[TodayIR] NTC: Nanya Technology Reports Fourth Quarter 2013 and

  [TodayIR] NTC: Nanya Technology Reports Fourth Quarter 2013 and Year 2013
                                   Results

Taoyuan, Taiwan, January 28th, 2014 – Nanya Technology Corporation, (TWSE:
2408), today announced its results of the fourth quarter, ended December 31st,
2013. Nanya’s quarterly sales revenue is NT$12,416 million, an increase of
8.4 percent compared to the third quarter in year 2013, due primarily to a
10.5 percent increase in average selling prices (ASP) compared to the previous
quarter, while New Taiwan Dollar appreciated 1.2 percent. Cost of Goods Sold
for the quarter included a charge of NT$ 320 million for the write-down of
inventories. Operating income of the quarter was NT$ 1,170 million. The
quarter recognized NT$ 2,896 million from Inotera’s profits under equity
method (Nanya currently held 26 percent ownership interest in Inotera). The
company had net Income attribute to Nanya Technology shareholders of NT$3,989
million, or NT$ 0.17 per diluted share (the earnings per share calculations
are based on weighted average outstanding shares of 23,960 million). The 2013
annual sales revenue was NT$ 46,954 million, 38.6 percent increase compared to
last year’s. In year 2013, the average selling price increase 37.4 percent,
the sales volume and exchange rate were about flat year-over year. Operating
income in year 2013 was NT$ 4,093 million and the net income attribute to
Nanya Technology shareholders of NT$ 8,169 million or NT$ 0.34 per diluted
share (the earnings per share calculations are based on weighted average
outstanding shares of 23,960 million). All numbers are unaudited.

Positive results of year 2013 attributed to average selling price (ASP)
increase, the recognition of profits from Inotera, product portfolio
strengthen, and cost improvement. Nanya reached 70 percent of sales revenue in
consumer and low power sectors in the fourth quarter. The company plans to
enhance its non-PC product sectors to reach 80 percent of total sales revenue
in 2014. 

Nanya's capital expenditures (capex) for the year 2013 were approximately NT$
5.61billion. In Q1 2014, the 30nm conversion will reach 70 percent wafers
output of total capacity. Regarding bit growth in 2014, while the company no
longer has capacity from Inotera, the bit shipment of the year is estimated to
down mid-teen percent compared with 2013. The Capex guidance for 2014 is
estimated to be around NT$ 3 billion, mainly for 30nm capacity enhancement and
20nm preparation. The company secured an NT$ 12 billion syndicated loan on
January 2nd, 2014; the fund is mainly for financing working capital and loan
repayments.

For the DRAM market outlook, the company anticipates the moderate growth in
supply and demand for the first quarter of 2014, and expects balance through
the year which will lead to stable or moderate fluctuation on DRAM pricing in
the first quarter and the year.