UMS Holdings

[GreedandFear]

Applied Materials posted net sales of $2.19B for Q1 2014 vs $1.99B in Q4 2013 and $1.57B in Q1 2013. Business outlook is positive :

"Business Outlook
For the second quarter of fiscal 2014, Applied expects net sales to be up 3 percent to 10 percent from the previous quarter. Non-
GAAP adjusted diluted EPS is expected to be in the range of 25 cents to 29 cents."

Maybe UMS has further to go....

(Vested)

[Nick]

Applied Materials posted net sales of $2.19B for Q1 2014 vs $1.99B in Q4 2013 and $1.57B in Q1 2013. Business outlook is positive :

"Business Outlook
For the second quarter of fiscal 2014, Applied expects net sales to be up 3 percent to 10 percent from the previous quarter. Non-
GAAP adjusted diluted EPS is expected to be in the range of 25 cents to 29 cents."

Maybe UMS has further to go....

(Vested)

We will get a better idea tomorrow when they release their 2Q 2014 results.

[GreedandFear]

Applied Materials posted net sales of $2.19B for Q1 2014 vs $1.99B in Q4 2013 and $1.57B in Q1 2013. Business outlook is positive :

"Business Outlook
For the second quarter of fiscal 2014, Applied expects net sales to be up 3 percent to 10 percent from the previous quarter. Non-
GAAP adjusted diluted EPS is expected to be in the range of 25 cents to 29 cents."

Maybe UMS has further to go....

(Vested)

We will get a better idea tomorrow when they release their 2Q 2014 results.

Whoops - I screwed up....I thought these were the results :-(

[Boon]

Status of Regulatory Approvals/Submissions on AMAT + TEL merger, extracted from the following document filed by AMAT to SEC dated 14 May 2014

Definitive proxy statement relating to merger or acquisition (Form DEFM14A) http://investors.appliedmaterials.com/ph...p=irol-sec

(vested)
_________________________________________________________________________________________________________________________________________________________

Antitrust and Other Regulatory Approvals (page 137)

……………………. Pursuant to the Business Combination Agreement, Applied and TEL have made or will make filings under:
— the Hart-Scott-Rodino Antitrust Improvements Act (United States);
— the Antimonopoly Law (China);
— the Act Against Restrictions of Competition (Germany);
— the Restrictive Trade Practices Law (Israel);
— the Act on Prohibition of Private Monopolization and Maintenance of Fair Trade (Japan);
— the Monopoly Regulation and Fair Trade Law (South Korea); and
— the Fair Trade Law (Taiwan).

The antitrust laws referred to in the preceding bullet points are referred to in this document as the “ Specified Antitrust Laws .”

In addition, Applied and TEL have submitted a joint voluntary notice under the Exon-Florio Amendment to the Defense Production Act of 1950 pursuant to their obligations under the Business Combination Agreement to seek a written notice from CFIUS clearing the Business Combination (which written notice is described in greater detail in the definition of “CFIUS Approval” set forth in Exhibit A to the Business Combination Agreement and is referred to in this
document as the “CFIUS Approval”). On February 20, 2014, the CFIUS Approval was obtained.

REGULATORY APPROVALS RELATED TO THE BUSINESS COMBINATION (page 150)

Competition and Antitrust
General

Applied’s and TEL’s obligations to consummate of the Business Combination are subject to satisfaction of the Antitrust Condition (which is summarized under “The Business Combination Agreement—Closing Conditions—Conditions to All Parties’ Obligations to Consummate the Business Combination”). The Antitrust Condition requires the expiration of all waiting periods imposed by, and the obtaining of all governmental authorizations required under, the Specified Antitrust Laws (that is, the antitrust laws of the United States, China, Germany, Israel, Japan, South Korea and Taiwan). Satisfaction of the Antitrust Condition depends on such expirations occurring and such approvals being obtained without the imposition of a Substantial Detriment (which is summarized under “ The Business Combination Agreement—Covenants—Antitrust and Other Regulatory Approvals” beginning on page 137 of this document).

