With the global market for DRAM recovering, Rexchip Electronics Corp., a joint venture between Taiwan`s Powerchip Semiconductor Corp. and Japan`s Elpida Co. to engage in production of DRAM, scored net profits of NT$4.081 billion (US$127.53 million at US$1: NT$32), or NT$1.39 per share, in the first quarter of this year, according to the firm.
Rexchip`s net profits for the first quarter were 16.9% more than the corresponding figure posted a quarter earlier, making the firm the most profitable DRAM maker in Taiwan in the period.
Stephen Chen, president of Rexchip, indicated that DRAM price recovery helped his firm to post the shining profit performance, and pointed out that the firm will install the newest immersion scanner this week and will switch its production to 63-nanometer memory in July. In the first quarter of 2011, he added, the firm will be completely engaged in 45-nanometer manufacturing process.
In the meantime, Rexchip`s parent company Elpida posted a whopping quarterly growth of 217% in its sales revenue of JPY147.5 billion (US$1.58 billion at US$1: JPY93), and raked in net profits of JPY33.7 billion (US$362.36 million) in the first quarter of this year, up 59.9% from a quarter earlier. With the DRAM market booming, the firm optimistically expects its shipment to further rise 5% in the second quarter, and 45% for entire the year. In the firm`s 2009 fiscal year, niche DRAM contributed 30% to its total revenue, and DRAM for PCs the remainder.
Aided by rising spot prices of DRAM, Powerchip also reported net profits of NT$3.502 billion (US$109.43 million), or NT$0.4 per share, for the first quarter of this year.