11.08.2001
Reports a moderate uptick

• Macronix Oct. revenue reached NT$1.9bn, up 6% MoM and down 54% YoY. Mask ROM saw the highest sequential growth at 6% on the back of strong seasonal demand from Nintendo. Flash and EPROM were up a slight 1% while logic IC was down 4%. We expect revenue to stay flat in Nov. and Dec. Over the past 3 quarters, firm has constructed a WIP (work-in-progress) inventory control system for filling capacity, which will boost Y/E inventory to NT$10bn. Consequently, we remain concerned over the company's inventory level, as a likely correction could effect the cost structure and profitability in 1H02.