Nanya Technology ranks No. 2 on Asia300 top performer list

Taipei, Nanya Technology Corp., the dynamic random memory access (DRAM) chip manufacturing arm of the Formosa Plastics Group, was ranked second in the 2019 Asia300 leading company list released recently by Nikkei Asian Review.

Nanya Technology was also the highest-ranked Taiwanese company on the latest Asia300 Top Performer list, up from 37th in 2018.

The Asia300 leading company considers four factors in its rankings: revenue growth, net profit growth, net profit margin and return on equity.

Stock analyst Wang Chao-li (???) said the rise of Nanya Technology largely resulted from the significant growth in the global memory chip market assisted by recovering product prices in the past two years.

According to IC Insights, a global semiconductor market information advisory firm, revenue generated in the global memory market rose 26 percent from a year earlier in 2018, beating the overall growth of 14 percent for the entire IC market.

In 2017, sales of the global memory chip market rose 64 percent year-on-year, compared with a 25 percent rise in the overall semiconductor market, IC Insights said.

Nanya Technology posted earnings per share of NT$12.38 and NT$13.92, respectively, in 2017 and 2018, after reporting an EPS of NT$8.64 in 2016.

Due to the booming memory chip market, SK Hynix Inc. of South Korea, a rival of Nanya Technology, took first place in the 2019 Asia300 leading firm list, up from 27th in 2018.

Largan Precision Co., a supplier of smartphone camera lenses to Apple Inc., fell four notches from a year earlier to fifth in 2019 after the company had ranked first on the list the previous two years.

The fall reflected a 6 percent decline in sales in 2018 due to disappointing iPhone shipments, as Apple accounts for about 40 percent of Largan's total revenue.

In addition to Nanya Technology and Largan, eight other Taiwanese companies made it into the top 100.

Among the eight, Taiwan Semiconductor Manufacturing Co., the world's largest contract chipmaker, took 12th, metal casing supplier Catcher Technology Co. was 14th, Shanghai Commercial and Savings Bank was 16th, Eclat Textile Co. was 26th, and contract shoe maker Feng Tay Enterprises Co. was 35th.

Industrial computer maker Advantech Co. was 38th, Formosa Plastics Corp. was 53rd, and Taiwan Cement Corp., the largest cement supplier in Taiwan, ranked 90th in that company's first appearance in the top 100 rankings.

Wang said SK Hynix and Nanya Technology have faced downward pressure in product prices since the beginning of this year, and it is unlikely they will rank as high in next year's Asia300 top performer list.

Source: Focus Taiwan News Channel