Micro-Star International (MSI) Chairman Hsiang Hsu conveyed an ambitious revenue outlook for the year, projecting a double-digit year-on-year increase, underpinned by the launch of over 20 Intel AI PC models this quarter. The company has experienced solid order momentum and anticipates continuing the strong sales trend from the last quarter into Q1 this year, with business interactions remaining high into the early summer, despite an anticipated seasonal slowdown.
In 2023, MSI reported revenues of 182.966 billion yuan, marking a modest annual growth of 1.4%. However, profitability metrics showed a downtrend, with a significant reduction in net profit, which declined by 24.4% to 7.533 billion yuan, and a dip in gross profit margins. The detailed financial results reflect the challenges in maintaining profit margins amid competitive market conditions.
MSI’s product and regional revenue distribution last year highlighted a strong focus on its branded components and systems, which collectively form a substantial portion of its revenue, showcasing the successful transformation strategy initiated in 2020. The company’s global footprint is well-balanced across major markets, including the Americas, EMEA, and APAC regions.
Looking forward, General Manager Chin-Ching Huang expressed optimism about the PC market’s recovery, driven by the anticipated release of new AI CPUs and the RTX 50 series graphics cards. MSI is particularly buoyant about its prospects in the e-sports domain, with AI PCs now representing half of their PC lineup, expecting robust shipment growth across its core product categories.
The strategic vision extends beyond immediate product launches, with Hsu anticipating the widespread integration of Neural Processing Units (NPUs) into PCs, envisioning a future where every computer will be AI-driven. Although MSI has a strong partnership with Nvidia, the company is methodically preparing for its venture into the AI server market, expected to materialize within the next 3 to 5 years.
The recent acquisition of land in Taoyuan for future development underscores MSI’s long-term commitment to innovation, with plans to erect a facility dedicated to data center and AI server operations, alongside ancillary uses like charging pile businesses. This infrastructure expansion aligns with MSI’s strategic focus on next-generation tech, positioning the company to capitalize on forthcoming industry shifts and solidify its market leadership.
