United Microelectronics (UMC) experienced a significant pre-market surge of 13.17%, reflecting strong investor interest in the semiconductor foundry.
The rally was primarily driven by the company's robust first-quarter financial results, which showed a net profit of NT$16.17 billion, representing a 108% year-over-year increase that significantly exceeded market expectations. Management confirmed positive wafer pricing trends, with an 8% year-over-year rise in average selling price in Q1 and guidance for a further 5%-7% increase in the second quarter, supported by resilient demand and a tightening capacity environment.
Additionally, the recent launch of UMC's new 14nm eHV FinFET platform for next-generation OLED display driver ICs, which offers 40% lower power consumption and 35% chip area savings, further bolstered its competitive positioning in specialty technologies, contributing to the upward momentum.