Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON

TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED

(2330)
  Report
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

SK Hynix sees strong memory chip demand continuing in H2 as profit jumps

07/26/2021 | 07:40pm EDT
FILE PHOTO: Employees walk past the logo of SK Hynix at its headquarters in Seongnam

* SK Hynix Q2 profit highest since Q4 2018

* Favourable conditions set to continue - executive

* Shares flat this year due to inventory concerns - analysts

SEOUL, July 27 (Reuters) - SK Hynix said on Tuesday it expects strong memory chip demand to run on for the rest of 2021 on data center build-outs and the use of more sophisticated chips in smartphones, as it reported its biggest quarterly profit in more than two years.

SK Hynix, the world's second-biggest memory chipmaker with customers including Apple Inc, forecast especially strong growth for NAND Flash products in the second half of the year due to demand for increased data storage in mobile devices.

"The demand level is much stronger than we expected early this year, especially from 5G-based smartphones and PCs," head of DRAM marketing MS Park said in an earnings call. "Such favorable memory market conditions are expected to continue into the second half of 2021."

SK Hynix's upbeat outlook was at odds with some market concerns that memory chip demand may flag if a global shortage of processing and other microchips continues, curtailing production of some products and damping memory chip demand.

"There have been some corrections to demand because of parts supply disruptions, but not so much so that it will alter the fundamental course of demand growth," Park said.

He expected this year's consumer-led demand recovery to be superseded by corporate sector demand next year, spurred on by developments such as expansion of standalone 5G telecommunication networks.

Memory chip inventory levels were expected to continue to decline, while SK Hynix also aimed in the third quarter to turn around its loss-making NAND Flash business, which has suffered from thin margins and strong competition.

The months-long global shortage of other semiconductors, fueled by pandemic-led demand for cars, phones, and cloud computing, has buoyed overall demand and helped chipmakers post strong profits in the first half of the year.

While many executives and industry experts expect the chip shortage to continue well into next year, some companies like Taiwan's TSMC and Volkswagen have flagged that the crunch is easing for the auto industry.

SK Hynix said its April-June quarter operating profit rose 38% to 2.7 trillion won ($2.3 billion), as memory chip demand for PCs and other devices surged rapidly and demand from computer server operators recovered.

It was the company's highest quarterly profit since the fourth quarter of 2018, data showed, up from 1.9 trillion won a year earlier, and in line with a Refinitiv Smartestimate of a 2.7 trillion won profit.

Second quarter revenue rose 20% on-year to 10.3 trillion won.

SK Hynix shares were flat at 117,000 won, sitting virtually unchanged for the year.

($1 = 1,151.7800 won) (Reporting by Joyce Lee & Heekyong Yang; Editing by Edmund Klamann and Richard Pullin)


ę Reuters 2021
Stocks mentioned in the article
ChangeLast1st jan.
APPLE INC. 0.06% 146.92 Delayed Quote.10.72%
SK HYNIX INC. -1.42% 104000 End-of-day quote.-12.24%
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED 1.70% 598 End-of-day quote.12.83%
VOLKSWAGEN AG 0.30% 189.94 Delayed Quote.24.25%
WISDOMTREE CLOUD COMPUTING UCITS ETF - ACC - USD -0.47% 59.68 Delayed Quote.12.66%
All news about TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED
04:05aTaiwan's Export Orders Grow Less Than Expected in August as Smartphone Demand Weakens A..
MT
04:01aSome Apple, Tesla suppliers suspend production in China amid power pinch
RE
09/24Intel breaks ground on $20 bln Arizona plants as U.S. chip factory race heats up
RE
09/24TAIWAN SEMICONDUCTOR MANUFACTURING : Vice President & Chief Financial Officer (Form 6-K)
PU
09/24Taiwan export orders growth underwhelms on smartphones
RE
09/24White House prods companies on chips information request
RE
09/24TAIWAN SEMICONDUCTOR MANUFACTURING : TSMC says working to overcome global chip shortage
RE
09/23U.S. COMMERCE CHIEF : 'Aggressive' action on chip shortage needed
RE
09/23SAMSUNG ELECTRONICS : in talks with Tesla to make next-gen self-driving chips -Korea Econo..
RE
09/23TAIWAN SEMICONDUCTOR MANUFACTURING : TSMC Lays Off Seven Employees for Violating Core Valu..
MT
More news
Analyst Recommendations on TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED
More recommendations
Financials
Sales 2021 1 577 B 56 902 M 56 902 M
Net income 2021 582 B 20 981 M 20 981 M
Net cash 2021 238 B 8 597 M 8 597 M
P/E ratio 2021 26,7x
Yield 2021 1,84%
Capitalization 15 610 B 562 B 563 B
EV / Sales 2021 9,75x
EV / Sales 2022 8,34x
Nbr of Employees 48 752
Free-Float 93,6%
Chart TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED
Duration : Period :
Taiwan Semiconductor Manufacturing Company Limited Technical Analysis Chart | 2330 | TW0002330008 | MarketScreener
Technical analysis trends TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED
Short TermMid-TermLong Term
TrendsNeutralNeutralBullish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus BUY
Number of Analysts 31
Last Close Price 598,00 TWD
Average target price 758,43 TWD
Spread / Average Target 26,8%
EPS Revisions
Managers and Directors
Che Chia Wei Vice Chairman & Chief Executive Officer
Wendell Huang Chief Financial Officer & Vice President
Te Yin Liu Chairman
Yung Ching Hou Vice President-Research & Development
J. K. Lin SVP-Information Technology & Materials Management
Sector and Competitors
1st jan.Capi. (M$)
TAIWAN SEMICONDUCTOR MANUFACTURING COMPANY LIMITED12.83%558 044
NVIDIA CORPORATION69.14%551 142
INTEL CORPORATION8.83%219 971
BROADCOM INC.15.32%207 833
TEXAS INSTRUMENTS22.25%185 242
QUALCOMM, INC.-12.12%151 017