2Q 2009 Nanya Technology Investor Conference
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2Q 2009 Nanya Technology Investor Conference Dr. Pei-Lin Pai, VP & Spokesman Aug. 6, 2009
Transcript of 2Q 2009 Nanya Technology Investor Conference
1Dr. Pei-Lin Pai, VP & Spokesman Aug. 6, 2009
August 6, 2009 2
AgendaAgenda
Jun’09 & Jul’09 Revenue 2Q’09 Revenue & Results NTC Outlook DRAM Market Outlook Elixir Promotion Q&A
3
August 6, 2009 4
3,093 2,737
3,326 3,500
4,255 3,959
3,291 3,243
1,460 1,431
1,948
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
NT$ Million
2008 2009
17,115
12,003
13,403
1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09
NT$Million
Revenue 31% -15%
Shipment 2% 14%
ASP 31% -32% Exchange Rate -2% 9%
Inventory level within 5 weeks at the end of 2Q’09
August 6, 2009 8
2Q 2Q ‘‘09 Income Statement09 Income Statement
Note 1: “+” indicates improvement in 2Q’09, while “-” indicates the opposite.
2Q'09 1Q'09 2Q'08
Net Sales 8,085 100% 6,172 100% 31% 9,530 100% -15%
Cost of Goods Sold 12,281 152% 13,161 213% 12,983 136%
Gross Margin -4,196 -52% -6,989 -113% 40%1 -3,453 -36% -22%1
SG&A Expenses 618 8% 486 8% 575 6%
R&D Expenses 831 10% 871 14% 1,838 19%
Operating Income -5,644 -70% -8,347 -135% 32%1 -5,866 -62% 4%1
Non-operating Income (Exp.) -905 -11% -2,166 -35% -1,426 -15%
Income before Tax -6,549 -81% -10,513 -170% 38%1 -7,292 -77% 10%1
Income Tax Expense 0 0% 0 0% 0 0%
Net Income -6,549 -81% -10,513 -170% 38%1 -7,292 -77% 10%1
YoYQoQ
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Technology Conversion UpdateTechnology Conversion Update
Conversion Schedule in Fab 3A 68nm conversion from 2Q’09 50nm conversion from 3Q’09
Main Products Cost vs. 70nm Capacity 2Gb DDR3; 1Gb DDR3; 1Gb DDR2; low power & consumer DRAM
68/50nm
53%
37%
57%
June 22nd, 2009
26th, 2009.
Billion supported by the Formosa
Group completed on June 26th, 2009
Equity Finance in 2H’09/1H’10.
(Public Offering/Private Placement)
1Q'09 2Q'09
$NT Millions
DRAM Market OutlookDRAM Market Outlook
Demand Better than expected PC sales encourages stronger demand in 3Q’09. Strong DDR3 demand in servers, and newly launched NB (including CULV) in 2H’09. DRAM demand of digital consumer devices shift from DDR1 to higher density DDR2.
Supply Limited DDR3 supply from major suppliers in 3Q’09. Limited total supply growth in 3Q’09.
Price Robust growth of contract price continues in 3Q’09 for both DDR2 and DDR3. Spot price continues to increase due to better channel confidence in 3Q’09.
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August 6, 2009 15
Elixir New Products New High Performance/ Server Memory for Upgrading Market
DDR3-1066/1333 4GB RDIMM DDR3-1066/1333 2GB RDIMM
DDR2-667/800 1/2/4GB FBDIMM (w/ Intel HS)
DDR3-1066/1333 1/2GB UDIMM w/ECC
August 6, 2009 16
May 2009 France
May 2009 Turkey
heatsink x 3
April 2009 Turkey
with heatsink
Rexware (France)
August 6, 2009 19
Chitec 2009 5/20~5/24
nanya.com 20August 6 2009
Jun’09 & Jul’09 Revenue
2Q’09 Revenue & Results
August 6, 2009 2
AgendaAgenda
Jun’09 & Jul’09 Revenue 2Q’09 Revenue & Results NTC Outlook DRAM Market Outlook Elixir Promotion Q&A
3
August 6, 2009 4
3,093 2,737
3,326 3,500
4,255 3,959
3,291 3,243
1,460 1,431
1,948
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
NT$ Million
2008 2009
17,115
12,003
13,403
1Q07 2Q07 3Q07 4Q07 1Q08 2Q08 3Q08 4Q08 1Q09 2Q09
NT$Million
Revenue 31% -15%
Shipment 2% 14%
ASP 31% -32% Exchange Rate -2% 9%
Inventory level within 5 weeks at the end of 2Q’09
August 6, 2009 8
2Q 2Q ‘‘09 Income Statement09 Income Statement
Note 1: “+” indicates improvement in 2Q’09, while “-” indicates the opposite.
2Q'09 1Q'09 2Q'08
Net Sales 8,085 100% 6,172 100% 31% 9,530 100% -15%
Cost of Goods Sold 12,281 152% 13,161 213% 12,983 136%
Gross Margin -4,196 -52% -6,989 -113% 40%1 -3,453 -36% -22%1
SG&A Expenses 618 8% 486 8% 575 6%
R&D Expenses 831 10% 871 14% 1,838 19%
Operating Income -5,644 -70% -8,347 -135% 32%1 -5,866 -62% 4%1
Non-operating Income (Exp.) -905 -11% -2,166 -35% -1,426 -15%
Income before Tax -6,549 -81% -10,513 -170% 38%1 -7,292 -77% 10%1
Income Tax Expense 0 0% 0 0% 0 0%
Net Income -6,549 -81% -10,513 -170% 38%1 -7,292 -77% 10%1
YoYQoQ
9
Technology Conversion UpdateTechnology Conversion Update
Conversion Schedule in Fab 3A 68nm conversion from 2Q’09 50nm conversion from 3Q’09
Main Products Cost vs. 70nm Capacity 2Gb DDR3; 1Gb DDR3; 1Gb DDR2; low power & consumer DRAM
68/50nm
53%
37%
57%
June 22nd, 2009
26th, 2009.
Billion supported by the Formosa
Group completed on June 26th, 2009
Equity Finance in 2H’09/1H’10.
(Public Offering/Private Placement)
1Q'09 2Q'09
$NT Millions
DRAM Market OutlookDRAM Market Outlook
Demand Better than expected PC sales encourages stronger demand in 3Q’09. Strong DDR3 demand in servers, and newly launched NB (including CULV) in 2H’09. DRAM demand of digital consumer devices shift from DDR1 to higher density DDR2.
Supply Limited DDR3 supply from major suppliers in 3Q’09. Limited total supply growth in 3Q’09.
Price Robust growth of contract price continues in 3Q’09 for both DDR2 and DDR3. Spot price continues to increase due to better channel confidence in 3Q’09.
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August 6, 2009 15
Elixir New Products New High Performance/ Server Memory for Upgrading Market
DDR3-1066/1333 4GB RDIMM DDR3-1066/1333 2GB RDIMM
DDR2-667/800 1/2/4GB FBDIMM (w/ Intel HS)
DDR3-1066/1333 1/2GB UDIMM w/ECC
August 6, 2009 16
May 2009 France
May 2009 Turkey
heatsink x 3
April 2009 Turkey
with heatsink
Rexware (France)
August 6, 2009 19
Chitec 2009 5/20~5/24
nanya.com 20August 6 2009
Jun’09 & Jul’09 Revenue
2Q’09 Revenue & Results
