The Korea Times close
National
  • Politics
  • Diplomacy
  • Defense
  • Labor & Environment
  • Law & Crime
  • Health & Welfare
  • Embassy
  • Seoul & Provinces
  • Education
  • Foreign Communities
  • Obituaries
Biz & Tech
  • Auto
  • IT
  • Game
  • Manufacturing
  • Retail & Food
  • Energy
  • Construction
  • Airlines
Finance
  • Policies
  • Economy
  • Markets
  • Banks
  • Non-banks
Opinion
  • Editorial
  • Columns
  • Thoughts of the Times
  • Cartoon
  • Today in History
  • Blogs
  • Tribune Service
  • Blondie & Garfield
  • Letter to the Editor
Lifestyle
  • Arts
  • Books
  • Travel & Cuisine
  • Trend
  • Fashion
  • Around Town
  • Fortune Telling
Entertainment
  • K-pop
  • K-dramas & Shows
  • Movies
  • Music
  • Performances
  • Asia Model Festival
Sports
  • Football
  • Golf
  • Baseball
  • Other Sports
World
  • Asia Pacific
  • Americas
  • Europe & Africa
  • SCMP
Video
  • On the Spot
  • Feature
  • News
Photos
  • Photo News
  • Darkroom
Community
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
  • The Korea Times
  • search
  • Site Map
  • E-paper
  • Subscribe
  • Register
  • LogIn
search close
Biz & Tech
  • Auto
  • IT
  • Game
  • Manufacturing
  • Retail & Food
  • Energy
  • Construction
  • Airlines
Sat, April 17, 2021 | 02:24
China earthquake to benefit Samsung, SK
Posted : 2016-06-20 18:37
Updated : 2016-06-21 09:29
Mail
Print Preview
Font Size Up
Font Size Down
By Kim Yoo-chul

A brief power supply disruption at Samsung Electronics' latest NAND flash chip-producing facilities will benefit its rival SK hynix and Samsung Electronics, market research firms said Monday.

CLSA, one of leading market research firms, said in a note that it expects the power struggle at Samsung's Xian plant to fuel additional momentum on the supply side as the price of DRAM and NAND flash chips were seeing a sign of upturn.

Samsung Electronics said early Monday that its Xian plan, which is designated to manufacture profitable three-dimensional (3D) vertical (V)-NAND chips was disrupted by a brief power outage on June 18.

Samsung Electronics later said a full normalization will take a few days with the firm stressing that the power outage will have "minimal impact" on the market.

Despite the production shortfall following the Xian fire, improved DRAM pricing and increased NAND flash chips have enabled Samsung to post another record operating margin in the second quarter of this year, higher than consensus, said local market analysts.

CLSA said the disruption will tighten supply in NAND chips ― the components to be used in all digital devices ― in the latter half. The research firm said this situation will help NAND chips see price rise, both of Samsung and SK hynix will be benefited in the mid-term.

"The one-time incident will cost Samsung up to 20 billion won, which is very minimal. It won't make heavy impact on Samsung's chip business and the entire industry," said a local fund manager by telephone. He said his team bought more Samsung Electronics stocks on the Seoul bourse after the incident.

Mirae Asset Securities said its view on Samsung won't be changed because of the disruption of the plant.

Shares of Samsung Electronics rose by 0.35 percent to end at 1,431,000 won on the Seoul bourse, while SK hynix added 3.62 percent to end at 30,050 won, according to the data from the Korea Exchange (KRX).

The chips have helped Samsung assume a dominant position in higher-margin products such as solid-state hard drives for computers and servers. The company expects less than 10,000 wafers to be affected by the disruption.


Emailyckim@ktimes.com Article ListMore articles by this reporter









 
LG
 
  • Delivery workers refuse door-to-door service following residents' unilateral action
  • Debate heats up over Navy's proposal to develop light aircraft carrier
  • North Korea slams Japan over decision to release contaminated Fukushima water
  • Citibank to exit retail banking in 13 markets including Korea
  • Yellow dust storm from China, Mongolia heading towards Korea
  • Biden, Moon to hold in-person summit in Washington next month: White House
  • Lotte Group to withdraw food business from Southeast Asia
  • Local governments propose their own COVID-19 measures
  • 7 years after Sewol ferry disaster, harrowing losses still remembered
  • Kim Boo-kyum, former four-term lawmaker, nominated as Korea's new prime minister
  • 'Hospital Playlist' Season 2 to air on June 17 'Hospital Playlist' Season 2 to air on June 17
  • Abrupt ending of 'Taste of Wife' represents loss of trust in reality TV shows Abrupt ending of 'Taste of Wife' represents loss of trust in reality TV shows
  • Ji Chang-wook to take lead role in new Netflix series 'The Sound of Magic' Ji Chang-wook to take lead role in new Netflix series 'The Sound of Magic'
  • Kim Myung-min returns to small-screen as professor in JTBC's 'Law School' Kim Myung-min returns to small-screen as professor in JTBC's 'Law School'
  • [INTERVIEW] Actor Um Tae-goo has many faces [INTERVIEW] Actor Um Tae-goo has many faces
DARKROOM
  • Ending 'Endless War' [PHOTOS]

    Ending 'Endless War' [PHOTOS]

  • Locust outbreak

    Locust outbreak

  • Death toll rises as protests continue in Myanmar

    Death toll rises as protests continue in Myanmar

  • Say 'NO' to racism (Part 2)

    Say 'NO' to racism (Part 2)

  • Say 'NO' to racism (Part 1)

    Say 'NO' to racism (Part 1)

The Korea Times
CEO & Publisher : Oh Young-jin
Digital News Email : webmaster@koreatimes.co.kr
Tel : 02-724-2114
Online newspaper registration No : 서울,아52844
Date of registration : 2020.02.05
Masthead : The Korea Times
Copyright © koreatimes.co.kr. All rights reserved.
  • About Us
  • Introduction
  • History
  • Location
  • Media Kit
  • Contact Us
  • Products & Service
  • Subscribe
  • E-paper
  • Mobile Service
  • RSS Service
  • Content Sales
  • Policy
  • Privacy Statement
  • Terms of Service
  • 고충처리인
  • Youth Protection Policy
  • Code of Ethics
  • Copyright Policy
  • Family Site
  • Hankook Ilbo
  • Dongwha Group