Published : Jan. 28, 2014 - 19:41
SK Hynix, the world’s second-largest memory chip maker, said Tuesday it achieved record-high earnings last year.
The chip manufacturer said it raked in 14.2 trillion won ($13.2 billion) of revenue, up 39 percent year-on-year, while recording 3.4 trillion won in operating profit, up by 24 percent compared to 2012.
The company said the increases in sales and operating margin were driven by its flagship businesses including DRAM and NAND Flash. Efforts to beef up sales and price competitiveness also were attributed to the record-breaking performance.
The company hinted that it would make all-out efforts to take the lead in the global chip market by reinforcing its current business sectors while investing in new growth engines.
Kim Joon-ho, chief of SK Hynix’s corporate center, said in a conference call that the company’s total amount of capital expenditure investment would amount to around 4 trillion won this year ― a 450 billion won increase from 2012.
He also noted that the company is planning to spend 700 to 800 billion won on renovating factory lines in Icheon, Gyeonggi Province.
Around 200 billion won will be poured into improving facilities at the factory in Wuxi, China.
Production at the Wuxi factory lines, which mainly produce DRAM, were halted after a fire broke out last September, stoking concerns over shortages and price hikes of the memory chip.
The company said it would focus more on DRAM than NAND Flash this year, by investing around 70 percent and 30 percent, respectively, in the businesses. It will kick-start mass production of 3-D NAND flash memory this year, he added.
By Kim Young-won (wone0102@heraldcorp.com)