Nanya expected to swing to profit

Nanya Technology is expected to follow in the footstep of Inotera Memories, and manage to return to profitability, according to market sources.

A rally in DRAM prices boosted Nanya's inventory value during the first quarter of 2013, the sources indicated. The firm had previously piled up several hundred million computer chips, despite the fact that it has set a target of growing non-PC DRAM revenues, the sources said.

Buoyed by the rising value of DRAM inventory held by the firm, Nanya will see its quarterly loss shrink significantly and may even swing to profits, the sources noted.

Inotera recently reported its first monthly profit in about three years, making earnings of more than NT$1.1 billion (US$36.7 million) in March 2013.

In addition, Nanya and Inotera have disclosed their March sales figures. Nanya's consolidated revenues for March 2013 increased 18.6% sequentially and 22.2% from a year ago to NT$3.63 billion, while consolidated sales at Inotera grew 35.9% on month and 36.7% from a year earlier to NT$3.44 billion.

Nanya and Inotera are both scheduled to discuss their first-quarter 2013 results at an upcoming investors meeting on April 23.

Inotera, Nanya: Consolidated revenues, Jan 2013 - Mar 2013 (NT$m)
Month	Nanya		Inotera
	Sales	Y/Y	Sales	Y/Y
Mar-13	3,632	22.2%	3,443	36.7%
Feb-13	3,063	(8%)	2,533	(2.2%)
Jan-13	2,551	(3.4%)	2,656	(5.7%)

*Figures are consolidated
Source: TSE, compiled by Digitimes, April 2013