SK Hynix Expects Sturdy Cell Chip Gross sales, Reasonable Server Demand In Fourth Quarter

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SEOUL: SK Hynix , the world’s No.2 reminiscence chip maker, stated it anticipated sturdy demand for cell and PC chips to proceed within the fourth quarter because it posted a 175% soar in working revenue within the July-September interval, matching expectations.

The South Korean firm which counts Apple Inc and Huawei amongst its clients stated it had seen a restoration in cell DRAM demand and gross sales enlargement in cell NAND flash within the third quarter.

The development would proceed within the present quarter thanks partially to new smartphone launches, it stated.

Nonetheless the marketplace for server chips would see extra modest progress in step with the third quarter.

The chipmaker reported third-quarter working revenue of 1.3 trillion gained (£876 million), up from 473 billion gained a yr earlier. Income rose 19% to eight.1 trillion gained.

Analysts had anticipated a 1.27 trillion gained revenue, in keeping with Refinitiv SmartEstimate that’s weighted in direction of extra persistently correct analysts.

The third-quarter consequence was buoyed by Huawei’s stockpiling of semiconductors earlier than U.S. restrictions barred it from shopping for chips made with U.S. expertise, analysts stated.

Orders for cell chips from Chinese language smartphone makers have elevated within the fourth quarter as they compete to seize Huawei’s market share, Samsung Electronics Co Ltd stated final month.

SK Hynix agreed in October to purchase Intel Corp’s NAND reminiscence chip enterprise for $9 billion (£7 billion) in an all-cash deal that may propel the South Korean chipmaker to second within the world rankings and produce the advantages of consolidation to the NAND flash enterprise, analysts stated.

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