Nanya Tech, Inotera report larger losses in third quarter
The China Post news staff
October 25, 2012, 10:59 am TWN
Nanya Technology and Inotera, two of Taiwan's memory chip manufacturers, yesterday reported bigger losses for the third quarter compared to the second quarter.
The two, both part of the Formosa Plastics Group (FPG), gave their third quarter results during their respective investors' conferences yesterday.
For the July-September period, Nanya Technology had sales of NT$6.553 billion, a decline of 35 percent from the second quarter. Net loss was NT$10.091 billion, higher than the NT$6.684 billion in the previous quarter. The figure translated into a third quarter loss of NT$0.64 per share.
For the first nine months, the company had total loss of NT$27 billion.
The firm's third quarter loss was bigger than in the previous quarter due to the continued price drop of dynamic random access memory (DRAM) chips, it said. The company responded by cutting production of DRAM chips, with a 30-percent reduction in shipments compared to the second quarter.
Withdrawing from PC-use DRAM
Nanya Technology has slowly withdrawn from the market for PC-use memory chips, which accounted for less than 50 percent of the firm's product mix in September.
With a net worth of NT$5.76 billion in the first half, Nanya Technology's board yesterday adopted a resolution to increase capital through a private placement, with the goal of raising about NT$10 billion.
The resolution will be voted on by shareholders during an extraordinary meeting on Dec. 14 and has reportedly received backing from its parent corporation, FPG.
Inotera, meanwhile, announced third quarter sales of NT$8.694 billion, down 9 percent from the previous quarter.
Net loss was NT$4.39 billion in the third quarter, or loss per share of NT$0.81. The firm's second quarter loss was NT$2.977 billion.
For the first three quarters the firm has lost NT$10.7 billion, exceeding the NT$10 billion mark. This has translated into a loss per share of NT$2.4.