DRAM chip prices fell more than 20 percent on average in the first quarter as major data centers adjusted their high inventory levels, but SK hynix predicted at a conference call Thursday that demand for DRAMs would recover in the second quarter while data centers are expected to increase their investment from the third quarter.
The company's first-quarter net profit fell 64.7 percent to 1.1 trillion won ($950 million), compared with a profit of 3.1 trillion won a year ago. Sales were down 22.3 percent on-year to 6.77 trillion won and operating profit plummeted 68.7 percent to 1.36 trillion won, the lowest since the third quarter of 2016.