[Times - Taipei] Industrial Control Memory Module Factory Yiding (5289) Yesterday (29) participated in the cabinet buying center performance presentation, Chairman Jian Chuansheng said that although NAND Flash is out of stock now has an impact on everyone, but should Ding has a good grasp of upstream supply. In the first two months of this year, with strong market demand, revenue has grown significantly compared with the same period of last year. This year, it will actively deploy six major fields and pursue operational growth targets.

Yiding's consolidated revenue last year reached 4.46 billion yuan, with an average gross profit margin of 27.2%. The net profit attributable to the parent company was 464 million yuan, and the net profit per share was 7.06 yuan. The board of directors of Yiding will issue a dividend of 4.5 yuan this year, including a cash dividend of 4.0 yuan and a stock dividend of 0.5 yuan.

In the first quarter of this year, the demand for industrial control related memory was significantly stronger. In addition, the DRAM and NAND Flash modules were smoothly upgraded. Yiding's consolidated revenue in February decreased by 2.2% to 436 million yuan, a 50.9% increase over the same period last year. Better than market expectations, the accumulated revenue for the first two months of this year reached 882 million yuan, a significant increase of 31.6% compared with the same period last year.

According to Jianchuan Sheng, in terms of NAND Flash, the particles used in Yiding are mainly SLC specifications, and the source of supply is very high, not the TLC specification particles that are currently out of stock. He said that Yiding's current order visibility is very high, and the demand of customers in the second quarter is still strong, optimistic about the performance outlook. As for the situation of DRAM out of stock, the forecast will continue, and the supply of goods becomes a key. For this year, the peak season will not be obvious, but there is no need to worry about the demand.

In the future, Yiding will lock in the development of six major fields, which are very promising industries, including factory automation, server and virtualization applications, in-vehicle systems, gaming industry, digital surveillance high-end photography, and aerospace defense systems. According to Jian Chuansheng, the demand for digital surveillance and high-end video is booming, including drones, deep learning, and artificial intelligence. The gaming industry has been introduced by US and Australian customers, and orders and profits are very stable. (News source: Business Times - Tu Zhihao, Taipei Report)