At any time before consummation of the Business Combination, the Federal Trade Commission, the Antitrust Division of the U.S. Department of Justice (which is referred to in this document as the “ Antitrust Division”), non-U.S. competition authorities or others could take action under antitrust laws with respect to the Business Combination, including seeking to enjoin consummation of the Business Combination, or to condition approval of the Business Combination on the divestiture of assets of Applied, TEL or their respective subsidiaries or to impose restrictions on the operations of HoldCo, Applied, TEL or their respective subsidiaries that would apply after consummation of the Business Combination. Private parties may also bring objections or legal actions under antitrust laws under certain circumstances.

There can be no assurance that the Business Combination will not be challenged on antitrust grounds or, if such a challenge is made, that the challenge will not be successful. Similarly, there can be no assurance that Applied or TEL will obtain the antitrust approvals necessary to consummate the Business Combination and the other transactions contemplated by the Business Combination Agreement or that the granting of these approvals will not involve the imposition of conditions to such consummation. These conditions or changes could result in the conditions to Applied’s and TEL’s obligations to consummate the Business Combination not being satisfied prior to the Business Combination end date (which is summarized above under “ The Business Combination Agreement—Termination of the Business Combination Agreement—Termination by Either Applied or TEL” beginning on page 145 of this document) or any extensions thereof, which would give Applied or TEL the right to terminate the Business Combination Agreement without consummating the Business Combination.

See “The Business Combination Agreement—Covenants—Antitrust and Other Regulatory Approvals ” beginning on page 137 of this document and “The Business Combination Agreement—Closing Conditions—Conditions to All Parties’ Obligations to Consummate the Business Combination ” beginning on page 141 of this document for information concerning Applied’s and TEL’s covenants and closing conditions related to antitrust filings and approvals.

United States Antitrust Clearance

The expiration or termination of the applicable waiting periods under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (which is referred to in this document as the “ HSR Act”) and the rules thereunder is a required condition to consummation of the Business Combination. Under the HSR Act, the Business Combination may not be consummated until the expiration or termination of a 30-day waiting period following the filing of notification and report forms with the Antitrust Division and the Federal Trade Commission (unless early termination of this waiting period is granted) or, if the Antitrust Division or the Federal Trade Commission issues a request for additional information, commonly known as a “second request”, 30 days after Applied and TEL have each substantially complied with such request for additional information (unless this period is shortened pursuant to a grant of earlier termination).

Applied and TEL filed their respective notification and report forms pursuant to the HSR Act with the Antitrust Division and the Federal Trade Commission on November 12, 2013. On December 12, 2013, the Antitrust Division issued a second request, and Applied and TEL are continuing to work cooperatively with the Antitrust Division staff as it conducts its review of the proposed Business Combination.

Japan Antitrust Clearance

The receipt of a clearance decision from the Japanese Fair Trade Commission (which is referred to in this document as the “ JFTC”) or the expiration of the review period, in each case, under Chapter 4 of the Act on Prohibition of Private Monopolization and Maintenance of Fair Trade, as amended, and the relevant provisions of the Cabinet Ordinance and Regulations for the Law (which are referred to collectively in this document as the “ Japan Antimonopoly Law”) is a required condition to consummation of the Business Combination.

Applied and TEL submitted formal notification to the JFTC under the Japan Antimonopoly Law on March 12, 2014. On April 11, 2014, the JFTC announced that it opened a secondary review of the transaction, and Applied and TEL are continuing to work cooperatively with the JFTC as it conducts its review of the proposed Business Combination.

China Antitrust Clearance

The approval of the Business Combination by the Ministry of Commerce of the People’s Republic of China (which is referred to in this document as “MOFCOM”) under the Chinese Anti-Monopoly Law of 2008 is a required condition to consummation of the Business Combination. Under the Chinese Anti-Monopoly Law of 2008, transactions involving parties with sales above certain revenue levels cannot be completed until they are reviewed and approved
by MOFCOM.

Applied and TEL filed their respective notification and report forms under the Chinese Anti-Monopoly Law of 2008 on November 15, 2013. On January 26, 2014, MOFCOM accepted the filing to begin its formal review. Applied and TEL are continuing to work cooperatively with MOFCOM as it conducts its review of the proposed Business Combination.

