MediaTek's July Revenue Soars 43.59% to NT$45.61B

MediaTek has announced its financial results for July, reporting a record revenue of NT$45.61 billion. This represents a 5.84% increase from the previous month and a significant 43.59% rise compared to the same period last year. For the first seven months of 2024, MediaTek's cumulative revenue reached NT$306.39 billion, marking a 35.82% year-over-year growth.

In its outlook for the third quarter, MediaTek anticipates stable performance across its key product lines—smartphone chips, smart devices, and power management chips. The company projects quarterly revenue to fall between NT$123.5 billion and NT$132.4 billion, which would represent a potential decline of 3% or growth of up to 4% compared to the second quarter.

Market analysts estimate that MediaTek's revenue for August and September will range between NT$39 billion and NT$43.4 billion. Growth in demand for 4G SoCs in emerging markets is expected to help mitigate the slowing demand for 5G SoCs in the third quarter.

MediaTek also noted that while customers are likely to continue reducing inventory levels, the overall inventory remains healthy. The company expects to return to typical seasonal patterns in the second half of the year, with fourth-quarter performance largely driven by consumer product demand.

Looking ahead, MediaTek's flagship 3nm Dimensity 9400 chip is slated for an October release. The company forecasts a revenue growth of over 50% for its flagship products in 2024, with annual revenue in USD expected to rise by 14% to 16%. MediaTek also predicts a modest increase in smartphone shipments for the year, with 5G penetration likely to exceed 60%.