TAIPEI (Taiwan News) — Winbond President Chen Pei-ming (陳沛銘) said Wednesday the company expects a better performance this year despite a weak Q4 last year.

Chen said at an investor conference that Q4 2024 marked the lowest point in the memory maker’s operations last year, per CNA. Winbond’s Q4 revenue was NT$18.69 billion (US$570 million), down 12.3% quarter-over-quarter, affected by declining product prices.

Gross margin fell by two percentage points to 27.2%, and the company reported a net loss of NT$678 million for the quarter, with an earnings per share loss of NT$0.15.

Chen explained that the networking market has faced weak demand for years, but conditions are expected to improve in the second half of this year. This recovery will help ease DRAM oversupply, potentially leading to price increases.

Regarding the overall industry outlook, Chen noted that market conditions remain unclear. It is uncertain whether US tariffs will lead customers to advance their orders, per Liberty Times. However, as the market changes, the company will too, he added.

Winbond’s capital expenditure for its memory business in 2024 was approximately NT$15.5 billion, NT$500 million lower than its estimate. Of this, 70% was allocated to expanding its Kaohsiung plant’s capacity.

This year, the company plans to allocate around NT$5.3 billion for final equipment payments at the Kaohsiung plant and for improving research and development.