Antitrust Clearance in Other Jurisdictions

Applied and TEL also derive revenues in other jurisdictions where antitrust filings or antitrust approvals are or may be required. It is currently expected that the only such filings or approvals that are required or will be sought are those under the Specified Antitrust Laws (that is, the antitrust laws of the United States, China, Germany, Israel, Japan, South Korea and Taiwan). With respect to antitrust laws, Applied’s and TEL’s obligations to consummate the Business Combination are subject only to expiration of waiting periods imposed by, or obtaining requisite approvals under, the Specified Antitrust Laws, though other antitrust filings or approvals (such as under the antitrust laws of Singapore) are being or may be sought by Applied or TEL.

On December 4, 2013, Applied and TEL obtained the consent to the Business Combination of the Controller of Restrictive Trade Practices of Israel under the Restrictive Trade Practices Law.

CFIUS, FEFTA and Other Regulatory Approvals

Applied’s and TEL’s obligations to consummate the Business Combination are subject to satisfaction of the CFIUS Condition (which is summarized under “The Business Combination Agreement—Closing Conditions —Conditions to All Parties’ Obligations to Consummate the Business Combination” beginning on page 141 of this document), which involves the review and approval of the Business Combination by CFIUS under the Exon-Florio Amendment to the Defense Production Act of 1950 (which is referred to in this document as the “ Exon-Florio Amendment ”) without the imposition of conditions that would reasonably be expected to have a material adverse effect on HoldCo. Under the Exon-Florio Amendment, the President of the United States is authorized to prohibit or suspend acquisitions, mergers or takeovers by non-U.S. persons of persons engaged in interstate commerce in the United States if the President determines, after investigation, that such non-U.S. persons in exercising control of such acquired persons might take action that threatens to impair the national security of the United States and that other provisions of existing law do not provide adequate authority to protect national security.

On February 20, 2014, the CFIUS Approval was obtained. Accordingly, the CFIUS condition has been satisfied

In addition, under the Foreign Exchange and Foreign Trade Act (which is referred to in this document as “ FEFTA”), the Minister of Finance and other ministers who supervise the subject business are authorized to prohibit or suspend acquisitions by a foreign investor of Japanese companies engaged in the production of certain categories of semiconductor manufacturing and testing equipment if the ministers determine, after investigation, that such acquisitions by a foreign investor impairs national security of Japan and meet other requirements. TEL is required to file a notification of inward direct investment ( tainai chokusetu toushi tou) with the Bank of Japan, and Applied and TEL are required to use their reasonable best efforts to obtain the approval from the relevant ministers, subject to such efforts not resulting in a Substantial Detriment (which is summarized under “ The Business Combination Agreement —Covenants—Antitrust and Other Regulatory Approvals—Reasonable Best Efforts and Limitations ” beginning on page 138 of this document). However, obtaining such approval is not a condition to the parties’ obligations to consummate the Business Combination.

In addition to CFIUS and FEFTA, other governmental bodies may have jurisdiction over HoldCo, Applied, TEL or the other persons involved in the Business Combination. In addition to their obligations to seek specifically identified governmental and regulatory approvals, Applied and TEL have general obligations to use commercially reasonable efforts to cause the transactions contemplated by the Business Combination Agreement to be consummated, which may include obligations to seek governmental or regulatory approvals other than those identified above. Additionally, Applied’s and TEL’s obligations to consummate the Business Combination are subject to the absence of orders preventing or restraining consummation of the Business Combination by courts or governmental bodies and the absence of certain legal proceedings brought by governmental bodies related to the Business Combination. See “ The Business Combination Agreement—Covenants—Antitrust and Other Regulatory Approvals” beginning on page 137 of this document for further information regarding Applied’s and TEL’s obligations to seek approvals and consummate the Business Combination. See “The Business Combination Agreement—Closing Conditions—Conditions to All Parties’ Obligations to Consummate the Business Combination ” beginning on page 141 of this document for further information on the closing conditions related to absence of orders and legal proceedings by governmental bodies.

[Boon]

TSMC, Samsung competing to roll out more advanced processes

Josephine Lien, Taipei; Steve Shen, DIGITIMES [Thursday 15 May 2014]

Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung Electronics are competing to bring more advanced processes to the market, with TSMC eager to promote its 16nm FinFET Plus process, and Samsung planning to push ahead its advanced 14nm LPP (low power plus) process, according to industry sources.

