Nanya Technology Corporation, (TWSE: 2408), today announced its results of the first quarter, ended March 31st, 2017. Nanya’s quarterly sales revenue was NT$ 12,231 million, 1.1 percent increase compared with the fourth quarter, 2016. Average selling prices (ASP) increased by 20.1 percent; bit shipment decreased by14.4 percent. Negative impacted 1.7% on revenue by exchange rate.
Gross margin of the quarter was 40.1 percent at NT$ 4,901 million, a 9.1 percentage points increase compared with previous quarter. Operating income of the quarter was NT$ 3,853 million, operating margin was 31.5 percent, increased 10.3 percentage points compared with last quarter. The quarter exchange rate negative impact of NT$ 575 million. The company had net income attributable to Nanya Technology shareholders of NT$ 3,275 million, with net margin of 26.8 percent, a 9.4 percentage point increase compared with previous quarter’s net margin 17.4 percent which excluded Inotera share disposal gain. Earnings per share (EPS) of NT$ 1.19 in the first quarter (EPS is based on weighted average outstanding shares of 2,748 million).
December 2nd, 2016, Nanya acquired Micron’s 57,780,138 shares with US$17.29 per share for NT$ 31.5 billion. March 31st, 2017, accumulated unrealized gain of NT$ 19.2 billion at Micron’s market price of US$ 28.9. Book value per share was NT$ 35.31 at the first quarter end. All numbers are unaudited.
Capital expenditure (CAPEX) is estimated to be NT$ 34.3 billion in 2017. Board of Directors (BoD) on March 9th approved 3rd stage 20nm CAPEX of up to NT$ 19.8 billion. Anticipated CAPEX of up to NT$ 55.7 billion for 38K wafer starts 20nm migration. (The 1st and 2nd CAPEX of NT$ 35.9 billion approved by BoD previously.)
20nm successfully piloting in January 2017, scheduled for small volume in the third quarter, target to ramp 30,000 wafer starts per month (WSPM) by the fourth quarter, 2017 and reach 38,000 WSPM in the first half of 2018. Total capacity will amount to 68,000 WSPM.
Bit shipment forecasts to increase low single digits percentage in the second quarter of 2017 and future bit shipment to grow onward. Year 2017 bit shipment is estimated to decrease slightly compared with last year.
BoD on March 9th, 2017 approved cash dividend of NT$ 1.5 per common share and will propose to AGM on May 26th for final approval.
* EBITDA = Operating income + Depreciation & Amortization Expenses
** Exchange rate negative impact NT$ 575M
*** EPS is based on weighted average outstanding shares of 2,748 million.
****Included accumulated unrealized gain on Micron shares
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Nanya Technology Corporation (“NTC”), a member of the Formosa Plastics Group, provides key components DRAM to electronic industry, focusing on research and development, design, manufacturing, and sales of consumer and Low Power DRAM products. In addition, NTC continues to enlarge its share of high value-added DRAM market, increases manufacturing efficiency, and strengthens product quality and customer services in respond to market demand. NTC’s common stock is traded on the Taiwan Stock Exchange Corporation (TWSE) under the symbol 2408. For more information, please visit http://www.nanya.com 。