Nanya quadruples 2027 capex to $6.2B on DRAM price surge, 79.5% margin

Nanya Technology announced plans to increase 2027 capital expenditure to over TW$200 billion ($6.2 billion), roughly four times its 2026 budget, as DRAM prices continue to spike amid AI data center buildout. The Taiwanese memory maker posted Q2 2026 revenue of TW$82.55 billion, up 684% year-over-year, with net income of TW$50.19 billion (up 1,324%) and gross margin reaching 79.5% against a negative 20.6% in the same quarter of 2025. That single quarter's profit exceeds Nanya's entire 2025 annual earnings.

Nanya's capex ramp reflects confidence that DRAM supply constraints will persist through at least H1 2027. The new fab in New Taipei City's Taishan District will reach 30,000 wafers per month in 2028 and expand to 45,000 monthly, running at the company's 1B node (10nm-class) to produce DDR5, DDR4, and low-power DDR4. Nanya's average selling price climbed more than 70% quarter-over-quarter in Q1 2026, while bit shipments fell by a mid-single-digit percentage—indicating the entire revenue surge is price-driven, not volume-driven.

For AI architects: DRAM spot pricing remains inflated, but Nanya's massive capex commitment signals that supply rationing may ease in 2028–2029. Notably, Nanya has no high-bandwidth memory capacity and ruled out competing in HBM; customized HBM for edge AI developed with partners is targeted for end-2026. The fab expansion is conventional DRAM-only, not the high-margin AI-memory segment, making this a bet on sustained elevated prices and continued hyperscaler demand growth.