​​─ Net revenues increased 43% over Q2 2009 to NT$ 8,279 million (US$253.6million)
─ Operating income increased 107% over Q2 2009 to NT$ 2,393 million (US$73.3 million)

Hsinchu, Taiwan, R.O.C. – Macronix International Co., Ltd. (TSEC: 2337) today announced the unaudited financial results for the third quarter ended September 30, 2009. All numbers were prepared in compliance with the R.O.C. GAAP on an unconsolidated basis.

Summary of the Third Quarter 2009:
─ Total net revenues increased 43% sequentially and increased 9% over the third quarter 2008 to NT$8,279 million (US$253.6 million).
─ Gross profit was NT$3,785million (US$ 115.9 million) with 46% gross margin.
─ Operating income increased 27% from NT$1,883 million in the third quarter 2008 to NT$2,393 million (US$73.3 million).
─ Income before tax was NT$2,457 million (US$75.3 million); Net income was NT$2,269 million (US$ 69.5 million).
─ EPS was NT$0.70; book value per share was NT$11.97.
─ Capacity utilization rate was 102%


Third-Quarter 2009 Financial Highlights:
Revenue was NT$8,279 million and gross profit NT$3,785 million
Net income increased to NT$2,269million with EPS NT$0.70

Revenues
The Company announced the third quarter net revenues of NT$8,279 million (US$253.6million), a 43% increase sequentially and increase of 9% year- over-year. The sequential revenue increase was a result of seasonal demand and market share gain of NOR flash.

Gross Profit and Gross Margins
Gross margin for the third quarter 2009 was 46%, better than 40% in the second quarter 2009 and 43% in the third quarter of 2008. Gross profit was NT$3,785 million (US$115.9 million), an increase of 17% year-over-year, and increase of 64% sequentially.

Operating Expenses and Operating Income
Operating expenses for the third quarter were NT$1,392 million (US$42.6 million), an increase of 3% year-over-year and an increase 21% sequentially. Operating income for the third quarter was NT$2,393 million (US$73.3 million), compared to NT$1,158 million in the second quarter of 2009 and NT$1,883 million in the third quarter of 2008.

Non-operating Income and Expenses
Net non-operating income was NT$64 million (US$2.0million) for the quarter, consisting of net interest income of NT$19 million (US$0.6 million), recognized investment loss of NT$23 million (US$0.7 million), net foreign exchange gain of NT$46 million (US$1.4 million), Gain on disposal of assets of NT$1 million (US$0.03million), and the net other income of NT$21 million (US$0.6 million).

Net Income and EPS
Net income before tax was NT$2,457 million (US$75.3 million), compared to NT$1,040 million in the second quarter of 2009 and NT$2,253 million in the third quarter of 2008. For the third quarter of 2009, the estimated tax provision was NT$188 million (US$5.8 million) and the net income after tax was NT$2,269 million (US$69.5million). EPS was NT$0.70 (US$0.02), compared to NT$0.30 in the second quarter of 2009 and NT$0.66 in the third quarter of 2008；accumulative 2009 EPS was NT$1.19. The book value was NT$11.97 per share.

Balance Sheet
Macronix has strong cash position. The debt-to-asset ratio is now 0.13 which is lower than 0.18 in the second quarter of 2009, the reason is that Dividend Payable for this year is cleared in current liability. As of September 30, 2009, the Company had NT$20,847 million (US$638.5 million) in cash and cash equivalents. Net inventory decreased by NT$902 million (US$27.6 million) to NT$ 3,339 million (US$102.3 million), compared to NT$ 4,241 million for the second quarter of 2009.

The total liability decreased to NT$5,806 million (US$177.8 million), a decrease of NT$2,018 million (US$61.8 million), compared to NT$7,824 million at the end of June 30, 2009. Shareholders’ equity was NT$39,387 million (US$1,206.3 million). Depreciation and amortization expenses were NT$684 million (US$20.9 million) for the quarter, a decrease of NT$40 million (US$1.2 million), compared to the second quarter of 2009. Cash flow from operations was NT$2,606 million (US$79.8 million) in the quarter. Capital expenditure for the quarter was NT$309 million (US$9.5 million) mainly for the procurement of production related equipments.


Business Highlights

ROM and Flash Counted 45% and 47% of the Net Sales Respectively
Sales in the third quarter from ROM revenue accounted for 45% of net sales, a decrease of 14% year-over-year and a sequential increase of 69%. The unit shipments of ROM decreased 25% year-over-year and increased 59% sequentially.

Flash products accounted for 47% of net sales, an increase of 56% year-over-year and a sequential increase of 31%. The unit shipments of Flash increased 73% year-over-year and increased 35% sequentially.

Sales in FBG products accounted for 8% of net sales, a decrease of 11% year-over-year and a sequential increase of 11%.

Capacity Utilization Rate was 102%; Products of the Advanced Process Technology Kept at Higher Percentage
In third quarter of 2009, the products made by ≦75nm technology accounted for 40% of net sales (FBG sales is excluded). The products made by 0.15 um, 0.13 um and 0.10 um technology collectively accounted for 56% of net sales (FBG sales is excluded). Capacity utilization rate increased to 102% from 99% in the previous quarter.


2009Q4 Outlook
Compared with third quarter 2009, management’s expectations for forth quarter 2009 performance are as follows:
● Revenue will be NTD 6.5 ~ 6.7Billion
● Gross Margin will be 42% ~ 44%
● Operating Margin will be 22% ~ 24%
● Capacity utilization rate is expected be 88% ~90%

Quarterly Income Statements
Unit: NT$ million (except EPS)




Balance Sheet / Cash Position
Unit: NT$ million



* For details, please refer to the audited financial reports of Q309.


Safe Harbor Statement
The statement contains certain forward-looking statements with respect to the results of operation, financial condition and current expectation. The forward-looking statements are subject to known and unknown uncertainties and risks that could cause actual results to differ materially from those expressed or implied by such statements.
Such risks and uncertainties include but are not limited to the impact of competitive products and pricing, timely design acceptance by our customers, timely introduction of new technologies, ability to ramp new products into volume, industry wide shifts in supply and demand for semiconductor products, industry overcapacity, availability of manufacturing capacity, financial stability in end markets, and other risks.
The forward-looking statements in this release reflect the current belief of Macronix as of the date of this release and Macronix undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such date

About Macronix International Co., Ltd.
Founded in 1989, Macronix International Co., Ltd. (TSE: 2337.TT) is a leading provider of innovative Non-Volatile Memory (NVM) solutions. Macronix is the largest worldwide manufacturer of ROM products, and also provide wide range of NOR Flash products across various densities for system embedded, consumer, communication and enterprise applications.

For more information, please visit the Company’s web site at www.macronix.com.



Contacts:
Michelle Chang
Macronix International Co., Ltd.
Public Relations
+03 578 6688 ext. 71233
michellechang@mxic.com.tw
Douglas Sun
Macronix International Co., Ltd.
Finance Center / Investor Relations
+03 578 6688 ext. 76632
douglassun@mxic.com.tw