Flash device controller IC supplier Silicon Motion Technology has reported net sales increased 14% from a year earlier to US$252.4 million in the second quarter of 2022, when sales of its eMMC and UFS controllers surged 55-60% on year.
Silicon Motion's net sales for the second quarter represent a 4% sequential increase, with eMMC and UFS controller sales rising 5-10% on quarter.
Silicon Motion also disclosed its SSD controller sales saw an up to 5% decrease sequentially in the second quarter, while sales of its SSD solutions grew 25-30% on quarter.
Silicon Motion's gross margin climbed to 53% in the second quarter from 51% during the same period in 2021, when net profits on a non-GAAP basis grew about 19% on year to US$62.75 million.
"In the second quarter, our revenue continued to grow despite market conditions affected by COVID-19 lockdowns in China, Russia's invasion of the Ukraine and a slowing global economy," said Wallace Kou, president and CEO of Silicon Motion. "Growth of our SSD controller sales to customers building PCIe Gen 4 SSDs for PC OEMs remained very strong while sales to channel markets softened. Our eMMC+UFS controller sales to both smartphone and non-smartphone end-markets also grew."
Silicon Motion in May 2022 announced its pending sale to MaxLinear, and claimed it will operate independently after the deal is completed. The US-based broadband communication chip specialist has agreed to take over Silicon Motion for US$3.8 billion in a cash and stock deal, which is expected to close by the first half of calendar 2023.
Article translated by Jessie Shen