TSMC is ready to begin volume production for 16nm FinFET process by the end of 2014, but it has already rolled out an upgraded version, the 16nm FinFET Plus, the sources said.

TSMC aims to completely migrate to upgraded version in the future, but as some clients have entered design-in process using the older version, 16nm FinFET volume production will still go ahead as scheduled, added the sources.

The 14nm processes being developed by Samsung, Intel and Globalfoundries, respectively, may enable better performance for devices, but TSMC's 16nm FinFET process has a cost advantage, the sources indicated.

Following the steps of TSMC, Samsung also plans to advance the launch of its 14nm LPP process, while bringing its 14nm LPE (low power early) node into volume production soon, the sources said.

The 14nm FinFET LPP process is better than the 14nm LPE technology in terms of overall performance and power consumption, said the sources.

http://www.digitimes.com/news/a20140514PD208.html

(vested)

[Boon]

AMAT's 2Q2014 result (ending 27 April 2014) has just been released.

"Applied gained 1.4 points of wafer fab equipment market share in 2013 as we enabled major technology inflections for our customers with our unique capabilities in precision materials engineering," said Gary Dickerson, president and CEO. "We are also delivering significant improvements in our financial performance and have expanded our operating margins to their highest level in nearly three years."

SSG : Revenue (USD million):
1Q2013 = 969
2Q2013 = 1,291
3Q2013 = 1,272
4Q2013 = 1,243
1Q2014 = 1,484
2Q2014 = 1,584 ( 22.7% higher than 2Q2013 ; 6.7% higher than 1Q2014)

SSG : New Orders (USD million)
1Q2013 = 1,363
2Q2013 = 1,551
3Q2013 = 1,203
4Q2013 = 1,390
1Q2014 = 1,569
2Q2014 = 1,664 ( 7.3% higher than 2Q2013 ; 6% higher than 1Q2014)

SSG : Backlog (USD million)
1Q2013 = 1,071
2Q2013 = 1,265
3Q2013 = 1,173
4Q2013 = 1,320
1Q2014 = 1,366
2Q2014 = 1,452 ( 14.8% higher than 2Q2013 ； 6.3% higher than 1Q2014)

Overall, a good set of results - it looks like FY2014 is shaping up to be a better year than FY2013 as projected by many industry experts.

(vested)

[Boon]

Key Points from AMAT’s 2Q2014 results briefings:
1) On AMAT + TEL, the Management believes that they will receive regulatory approval for the merger in the second half of this year.
2) On recently reported 3D chip push outs (customers have delayed plans for additional production capacity for 20-nanometers following a strong initial ramp due to yield issues) – the Management believes there is a little bit of pushes and shoves, maybe a little bit of softness people have talked about, but overall the Management feel pretty good about AMAT’s position.
3) The Management maintains its view that 2014 wafer fab equipment could be up 10% to 20% relative to last year.
4) AMAT’s PVD business gained 7 points of share in the year 2013
5) On the New Endura-Volta-CVD- Cobalt-system, the cobalt liner is integrated on the same platform with the PVD chambers – the Management expects very strong adoption in logic and foundry for really all of the customers and that will add a fair amount of business with incremental revenue in 2014 – anticipate gaining several points of market share.
6) On third quarter business outlook – Management expects SSG net sales to be down 2% to 6% - this range represents expected growth of 17% to 22% year-over-year.
7) Management sees pretty good strength in the second half - the FinFET stuff is okay - the foundry spending is more spread out – incremental spending from non-top-three customers
8) As we approach the midpoint of the year, Management sees that 2014 is playing out largely as expected with global trends in mobility, connectivity……………………..

http://seekingalpha.com/article/2221853-...art=single

Implications for UMS
a) Endura systems represent the PVD platform of AMAT’s products. AMAT’s PVD business gained 7 points of share in the year 2013 – presumably, market share gained in 2013 would be maintained in 2014 - hence, this has been good for UMS who acts as the near-exclusive assembly and testing services provider for AMAT's Endura system.
b) Centura systems represent the CVD platform of AMAT’s products. It is beyond me (too technical I suppose) as to why the new cobalt liner of the new product is integrated on the PVD chambers (hence Endura) and not the CVD platform of Centura. Anyway, as the new product is going to result in incremental revenue for AMAT - it would be positive for UMS.
c) As the transition from planar to 3-D (VNAND and FinFET) gather pace, it could mean more PVD business for AMAT/UMS.
d) If merger of AMAT + TEL gets approved, potentially it could mean more jobs for UMS.

