All currency figures stated in this report are in US dollars.
The financial statement amounts in this report are determined in accordance with US GAAP.
In order to provide investors additional information regarding the Company's financial results as determined in accordance with US GAAP, in this report Chartered also provides information on its total business base revenues, which include the Company's share of Silicon Manufacturing Partners ("Revenues including Chartered's share of SMP"). Silicon Manufacturing Partners (SMP or Fab 5) is a minority-owned joint-venture company and under US GAAP reporting, SMP revenues are not consolidated into Chartered's revenues ("Revenues"). References to revenues including Chartered's share of SMP in this report are therefore not in accordance with US GAAP. To ensure clarity, in Appendix A of this report we have included a reconciliation table which provides comparable data based on revenues determined in accordance with US GAAP, which do not include the Company's share of SMP.
CHARTERED SEMICONDUCTOR MANUFACTURING LTD AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands of US Dollars, except share and per share data)
Determined in accordance with US GAAP
Three Months Ended Twelve Months Ended
December 31, December 31,
2006 2007 2006 2007
--------- --------- ----------- -----------
Net revenue $339,134 $352,577 $1,414,525 $1,355,486
Cost of revenue 271,133 292,107 1,070,512 1,095,830
--------- --------- ----------- -----------
Gross profit 68,001 60,470 344,013 259,656
--------- --------- ----------- -----------
Other revenue 5,392 6,005 21,030 22,930
Operating expenses:
Research and development 38,102 44,754 152,756 159,764
Sales and marketing 15,356 15,803 55,007 58,013
General and
administrative 12,081 10,705 42,558 39,648
Other operating expense,
net 1,778 2,293 13,766 13,030
--------- --------- ----------- -----------
Total operating
expenses 67,317 73,555 264,087 270,455
--------- --------- ----------- -----------
Equity in income of
associated companies, net 8,376 8,839 36,040 33,836
Other loss, net (704) (2,377) (2,689) (2,418)
Interest expense, net (7,480) (8,103) (43,359) (33,294)
--------- --------- ----------- -----------
Income (loss) before
income tax 6,268 (8,721) 90,948 10,255
Income tax expense
(benefit) 885 (14,591) 23,924 (91,433)
--------- --------- ----------- -----------
Net income 5,383 5,870 67,024 101,688
--------- --------- ----------- -----------
Less: Accretion to
redemption value of
convertible redeemable
preference shares 2,358 2,451 9,476 9,663
--------- --------- ----------- -----------
Net income available to
ordinary shareholders $ 3,025 $ 3,419 $ 57,548 $ 92,025
--------- --------- ----------- -----------
Net earnings per ordinary
share and ADS
Basic net earnings per
ordinary share $ 0.00 $ 0.00 $ 0.02 $ 0.04
Diluted net earnings per
ordinary share $ 0.00 $ 0.00 $ 0.02 $ 0.04
Basic net earnings per ADS $ 0.01 $ 0.01 $ 0.23 $ 0.36
Diluted net earnings per
ADS $ 0.01 $ 0.01 $ 0.23 $ 0.35
Number of ordinary shares
(in millions) used in
computing:
Basic net earnings per
ordinary share 2,535.7 2,539.6 2,528.1 2,538.3
Effect of dilutive
securities 4.9 2.4 6.0 330.3
--------- --------- ----------- -----------
Diluted net earnings per
ordinary share 2,540.6 2,542.0 2,534.1 2,868.6
========= ========= =========== ===========
Number of ADS (in
millions) used in
computing:
Basic net earnings per
ADS 253.6 254.0 252.8 253.8
Effect of dilutive
securities 0.5 0.2 0.6 33.0
--------- --------- ----------- -----------
Diluted net earnings per
ADS 254.1 254.2 253.4 286.8
========= ========= =========== ===========
