Bad memories hit chip results

Bad memories hit chip results
David Manners The ghastly memory market was blamed for poor results from Hitachi, NEC and Mitsubishi Electric. Mitsubishi recorded a loss of ?106bn (?471m) and decided not to pay a dividend on its shares. Hitachi reported profits down 96 per cent to ?3.48bn (?15m) and NEC reported a profits fall of 55 per cent to ?41bn (?182m). Hitachi took a one-off hit of ?117.5bn (?522m) on the closure of TwinStar Semiconductor – the company’s Dallas-based DRAM manufacturing joint venture with Texas Instruments. Hitachi will cut its semiconductor investment by 33 per cent this year to ?120bn (?533m). However, NEC is keeping its semiconductor investment at the same level as last year – ?180bn (?800m). NEC took a hit from its half share of PC-maker Packard-Bell which lost $500m last year. The market situation was described as ‘unforgiving’ by NEC, ‘severe’ by Mitsubishi and ‘very challenging’ by Hitachi.


Leave a Reply

Your email address will not be published. Required fields are marked *

*