TAIPEI, April 16 (Reuters) – Taiwan Semiconductor Manufacturing Co Ltd (TSMC) on Thursday said revenue is likely to fall in the second quarter from the first, due in part to the loss of business at one of its key customers.
The world’s largest contract chip manufacturer expects a decline of 7 percent to 8 percent in April-June. In the three months prior, revenue was flat on quarter but grew 50 percent on year, pushing net profit beyond analyst estimates.
The forecast comes a week after rival Samsung Electronics Co Ltd said it used its own chips in its just-released flagship smartphone instead of chips from Qualcomm Inc, which contracts a large share of its production to TSMC.
“A key customer’s business loss to an IDM … will negatively impact our business,” TSMC Chief Financial Officer Lora Ho said in a quarterly analyst conference, without identifying the IDM or the customer.
