Memory chip maker Hynix Semiconductor has posted its second straight quarterly loss in the fourth quarter. The company swung into the red in 2011 with revenues down 14% from a year earlier.
Hynix reported KRW2.55 billion (US$2.3 billion) in consolidated sales for the fourth quarter of 2011, up 11% on quarter but down 7% on year. During the quarter, disruptions due to Thailand's floods and weak PC demand resulted in continued difficult market conditions, the company said.
However, Hynix noted its efforts to increase finer process technology production and improve yields, as well as solid demand for mobile and server chips, enabled it to enjoy bit shipment growth sequentially in the fourth quarter. During the quarter, the company saw its DRAM and NAND flash bit shipments climb 30% and 24%, respectively, on quarter despite lower product ASPs.
The maker revealed that its DRAM and NAND flash ASP slid 19% and 17%, respectively, on quarter during the October-December period.
Hynix posted KRW167 billion in operating losses and KRW240 billion in net losses for the fourth quarter. Both figures show improvement compared to larger losses in the prior quarter, the company said. But losses fell from the profits registered in the fourth quarter of 2010.
Hynix slipped to net losses for all of 2011 with consolidated sales slipping 14% to KRW10.4 trillion. Operating profits for the year contracted to KRW325 billion from profits of KRW2.98 billion in 2010.