Chartered Semiconductor’s overall fab utilization rates have climbed from 70 percent in 1Q07 to 86 percent in 1Q08 and are expected to top 88 percent in 2Q08, the company noted in its first quarter 2008 financial results. 

The Singapore-based foundry is experiencing strong demand for both 200mm and 300mm capacity.

“Revenues from 0.13-micron and below technologies, including those from 65nm, are expected to account for approximately 47 percent of our total business base revenues,” commented George Thomas, Senior Vice President and CFO of Chartered. “Revenues from 65nm alone are expected to grow around 33 percent sequentially and represent approximately 11 percent of our total business base revenues. After comprehending approximately 17 percent sequential increase in capacity, primarily due to the acquisition of Fab 3E [Hitachi Semiconductor Singapore Pte Ltd], we expect utilization in the second quarter to be approximately 88 percent. With this outlook, we expect to post a net income of approximately $6 million for the second quarter.”

Chartered’s 300mm facility, Fab7, continued to ramp throughout 2007 and this could continue through 2008. The foundry also added several more customers to 300mm production in the quarter, mainly for 65nm processes. It also took a $190 million term loan facility from Societe Generale to support the Phase 2 ramp of Fab 7.