South Korean chipmaker SK Hynix’s revenue returned to growth in the final quarter of 2023, driven by improving conditions in the memory market, with demand for AI server and mobile applications increasing and ASP rising. 

CFO Kim Woohyun heralded a reversal of fortune as SK Hynix recorded its first operating profit in four quarters.

The “remarkable turnaround” was due to the company’s “technological leadership in the AI memory space”.

SK Hynix forecasts the overall memory market to record growth in the mid-to-high teens this year as prices continue to improve. It stated annual capex is likely to rise by “a minimum level”: it cut the figure by more than 50 per cent in 2023.

It booked a lower net loss of KRW1.4 trillion ($1.1 billion) in Q4 2023 compared with KRW3.7 trillion in Q4 2022.

Revenue rose 47 per cent to KRW11.3 trillion. 

DRAM revenue rose 59.8 per cent to KRW7.3 trillion, accounting for 65 per cent of its total compared with 60 per cent in Q4 2022

NAND revenue increased 42.5 per cent to KRW3.3 trillion.

Full-year sales fell 27 per cent to KRW32.8 trillion, with the company registering a net loss of KRW9.1 trillion compared with a KRW2.2 trillion profit in 2022.