| MANHASSET, N.Y. — Chartered Semiconductor Manufacturing (Singapore) reported net income of $16.2 million on sales of $257.3 million in its third quarter, compared with a net loss of $75.9 million on sales of $137.7 million in the year-ago quarter. |
Chartered said revenue met guidance and increased 87 percent from a year ago, due to an increase in volume shipments of 0.13-micron technology products. Revenue, however, increased only slightly from $255.8 million the previous quarter as communications industry business slumped.
"Since the second half of June, we started seeing weakness from customers that could be broadly categorized into changes in product mix and inventory build-up related to specific customers," said George Thomas, vice president & chief financial officer of Chartered, in a statement.
Third-quarter capacity utilization was 89 percent, compared to 59 percent in the year-ago quarter, and 90 percent in the second quarter.
During the quarter, Chartered announced it would begin pilot work on qualifying 65-nm process technology. The company is already qualifying 90-nm technology through an alliance with IBM.
Chartered expects fourth-quarter revenue to fall to approximately $193 million, as a slowdown in orders extends to the company's computer and consumer customers.