Nintendo, chip prices inflate Macronix profit

Taipei Times
Date:  Jul 26, 2019
By: Lisa Wang  /  Staff reporter

Macronix International Co (旺宏電子) yesterday said that net profit last quarter soared 86 percent quarter-on-quarter, driven by strong demand from its top client, Nintendo Co, and stabilizing chip prices.

Chip prices have been in a downward spiral since the third quarter of last year amid sluggish demand, partly due to a trade spat between the US and China, the memorychip maker said.

Net profit jumped to NT$264 million (US$8.49 million) in the quarter that ended on June 30, compared with NT$142 million in the first quarter, it said, adding that gross margin improved from 25 percent to 27 percent in the period.

Revenue from its read-only memory (ROM) chips showed the fastest growth of 75 percent, thanks to rising demand from Nintendo following the launch of new Nintendo Switch game consoles.
[FULL  STORY]

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