Morris Chang, the chairman of Taiwan Semiconductor Manufacturing Company, said during a conference in Taipei, Taiwan, said that yield rate of the company’s 40nm manufacturing process is now considerably higher than it was earlier this year. This is a good news for TSMC’s customers who can now deliver their products in higher volumes.

According to the chairman, at present yield rate on the company’s flagship 40nm node is 60% (which means that 60% of chips on a single wafer are fully operational), up considerably from 30% earlier this year. The foundry expects to process around 30 thousand wafers on 40nm in the third quarter, Mr. Chang is reported to have said by DigiTimes web-site.

TSMC also indicated that shipments of 40nm/45nmwafers tripled those of Q1 and surpassed 1% of total wafer sales. Meanwhile, the lion’s share of TSMC’s wafer revenues (35%) comes from wafers made using 150nm or even more mature processes, 110nm/130nm account for 13%, 90nm process technology accounted for 23% of wafer revenues and 65nm/55nm accounted for 28%.

TSMC this week announced consolidated revenue of NT$74.21 billion ($2.263 billion), net income of NT$24.44 billion ($745 million), and diluted earnings per share of NT$0.94 ($0.14 per ADS unit) for the second quarter ended June 30, 2009.

Year-over-year, second quarter revenue decreased 15.8% while net income and diluted EPS decreased 15% and 13.9%, respectively. Compared to first quarter of 2009, second quarter results represent an 87.9% increase in revenue, and an increase of 1467.9% in net income and an increase of 1466.5% in diluted EPS. All figures were prepared in accordance with R.O.C. GAAP on a consolidated basis. Gross margin for the quarter was 46.2%, operating margin was 33.9%, and net margin was 32.9%.

Tags: TSMC, Semiconductor, 40nm