Hynix Reports First Net Profit in 2 Years on Chips

good-memory-hynixHynix Semiconductor Inc. recorded its first quarterly net profit in two years as prices for memory chips rose in a rapidly recovering market.

The company said in a regulatory filing it earned 246.28 billion won ($207.25 million) in the three months ended Sept. 30. It posted a net loss of 1.67 trillion won a year earlier. The profit ended seven straight quarters of losses.

Icheon, South Korea-based Hynix said third quarter sales rose 15 percent to 2.12 trillion won from 1.84 trillion won the year before.

Hynix attributed the results to a “faster than expected market recovery.” The company said average selling prices for DRAM, or dynamic random access memory chips, increased 26 percent from the previous quarter. Prices for NAND flash memory chips rose 4 percent.

Hynix is the world’s second-largest manufacturer of DRAM chips, used mostly in personal computers, and ranks No. 3 in NAND, used in digital devices such as cameras and music players.

“The memory market seems to have emerged from a long downturn,” Kim Min-chul, Hynix’s chief financial officer, told analysts on a conference call. “Seasonal demand for memory products was stronger than expected,” he said.

The highly cyclical memory chip industry has suffered due to chronic oversupply. German memory-chip maker Qimonda AG declared bankruptcy in January.

A rebound, however, has been gaining steam.

Research company iSuppli Corp. said in a report Thursday that the DRAM industry in the second and third quarters of this year recorded its “strongest sequential growth in revenue and prices seen in at least five years, indicating that the recent market rebound is real and is likely to continue into 2010.”

Hynix, which competes with South Korean rival Samsung Electronics Co. and Japan’s Toshiba Corp., announced in December last year that it would make massive cost cuts to free up cash to help it recover from what it termed a “management crisis” due to the industry slump and the global economic slowdown.

The company slashed the pay of top officials, cut the number of executives, encouraged workers to quit voluntarily and made all employees take two weeks of unpaid leave earlier this year.

Hynix also received 800 billion won in fresh capital via loans from banks and through a share offering.

The company last year also announced it was shuttering its semiconductor plant in the U.S. state of Oregon, citing lack of profitability.

South Korea’s Uni-chem Co. said this week it would sign a formal contract with Hynix on Friday in the United States to buy the facilities and land for $45 million. Uni-chem, a leather company, said it plans to use the mothballed facility to make solar cells as part of a new business.

Hynix spokeswoman Lee Si-hyun said, however, that nothing was confirmed.

Shares in Hynix, which released earnings results before the stock market opened, fell 0.3 percent to close at 18,750 won. Hynix shares have surged 180 percent so far this year.

Business

Apple banned from distributing some iPhone models in Germany

Apple is following the FTC's lead and has sued Qualcomm for a massive $1 billion in the U.S., $145 million in China, and also in the U.K., claiming the company charged onerous royalties for its patented tech.
Mobile

Samsung Galaxy S10 Plus photo leaks with dual front-facing camera

It won't be long now; With 2019 underway, the Samsung Galaxy S10 is almost here. Before it arrives, here's absolutely everything you need to know about all three of Samsung's next flagships.
Mobile

If you want Samsung's advanced folding phone, be prepared to pay a lot for it

Samsung has been showcasing bendable display tech for a few years and now a folding smartphone might finally arrive. The Galaxy X, or perhaps the Galaxy Fold, may be the company's first example. Here's everything we know about it.
Computing

Is AMD's Navi back on track for 2019? Here's everything you need to know

With a reported launch in 2019, AMD is focusing on the mid-range market with its next-generation Navi GPU. Billed as a successor to Polaris, Navi promises to deliver better performance to consoles, like Sony's PlayStation 5.
Computing

Zipping files on a Chromebook? Follow these four easy steps

Chromebooks support file compression, though they work a little differently than on Windows or Mac. Here's the step-by-step process to zipping files on a Chromebook, and then unzipping them again for extraction.
Computing

How good are you at spotting phishing scams? Take this quiz to find out

Are you able to discern between a legitimate email and one that's a scam designed to phish for your personal information? Google created an online quiz with tips to help you better understand phishing so you don't become a victim.
Computing

Patent application reveals what’s to come after AMD’s Graphics Core Next

A published patent application from AMD has revealed a new type of graphics processor core which could make a big difference to the capabilities of its GPUs if it finds its way into them in the future.
Computing

Yes, you can use Android apps on your Chromebook. Here's how

You can now get Android apps on your Chromebook! Google has enabled the Google Play Store app support on its Chrome OS and Chromebook hardware, so to get you started, here's our guide on how to get Android apps on a Chromebook.
Computing

Microsoft targets Chrome OS with $189 Windows 10 laptops for education

Microsoft announced seven new low-cost Windows 10 laptops, all priced under $300 to take on Chromebooks and iPads in the education market, along with a new Microsoft Allora stylus for students using the Surface Go tablet.
Computing

Lenovo patent hints at a future tablet with a folding screen

Folding devices are a new trend, and according to a recent patent, Lenovo is considering a foldable 2-in-1 with a hinge mechanism that would allow consumers to bend back the screen on the device. 
Computing

Wifi Porter is a high-tech block of wood that lets you share your broadband

Tired of manually connecting your guests to your home Wi-Fi network? The latest invention from the folks at Ten One Design, the WifiPorter, allow individuals to connect to your Wi-Fi with the tap of their phone, or by scanning an available…
Computing

Midrange Nvidia GTX 1660 Ti graphics card may be 20 percent faster than GTX 1060

In the freshest development in graphics card rumors, alleged benchmarks are showing that the GTX 1660 Ti graphics card could be as much as 20 percent faster when compared to the older GTX 1060. 
Computing

Work and play anywhere with these portable, large-screen monitors

Via a recent and successful Kickstarter campaign by Unick, a new line of portable, large-screen monitors has been announced. The Gemini Taihe line of monitors offers two models: the Gemini FHD and the Gemini UHD.
Product Review

The Digital Storm Aventum X is an unstoppable gaming PC. Trust us, we tried

Packed with dual-Nvidia RTX 2080 Ti graphics card and a 9th-generation Intel Core i9 processor, the Aventum X is an infinitely upgradeable gaming PC that’s capable of far more performance than you’ll ever need.