Kioxia Holdings delivered a profit outlook that trailed estimates, warning that an AI-fueled surge in flash memory chip prices was fading after several quarters of breakneck growth.
The Tokyo-based rival to Samsung Electronics, SK Hynix and Micron Technology said it expects an operating profit of ?2 trillion ($12.7 billion) in the current quarter, falling well short of estimates for ?2.35 trillion and suggesting nearly flat quarter-on-quarter price rises. That’s after the company’s average selling price of NAND flash memory rose a mid-20% in the three months to September, compared with 70% in the prior quarter, it said.
Shares of Kioxia fell 11% Friday on Tradegate after the results.
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