(LEAD) SK hynix Q1 net profit sharply up on strong chip biz

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SEOUL, April 27 (Yonhap) — SK hynix Inc. documented sturdy initially-quarter earnings Wednesday on the back again of sturdy chip desire for servers even with being in the usually very low time.

Web revenue rose 99.8 per cent on-12 months to access 1.98 trillion gained (US$1.6 billion), the chipmaker mentioned in a regulatory filing.

The determine is lessen than the estimated 3.1 trillion gained surveyed not long ago by Yonhap Infomax, the economical data agency of Yonhap News Company.

Its working cash flow for the January-March interval arrived in at 2.86 trillion received, up 115.9 %, the greatest determine for the initially quarter due to the fact 2018.

“A smaller sized-than-anticipated tumble in memory chip selling prices and revenues of Solidigm, which was included as SK hynix’s subsidiary at the finish of 2021, contributed to the earnings,” the enterprise claimed in a assertion.

The world’s next-greatest memory chip maker following Samsung Electronics also explained it has managed its memory chip shipment “in a versatile way when focusing on profitability administration,” which it mentioned contributed to its “handsome earnings.”

Income elevated 43.1 p.c to 12.15 trillion gained.

The economic outcomes also replicate the just one-off provision of 380 billion won to protect prices for its products exchange plan for prospects following acquiring that some prior DRAM products showed unspecified general performance weak spot.

“The impression of the provision is anticipated to be quick-lived as it is a a person-off item,” the organization claimed, adding, “Growth of technological innovation and manufacturing of following-technology items are also being applied as scheduled without a delay.”

“I assume we’ve accomplished meaningful general performance in spite of the seasonality difficulty,” said Noh Jong-gained, chief marketing and advertising officer at SK hynix. “As demand from customers for server chips is on the increase, the memory company will improve into the second half.

“We will try to fulfill client desire by continuing to make improvements to the produce charge in spite of a issues in the source of the tools.”