Nanya Technology plans to increase its capital spending to $6.2 billion in 2027, up from $1.55 billion in 2023, as second-quarter revenue skyrockets by 684% to T$82.55 billion. The surge is primarily driven by a more than 70% increase in average selling prices for DRAM, pushing gross margins to 79.5%.
Nanya Technology's President Pei-Ing Lee announced plans to increase capital expenditure to more than TW$200 billion ($6.2 billion) in 2027. This figure is nearly four times more than the company's expected spending for 2023, demonstrating a substantial shift in investment strategy as Nanya anticipates continued growth in the memory market.
For the second quarter of 2026, Nanya reported revenue of T$82.55 billion, marking an increase of 684% compared to 2025. Net income also saw an extraordinary rise, increasing 1,324% to T$50.19 billion. This surge is attributed mainly to a significant rise in average selling prices (ASPs), rather than volume increases, as bit shipments decreased slightly.
The company's gross margin reached 79.5%, a stark improvement from a negative margin of 20.6% during the second quarter of 2025. This margin closely aligns with the 85% reported by Micron, indicating strong pricing power and profitability in conventional DRAM products.
Nanya entered a private placement with SanDisk, Kioxia, Solidigm, and Cisco, raising T$78.72 billion for approximately 10.19% of the company. These partnerships are critical as these companies rely on Nanya's DRAM products for cache in their SSDs.
Looking ahead, Nanya aims for a substantial increase in bit shipments while managing pricing dynamics. The upcoming customized high-bandwidth memory for edge AI, developed with Etron Technology and other partners, is expected later this year, diversifying the company's offerings in a growing sector.
✨ This summary was generated by AI from the outlets' reporting listed below. It is not independently verified and may contain errors — check the original sources. How BrevFeed works →
Nanya Technology plans to increase its capital spending to $6.2 billion in 2027, up from $1.55 billion in 2023, as second-quarter revenue skyrockets by 684% to T$82.55 billion. The surge is primarily driven by a more than 70% increase in average selling prices for DRAM, pushing gross margins to 79.5%.