Memory control IC manufacturer Huirong announced its financial report for the third quarter of 2025, with revenue of US$242 million, an increase of 22% from the previous quarter and an increase of 14% compared with the same period last year. In the...
Memory control IC manufacturer Huirong announced its financial report for the third quarter of 2025, with revenue of US$242 million, an increase of 22% from the previous quarter and an increase of 14% compared with the same period last year. In the third quarter, gross profit margin was 48.7%, net profit after tax was US$33.82 million, and earnings per diluted American depositary receipt (ADS) unit was US$1 (approximately NT$31).
Huirong said that the performance of the three major product lines in the third quarter was outstanding. SSD control chips grew by 20%-25% compared with the previous quarter; eMMC/UFS control chips also grew by 20%-25% compared with the previous quarter, and a significant increase of 35%-40% compared with the same period last year; SSD solutions grew by 15%-20% compared with the previous quarter.
Gou Jiazhang, general manager of Huirong Technology, said that in the third quarter of 2025, our performance in all markets was stronger than expected, and revenue growth was better than previous financial forecasts. The revenue performance of eMMC and UFS control chips in the third quarter was outstanding, and the growth momentum came from the recovery of the smartphone market and the increase in our market share. In terms of automotive products, driven by product diversification strategies and the addition of new customers, growth continued in the third quarter.
In addition, our industry-leading consumer PCIe Gen5 SSD controller chip revenue increased significantly by 45% compared with the previous quarter, mainly due to the gradual popularity of edge AI PCs in the market and the continued introduction of mainstream hardware components by white-label AI server manufacturers. The resources we have invested in the past few years are gradually bearing fruit, and we have begun to benefit from our diversified product portfolio and market presence. We believe that with our increasingly expanding product portfolio, covering consumer, enterprise, automotive and industrial storage solutions, we have laid the foundation for long-term stable growth.
Looking forward to the future, Gou Jiazhang emphasized that our efforts in product and market diversification have shown results in revenue and profitability. In 2025, we will launch a number of new products, covering consumer SSD, portable SSD, eMMC/UFS, enterprise SSD, automotive and memory cards. These products will enter mass production and expand shipment scale in 2026, increasing our market share while benefiting from higher average selling prices (ASP) and good profits.
Gou Jiazhang further pointed out that it is expected that revenue and profits will continue to grow this quarter and will exceed the previously announced annual revenue run-rate target of US$1 billion by the end of this quarter. At the same time, we look forward to further expanding our product portfolio and target markets next year with these new products. Revenue in the fourth quarter of 2025 is estimated to be between US$254 million and US$266 million, an increase of 5% to 10% from the previous quarter, a significant increase of 33% to 39% from the same period last year, and a gross profit margin between 48.5% and 49.5%.
Huirong Technology also released its latest dividend policy on October 27. The annual cash dividend per American Depository Share (ADS) is US$2.00, which will be paid out four times quarterly.
