Memory chip manufacturer Macronix announced its second-quarter financial results, revealing a net loss per share of NT$0.15. Although this marks the fourth consecutive quarter of losses, the company has seen a reduction in its net loss, and it anticipates revenue growth in the third quarter.
For the second quarter, Macronix reported consolidated revenue of NT$6.456 billion, up 12% from the first quarter but down 13% year-on-year. The gross profit margin improved significantly to 30%, compared to 19.8% in the previous quarter. The net loss for the quarter was NT$286 million, translating to an EPS net loss of 0.15 yuan, a substantial improvement from the first quarter’s EPS net loss of 0.58 yuan. Cumulatively, the first half of 2024 saw consolidated revenue of NT$12.216 billion, a 16% decrease from the same period last year, with a net loss of NT$1.365 billion and an EPS net loss of 0.74 yuan.
General Manager Lu Zhiyuan attributed the second-quarter revenue impact to earthquake-related losses, amounting to approximately NT$300 million, despite insurance claims. Excluding these losses, Macronix’s pre-tax profit for the quarter was nearly balanced. Lu projected that third-quarter performance would surpass that of the second quarter, indicating a stronger second half of the year.
In terms of product outlook, Lu noted a conservative automotive market for NOR Flash but highlighted increased demand in computers, consumer electronics, and communications, reaching 2022 levels. He expects NOR Flash performance in the third quarter to match or exceed second-quarter results, with product prices improving in the second half. Macronix’s 3D NOR Flash development is on track, with availability expected in November and mass sales beginning in 2025. Additionally, the 192-layer stacked NAND Flash is slated for product certification completion in the fourth quarter.
Overall, Macronix is optimistic about its future prospects, with Lu hinting at a potential return to dividend levels of 1.5 yuan per share soon.
