SK hynix announced its 2023Q3 and full-year financial reports
Recently, SK Hynix announced its financial report for the 2022 fiscal year and the fourth quarter ending on December 31, 2022. It was the first time in ten years that it suffered a single quarterly loss. SK Hynix said that although sales continued to grow last year, the semiconductor market continued to slump from the second half of the year, so operating profit decreased compared with the previous year.
The financial report shows that SK Hynix turned from profit to loss in the fourth quarter of the fiscal year 2022 due to sluggish demand and falling product prices. Its revenue was 7.6986 trillion won (approximately $6.256 billion), its operating loss was 1.7012 trillion won (approximately $1.382 billion), and its net loss was 3.5235 trillion won (approximately $2.863 billion). At the same time, the operating loss rate was 22%, and the net loss rate was 46%. This is the first quarterly operating loss for SK Hynix since the third quarter of 2021.
SK Hynix reiterated what it said when it released its financial report in October last year. It is expected that the oversupply situation on the market will continue for a period of time, and the scale of investment this year will be reduced by 50% or more, estimated at around 10 trillion won. However, SK Hynix still plans to continue to invest in the mass production of major products such as DDR5/LPDDR5 and HBM3 and in future high-growth areas to prepare for the expansion of new markets based on technology and quickly turn losses into profits when market conditions improve.
