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Chipmaker Kioxia Reports AI-Driven 45-Fold Surge in Quarterly Net Profit
Kioxia said net profit rose to 842.2 billion yen as AI data center demand pushed memory chip prices higher.
- On Friday, Kioxia Holdings reported April-June net profit of 842.2 billion yen , up from 18.3 billion yen a year ago, but issued a disappointing outlook suggesting the AI-driven NAND flash memory surge may be moderating.
- Murata Manufacturing President Norio Nakajima raised concerns on Friday that the world's largest data center operators' spending pace may not last due to rising competition and debt, as Kioxia supplies NAND storage chips for these servers tracking demand from Meta Platforms.
- Operating profit rose around 2,700 percent year-on-year to 1.3 trillion yen in the June-quarter, yet the company missed analyst estimates. Kioxia announced a 3-for-1 stock split and a buyback of up to 800 billion yen to broaden its shareholder base.
- Despite shares rising nearly 1,500 percent over the past year, they lost more than half their value this month. Matsui Securities chief market analyst Tomoichiro Kubota questioned whether the buyback will sufficiently offset the earnings miss and investor concerns.
- Kioxia plans a U.S. listing similar to SK Hynix, which made its Wall Street debut this month, while intending to increase capacity only slightly faster than industry growth to avoid flooding the market amid South Korean competition.
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(Tokyo=Yonhap News) Correspondent Lee Do-yeon = Japanese NAND flash manufacturer Kioxia Holdings (hereinafter Kioxia) reported that its net profit for April–June this year was 4... compared to the same period last year.
·Seoul, Korea (the Republic of)
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Chipmaker Kioxia reports AI-driven 45-fold surge in quarterly net profit
The global race to build artificial intelligence data centres has turbocharged business for chipmakers -- sending prices soaring for memory components in particular. Kioxia specialises in so-called NAND flash chips, an increasingly hot commodity as AI agents -- tools that carry out real-life tasks for users -- require ever-more storage space. Kioxia said net profit in the April-June quarter came to 842.2 billion yen ($5.3 billion), a huge jump f…
·Issy-les-Moulineaux, France
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Total News Sources13
Leaning Left0Leaning Right3Center7Last UpdatedBias Distribution70% Center
Bias Distribution
- 70% of the sources are Center
70% Center
C 70%
R 30%
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