its dedication to providing a full range of SiC and GaN products to meet diverse requirements.

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  • GlobalWafers Showcases its Compound Semiconductor Achievements

    GlobalWafers Showcases its Compound Semiconductor Achievements

    2 Min Read

    “The 31st International Optoelectronics Exposition (OPTO Taiwan)”, organized by Photonics Industry & Technology Development Association, is taking place in Taipei Nangang Exhibition Hall 1 from October 25th to 27th, for a three-day technological extravaganza. As a leading company in semiconductor technology, GlobalWafers unveils its latest achievements in compound semiconductors.

    At this year’s exposition, GlobalWafers features  8”N type SiC crystal growth technology, Thinning technology of  6”and 8”SiC wafers, and high-value niche products in the GaN epitaxy field, demonstrating its technical prowess honed over many years in the compound semiconductor industry. SiC crystal growth presents challenges due to the need for growth in extremely high-temperature sealed environments, with factors like hot zone design and crucible materials in crystal growth furnace adding the complexity to equipment and operations. 

    GlobalWafers independently designs and develops 8”SiC-specific Physical Vapor Transport Method Grower (PVT) to further reduce crystal growth costs while achieving higher material quality control. Through outstanding technical control and production efficiency, as well as continuous research and development, GlobalWafers overcomes the technical challenges of SiC crystal growth, successfully moving forward to 8 inches, providing customers with high-quality, superior-performance SiC materials.

    The high hardness and brittleness of SiC make subsequent wafering process extremely challenging. Leveraging its edge in wafer processing, GlobalWafers has successfully developed SiC ultra-thin thinning technology, showcasing  6” 90µm and 8”350µm ultra-thin polished SiC wafers at the exhibition. Ultra-thin SiC wafers offer advantages in lightweighting, heat dissipation, thermal conductivity, high-frequency operation, component miniaturization, and material costs, making them an ideal choice for high-performance semiconductor devices. 

    GlobalWafers’ SiC wafers include 4”~ 6” semi-insulating wafers and 6”~ 8”conductive SiC wafers, offering a comprehensive range of products to cater for diverse customer needs and expand into various fields of application.

    Heteroepitaxy of GaN poses various technical challenges, such as lattice mismatch, stress, and defects. GlobalWafers focuses on research and development, launching a full range of GaN heteroepitaxy products, including silicon, SiC and sapphire substrates. A variety of substrate selections can meet different requirements and expand terminal applications in an all-round way.

    With its wealth of semiconductor substrate technology and years of industry experience, GlobalWafers has been able to give full play to our strengths and provide more advanced and high-efficiency solutions for the rapidly growing electric vehicle market.

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