Due to Semiconductor Market Downturn... SK Hynix's Operating Profit Drops 87% Last Year (Update)

[Asia Economy Reporter Changhwan Lee] SK Hynix's performance significantly declined last year due to a drop in semiconductor prices.

SK Hynix announced on the 31st that its operating profit last year was 2.7127 trillion KRW, down 87% compared to the previous year.

During the same period, sales decreased by 33.3% to 26.9907 trillion KRW.

The poor performance was due to a significant decline in memory semiconductor prices last year. In particular, the price of DRAM, which accounts for about 80% of SK Hynix's sales, fell by more than half last year, negatively impacting the results.

The poor performance continued into the fourth quarter of last year. Operating profit in Q4 was 236 billion KRW, down 95% year-on-year, and sales decreased by 30.3% to 6.9271 trillion KRW.

However, the company explained that the recent slowdown in the decline of semiconductor prices is a positive sign.

In the case of DRAM, shipments are increasing as the company actively responds to sustained PC replacement demand following the end of Windows 7 support and increased purchases by internet data center customers normalizing their inventory.

NAND flash shipments also increased by expanding sales to the solution market, including strong demand for PC SSDs and new mobile products.

This content was produced with the assistance of AI translation services.