(vested)

[Boon]

Applied Materials Surges 8%: Big Sigh of Relief in Uneven Equipment Market

May 16, 2014, 5:04 P.M. ET
.
By Tiernan Ray

Shares of Applied Materials (AMAT) closed up $1.52, or 8%, at $20.21, today, after the company yesterday reported fiscal Q2 revenue and earnings per share in line with consensus, and forecast this quarter’s revenue growth slightly below consensus but profit per share in line.

The report was a big sigh of relief for investors after equipment maker KLA-Tencor (KLAC) in late April said its outlook for this quarter was brought lower by delays at Taiwan Semiconductor Manufacturing (TSM) making novel 3-D transistors known as “FinFet.” Still, most commenting today write that even a decent outlook for Applied still implies some softness in the equipment market at present because of FinFet and also the push-outs of 3-D NAND flash memory chips by Samsung Electronics (005930KS).

The outlook for the company is made somewhat more complicated by the fact Applied is in the process of closing on its merger with Tokyo Electron (8035JP), announced back in September. The company last night reiterated an expectation the deal will close in the middle of this year.

There are no ratings changes today, that I can see, and most price targets are staying put, but there are some changes to estimates up and down.

Bullish!

Patrick Ho, Stifel Nicolaus: Reiterates a Buy rating, and a $23 price target. “While the operating model results should not have been a major surprise given this current management team’s past performance, we believe the key takeaway here is the 2Q14 operating model results bode very favorably on the company delivering on its target model for the combined Applied-Tokyo Electron entity. We remain positive that this deal will close (we still believe sometime in 2H14, perhaps in the December quarter) and based on the results and near-term outlook, we believe the company will be able to execute and deliver on its target model of the combined company. In fact, we have cited the strong accretion potential in the combined company and this view was strengthened following the call. The integration of Tokyo Electron remains the key variable in driving not only revenue but also earnings growth.” Ho trimmed his 2014 estimates to $9.03 billion in revenue and $1.15 in EPS from a prior $9.16 billion and $1.21.

Tammy Qiu, Berenberg Capital Markets: Reiterates a Buy rating and a $23 price target. ” Applied Materials (AMAT) has delivered a solid FY Q2 thanks to strong DRAM and logic orders, which were offset by a decline in foundry and NAND demand. We believe CY Q2 is likely to be a light quarter for the semi-equipment industry because FinFET-related spending from Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung is unlikely to start until Q3, and larger orders will only be seen in Q4 or Q1 2015. At the same time, Samsung’s 3D NAND capex is still on hold [...] LAM Research and AMAT have guided that their CY Q2 will be in line with the street’s expectations, while ASML and KLA have both missed Q2 guidance. We believe the discrepancy arose because ASML’s and KLA’s tools are usually bought before AMAT’s and LAM’s tools. The completion of TSMC’s 20nm and phase one 3D NAND in Samsung, and the delays in both 16nm building in TSMC and phase two 3D NAND in Samsung caused the weakness in ASML and KLA. AMAT and LAM, however, were still receiving orders related to TSMC’s 20nm [...] CY Q2 is likely to be a light quarter for the semi-equipment industry For the next quarter, all semi-equipment players have guided a lower CY Q2.” Qiu reiterated a view for $9.42 billion in revenue this year and $1.18 per share.

Atif Malik, Citigroup: Reiterates a Buy rating, and a $22 price target. “AMAT’s silicon revenue guide of down 4% qq was better than KLAC’s down 12% qq and below LRCX’s +1% qq due to more balanced foundry and memory sales exposure. AMAT remains our #1 semi cap pick as a) core semi business (~68% of sales) is most optimized in terms of exposure to both memory (3D NAND) and foundry (FinFET transistor) devices b) analytics around the pro-forma earnings model w/TEL indicate +$2 earnings power in ’17, c) P/E multiple expansion on solid execution credentials of the new management team [...] Expanded operating margins six quarters in a row with C14 expectations up 5 pnts Y/Y (includes 1.5 pnts of gross margin expansion); 2) Grew market share by 1.4pnts in C13 led by etch +6pnts and management expects additional share gains in C14; 3) EES was profitable in the reported Q and is expected to be break-even or better for the year.” Malik raised his 2014 estimates to $9.4 billion and $1.13 from a prior $9.24 billion and $1.12.

