Market conditions are still poor, South Asia Branch's January revenue slipped to a low of 19 months

  

DRAM factory South Asia Branch consolidated its revenue in January with a total revenue of 4.258 billion Taiwan dollars (the same unit), a decrease of 11.82% per month, a decrease of 30.73% compared with the same period of last year, which was the lowest in 19 months, mainly due to the weakening demand of the memory industry. The impact of price declines.

South Asia's average product price in January fell 14% to 16%, even if shipments increased by 4% to 6%, the overall January revenue continued to decline. General Manager Li Peiyu said at the financial report that looking forward to the market situation in 2019, due to the global economic slowdown, DRAM is expected to be relatively conservative in the first half of the year, and prices will still decline. The estimated price decline is similar to that of the fourth quarter of last year. About 10%, the second season will also decline.

However, Li Peiyu believes that the third quarter of this year is a seasonal peak season, coupled with the CPU out of stock may be slowed down, the memory price decline is reduced, and the foreign trade war allows manufacturers to adjust the supply chain to other countries, hoping that demand will be in place in the third quarter, looking forward to Demand is more stable, and the 5G effect can also stimulate demand.

However, even if South Asia Branch waits for the industry to pick up in the second half of the year, the overall market is still conservative in terms of capital expenditure. South Asia Branch has already cut half of its capital expenditures, estimated to be only about 10 billion yuan.