1934 Act Registration No. 1-14700

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934

For the month of January 2008

Taiwan Semiconductor Manufacturing Company Ltd.

(Translation of Registrant’s Name Into English)

No. 8, Li-Hsin Rd. 6,
Hsinchu Science Park,
Taiwan
(Address of Principal Executive Offices)

     (Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)

Form 20-F  ü      Form 40-F      

     (Indicate by check mark whether the registrant by furnishing the information contained in this form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)

Yes           No  ü 

(If “Yes” is marked, indicated below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82: ___.)

 

 

TSMC Reports Fourth Quarter EPS of NT$1.31

Hsin-Chu, Taiwan, R.O.C., January 31, 2008 — TSMC today announced consolidated revenue of NT$93.9 billion, net income of NT$34.48 billion, and diluted earnings per share of NT$1.31 (US$0.20 per ADS unit) for the fourth quarter ended December 31, 2007.

Year-over-year, fourth quarter revenue increased 25.2% while net income and diluted EPS increased 23.5% and 24.3%, respectively. On a sequential basis, fourth quarter results represent a 5.5% increase in revenue, an increase of 13.5% in net income, and an increase of 14.3% in diluted EPS. All figures were prepared in accordance with R.O.C. GAAP on a consolidated basis.

Stronger than expected demand of TSMC’s wafers across all major product segments (communication, computer, and consumer) led to the fourth quarter results approaching or exceeding the high end of the guidance. Advanced process technologies (0.13-micron and below) accounted for 59% of wafer revenues with 90-nanometer process technology accounting for 29% and 65-nanometer reaching 10% of total wafer sales. Gross margin was 47.8%, operating margin was 39.2%, and net margin was 36.7%.

“Fourth quarter set another record for our business in terms of revenues and wafer shipment, while our margins improved sequentially “ said Lora Ho, VP and Chief Financial Officer of TSMC. “Although the global economy is facing a large degree of uncertainty, we expect our first quarter to follow a normal seasonal pattern and our results will track with normal seasonality,” said Ho. “Based on our current business outlook, and the implementation of a new ROC accounting rule which requires the expensing of employee profit sharing, management’s expectations for first quarter 2008 performance are as follows”:

	•		Revenue is expected to be between NT$87 billion and NT$89 billion;
	•		Gross profit margin is expected to be between 42% and 44%;
	•		Operating profit margin is expected to be between 32% and 34%.

Ho said management also expects that 2008 capital expenditure will be around US$1.8 billion.

# # #

TSMC’s 2007 fourth quarter consolidated results :

(Unit: NT$ million, except for EPS)

				4Q07					4Q06					YoY					3Q07					QoQ
				Amount*					Amount					Inc. (Dec.) %					Amount					Inc. (Dec.) %
	Net sales				93,860					74,963					25.2					88,955					5.5
	Gross profit				44,836					34,453					30.1					40,724					10.1
	Income from operations				36,758					27,407					34.1					32,353					13.6
	Income before tax				39,332					29,508					33.3					34,218					14.9
	Net income				34,485					27,912					23.5					30,370					13.5
	EPS(NT$)				1.31	**				1.06	***				24.3					1.15	****				14.3

* 2007 fourth quarter figures have not been approved by Board of Directors

** Based on 26,243 million weighted average outstanding shares

*** Based on 26,410 million weighted average outstanding shares

**** Based on 26,401 million weighted average outstanding shares

TSMC’s 2007 consolidated results :

(Unit: NT$ million, except for EPS)

				2007					2006					YoY
				Amount*					Amount					Inc. (Dec.) %
	Net sales				322,630					317,407					1.6
	Gross profit				142,350					155,810					(8.6	)
	Income from operations				111,722					127,265					(12.2	)
	Income before tax				121,642					133,362					(8.8	)
	Net income				109,177					127,010					(14.0	)
	EPS(NT$)				4.14	**				4.81	***				(13.9	)

* 2007 figures have not been approved by Board of Directors

** Based on 26,368 million weighted average outstanding shares

*** Based on 26,399 million weighted average outstanding shares

TSMC Spokesperson:		TSMC Acting Spokesperson:		For Further Information:
Ms. Lora Ho		Mr. J.H. Tzeng		Mr. Richard C.Y. Chung
Vice President and CFO		Deputy Director, PR Department, TSMC		Technical Manager, TSMC
Tel: 886-3-566-4602		Tel: 886-3-505-5028		Tel: 886-3-505-5038
		Mobile: 886-928-882607		Mobile: 886-911-258751
		Fax: 886-3-567-0121		Fax: 886-3-567-0121
		E-Mail: jhtzeng@tsmc.com		E-Mail: cychung@tsmc.com

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.