UPDATE 1-TSMC, UMC July sales post 4th monthly decline
* TSMC July sales down 3.4 pct y/y, first annual decline since Sept 2009
* UMC July sales down 18.6 pct y/y
* World's top two contract chipmakers expect lower revenues in Q3
TAIPEI, Aug 10 (Reuters) - The world's top contract chipmaker TSMC posted its first annual decline in sales in 22 months last month as the industry was hit by economic uncertainties and customer inventory adjustment.
Both TSMC and rival United Microelectronics Corp saw July sales decline on a monthly basis for the fourth consecutive month, signalling a difficult start to the third quarter.
TSMC said on Wednesday that sales in July fell 3.4 percent from a year earlier, the first annual decline since September 2009, while UMC's sales in the same month dropped 18.6 percent from a year earlier.
TSMC said late last month it saw lower revenues and gross margins in the third quarter. The company trimmed its full-year capital spending outlook by 5 percent and reported second-quarter earnings below forecast.
UMC also said last week it expected revenue to decline by 11-13 percent in the third quarter from the previous quarter, the biggest drop in 10 years for what is traditionally the high season.
TSMC chairman Morris Chang has revised down his forecast on the growth of the semiconductor industry excluding memory to 4 percent from 7 percent in the beginning of this year, and the foundry industry to 7 percent from 15 percent.
For a table on TSMC's website, see here
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