Bearish!

John Pitzer, Credit Suisse: Reiterates a Neutral rating, and raises his price target to $21 from $17. “AMAT continues to execute well operationally – Company is gaining market share, GM and OpM were higher than recent history, Solar returned to profitability and Display orders were also extremely strong. In regards to TEL merger, the company did not provide any details but plans to do so during the Analyst day at SemiCon. While we have a high degree of confidence in the operational metrics within AMAT’s control, we continue to view their earnings power target of $2.40 in 2017, highly dependent on a WFE estimate of $37 bb – which relative to our more cautious view on consumer electronics and digital semi profitability seems aggressive. If WFE stays at $32bn range, we see EPS of ~$1.50 in first year of merger and potentially growing to $2 by 2017.” Pitzer cut his calendar year 2014 estimates to $9.4 billion from $9.6 billion but raised his EPS view to $1.15 from $1.14. For 2015, he introduced estimates of $16.108 billion and $1.55 per share for the combined companies.

Edwin Mok, Needham & Co.: Reiterates a Hold rating. “We found management’s comments on foundry spending particularly encouraging and likely better than the consensus view, as it appears that several leading foundries are ready to invest in FinFET starting in C2H14. AMAT appears to have made progress in share gain and controlling costs, allowing the company to deliver better profitability than our model. Overall, we believe it was a good report, but we continue to believe the stock already reflects potential upside to earnings estimates.” Mok trimmed this year’s estimates to $9.2 billion and $1.07 per share from a prior $9.25 billion and $1.08 per share. He raised next year’s outlook, however, to $9.7 billion and $1.25 from $9.6 billion and $1.21.

Mehdi Hosseini, Susquehanna Financial Group: Reiterates a “Negative” rating, but raises his price target to $15 from $13. “AMAT provided a relatively more constructive commentary when it reported last night, arguing that spending for the leading edge is continuing to occur without the kind of pause the peer group has recently referenced to. AMAT still expects CY14 WFE spending of $31-$34B, up 10-20% Y/Y. However, their SSG revenue guide of down 2-6% is somewhat inconsistent, while 3x+ increase in Display-related bookings implies some margin headwind in 2HCY14 since Display OM is estimated to be ~500 bps below that of SSG. We encourage investors to view AMAT’s commentary in the context of all the regulatory requirements it is currently going through (associated with TEL acquisition). And for that matter, S4 has already been filed in which AMAT indicated WFE spending of $33B in CY14 (within the range discussed on the call and noted above), and $38B in CY15 (also consistent with AMAT’s bullish view from the call). Thus, it appears to us AMAT remains on target to close the TEL acquisition in 2H CY14, and the fact that they are hosting joint meetings with TEL on the sidelines of Semiconwest (in early July) provides incremental confidence. We find it prudent to change our price target to $15, which is 10x normalized earnings of $1.50 for the combined companies, with $1 attributed to AMAT and $0.50 to TEL.” Hosseini raised his estimates for this year to $9.04 billion and $1.04 per share from a prior $8.92 billion and $1.

http://blogs.barrons.com/techtraderdaily...nt-market/

(vested)

[Boon]

Increase in First Quarter 2014 Silicon Wafer Shipments

SAN JOSE, Calif. — May 19, 2014 — Worldwide silicon wafer area shipments increased during the first quarter 2014 when compared to fourth quarter 2013 area shipments according to the SEMI Silicon Manufacturers Group (SMG) in its quarterly analysis of the silicon wafer industry.

Total silicon wafer area shipments were 2,364 million square inches during the most recent quarter, a 7.1 percent increase from the 2,208 million square inches shipped during the previous quarter. New quarterly total area shipments are 11.1 percent higher than first quarter 2013 shipments.

