Feeds

Elpida declares first annual profit

But figures below expectations

  • alert
  • submit to reddit

Providing a secure and efficient Helpdesk

Elpida declared its first ever annual profit yesterday as it unveiled its fourth quarter results.

For the three months to 31 March 2005, Elpida recorded revenues of ¥50.73bn ($480m), up 57.5 per cent on the year-ago quarter's ¥30.21bn ($286m). Net income went the other way, falling from a ¥490m ($4.6m) profit to a loss of ¥1.68bn ($15.9m). Earnings fell from ¥7.58 (7c) a share to a loss of ¥17.37 (16c) a share.

For the year as a whole, the company said sales reached ¥207.03bn ($2bn), up more than 106 per cent from FY2004's ¥100.44bn ($951m). Annual net income came to ¥8.21bn ($78m), a big improvement on last year's ¥26.87bn ($254m) loss.

Both revenue and income totals were below the company's expectations: ¥211-214bn ($2-2.1bn) and ¥12-16bn ($113-151m), respectively.

Company president Yukio Sakamoto said the firm must continue to drive down costs, which will be a key element in its strategy for the coming year. In part, that will mean accelerating its adoption of 90nm fabrication technology, which in the case of 512Mb ECC DDR 2 chips, for example, will yield a 51 per cent cost saving over Elpida's current 110nm process, it said.

Elpida began punching out 90nm chips on 300mm wafers earlier this month. Volume production is slated for Q4, by which time it expects 90nm parts to account for 15 per cent of its output.

Elpida will invest ¥143.6bn ($1.4bn) in new plant this fiscal year, 19 per cent more than it did last year. Most of the money will be spent on a second 300mm wafer fab, using an 80nm process.

The upshot of all this activity, the company forecast, will be a 26 per cent increase in sales to ¥260bn ($2.5bn) for FY2006. The company also predicted operating profits for next year would jump 70 per cent to ¥14bn ($133m), with a positive net income. ®

Related stories

Legal costs cut Rambus earnings
Elpida slashes FY2004 income forecast
Toshiba, Elpida prep 'industry's fastest' DRAM
Elpida samples 256Mb 800MHz DDR 2 chips
Elpida licenses 'DVD on a chip' memory tech

Beginner's guide to SSL certificates

More from The Register

next story
Scrapping the Human Rights Act: What about privacy and freedom of expression?
Justice minister's attack to destroy ability to challenge state
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
DVLA website GOES TITSUP on day paper car tax discs retire
Welcome to GOV.UK - digital by de ... FAULT
Hey Brit taxpayers. You just spent £4m on Central London ‘innovation playground’
Catapult me a Mojito, I feel an Digital Innovation coming on
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
EU probes Google’s Android omerta again: Talk now, or else
Spill those Android secrets, or we’ll fine you
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.