Local memory chipmaker Macronix International Co (旺宏電子) yesterday said its net income more than doubled to NT$1.63 billion (US$51.7 million) from a year ago, amid strong demand for NOR flash memory chips, which are used in a number of consumer electronics devices, including game consoles.
The first quarter was stronger than expected, with revenues dropping at a slower pace of 11 percent quarter-on-quarter to NT$6.57 billion, compared with fourth quarter’s sequential decline of 20 percent.
On a quarterly basis, however, net income declined about 11 percent from NT$1.82 billion in the fourth quarter last year, as demand usually slackens in the first quarter after the Christmas shopping season ends.
NOR flash memory chips made up 63 percent of Macronix’s revenues last quarter, compared with 40 percent a year ago.
The Hsinchu-based chipmaker predicted its revenues would grow between 3.5 percent and 6.5 percent to between NT$6.8 billion and NT$7 billion this quarter from last quarter’s NT$6.57 billion.
Its gross margin was expected to reach a new high of up to 48 percent, from last quarter’s 47 percent, which was the highest in eight years, the company said.
Factory usage was expected to rise to more than 95 percent in the second quarter, from 94 percent in the first quarter.
Marconix said capital spending this year would rise to NT$20 billion, up from previous estimates of NT$2 billion, after it bought a 12-inch factory from local computer memory chipmaker ProMOS Technologies Inc (茂德科技) for NT$8.5 billion.
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