Nvidia-supplier SK Hynix third-quarter revenue jumps 62% to a report excessive

South Korea’s SK Hynix, one of many world’s largest reminiscence chipmakers, on Wednesday posted report quarterly income and revenue, boosted by a robust demand for its excessive bandwidth reminiscence utilized in generative AI chipsets.

Listed below are SK Hynix’s third-quarter outcomes versus LSEG SmartEstimates, that are weighted towards forecasts from analysts who’re extra persistently correct:

• Income: 24.45 trillion gained ($17.13 billion) vs. 24.73 trillion gained
• Working revenue: 11.38 trillion gained vs. 11.39 trillion gained

Income rose about 39% within the September quarter in contrast with the identical interval a 12 months earlier, whereas working revenue surged 62%, 12 months on 12 months.

SK Hynix makes reminiscence chips which might be used to retailer knowledge and may be present in all the things from servers to client gadgets equivalent to smartphones and laptops.

“As demand throughout the reminiscence phase has soared on account of prospects’ increasing investments in AI infrastructure, SK Hynix as soon as once more surpassed the record-high efficiency of the earlier quarter on account of elevated gross sales of excessive value-added merchandise,” SK Hynix stated in its earnings launch. 

The corporate has benefited from a growth in synthetic intelligence as a key provider of high-bandwidth reminiscence or HBM chips used to energy AI knowledge heart servers. 

HBM falls into the broader class of dynamic random entry reminiscence, or DRAM — a sort of semiconductor reminiscence used to retailer knowledge and program code that may be present in PCs, workstations and servers.

SK Hynix has set itself aside within the DRAM market by getting an early lead in HBM and establishing itself as the principle HBM provider to the world’s main AI processor maker, Nvidia. 

Nevertheless, its essential rivals, U.S.-based Micron and South Korean-based tech big Samsung, have been working to catch up within the area.