"Total silicon shipment volumes registered first quarter growth, with volumes also up relative to the same quarter last year,” said Hiroshi Sumiya, chairman of SEMI SMG and general manager of the Corporate Planning Department of Shin-Etsu Handotai Co., Ltd. “This growth at the start of the year is in-line with other semiconductor industry data showing improved conditions compared to the start of 2013.”

Quarterly Silicon Area Shipment Trends, Millions Square Inches

Q1 2013 = 2,128

Q4 2013 = 2,208

Q1 2014 = 2,364

Silicon wafers are the fundamental building material for semiconductors, which in turn, are vital components of virtually all electronics goods, including computers, telecommunications products, and consumer electronics. The highly engineered thin round disks are produced in various diameters (from one inch to 12 inches) and serve as the substrate material on which most semiconductor devices or "chips" are fabricated.

All data cited in this release is inclusive of polished silicon wafers, including virgin test wafers, epitaxial silicon wafers, and non-polished silicon wafers shipped by the wafer manufacturers to the end-users.

The Silicon Manufacturers Group acts as an independent special interest group within the SEMI structure and is open to SEMI members involved in manufacturing polycrystalline silicon, monocrystalline silicon or silicon wafers (e.g., as cut, polished, epi, etc.). The purpose of the group is to facilitate collective efforts on issues related to the silicon industry including the development of market information and statistics about the silicon industry and the semiconductor market.

http://www.semi.org/en/node/49891

(vested)

[Boon]

Billings (Sales) and bookings for April 2014 was even stronger - For each of the the first 4 months of 2014, billings and bookings had registered double digit growth as compared to each of the corresponding first 4 months in 2013.
_____________________________________________________________________________________________________________

North American Semiconductor Equipment Industry Posts April 2014 Book-to-Bill Ratio of 1.03

SAN JOSE, Calif. — May 22, 2014 — North America-based manufacturers of semiconductor equipment posted $1.44 billion in orders worldwide in April 2014 (three-month average basis) and a book-to-bill ratio of 1.03, according to the April EMDS Book-to-Bill Report published today by SEMI. A book-to-bill of 1.03 means that $103 worth of orders were received for every $100 of product billed for the month.

The three-month average of worldwide bookings in April 2014 was $1.44 billion. The bookings figure is 10.8 percent higher than the final March 2014 level of $1.30 billion, and is 22.5 percent higher than the April 2013 order level of $1.17 billion.

The three-month average of worldwide billings in April 2014 was $1.40 billion. The billings figure is 14.1 percent higher than the final March 2014 level of $1.23 billion, and is 28.7 percent higher than the April 2013 billings level of $1.09 billion.

“Sales of semiconductor manufacturing equipment from North American producers continue to demonstrate strong sequential and year-over-year growth,” said Denny McGuirk, president and CEO of SEMI. “The data through the first quarter reflects momentum in memory, foundry, and back-end spending.”

The SEMI book-to-bill is a ratio of three-month moving averages of worldwide bookings and billings for North American-based semiconductor equipment manufacturers. Billings and bookings figures are in millions of U.S. dollars.

Billings (3-mo. avg)
Bookings (3-mo. avg)
Book-to-Bill

October 2013
1,071.0
1,124.5
1.05

November 2013
1,113.9
1,238.0
1.11

December 2013
1,349.7
1,380.8
1.02

January 2014
1,233.2 ( 27.0% HIGHER than January 2013 booking of USD 0.968 billion )
1,280.3 ( 19.0% HIGHER than January 2013 booking of USD 1.08 billion )
1.04

February 2014
1,288.3 (32% HIGHER than February 2013 booking of USD 0.9747 billion )
1,295.4 (21.0% HIGHER than February 2013 booking of USD 1.07 billion )
1.01

March 2014 (final)
1,225.5 (23.7% HIGHER than March 2013 booking of USD 0.991 billion)
1,297.7 (18% HIGHER than March 2013 booking of USD 1.10 billion)
1.06

April 2014 (prelim)
1,398.5 (28.7% HIGHER than April 2013 booking of USD 1.09 billion)
1,438.2 (22.5% HIGHER than April 2013 booking of USD 1.17 billion)
1.03

http://www.semi.org/en/node/49941?id=highlights

(vested)