Phison Electronics announced a historic single-month revenue for March 2024, achieving NT$6.775 billion. This milestone not only represents a staggering 73% annual growth rate but also marks the highest revenue ever recorded by the company in a single month. By March 2024, Phison’s annual revenue reached an impressive NT$16.526 billion, showcasing a 64% growth rate, which ranks as the second highest for the same period in the company’s history.
The surge in revenue is paralleled by equally impressive shipment numbers. Phison reported that total SSD control chip shipments saw a 96% increase year-on-year, with PCIe SSD control chip shipments experiencing a remarkable 176% growth, reaching a new all-time high. Additionally, the company witnessed an 80% annual growth rate in total NAND storage bit shipments up to March, setting a record for the period and indicating a gradual upturn in overall market demand.
CEO Khein Seng Pua attributed this success to several key factors. The strategic pricing adjustments made by NAND original manufacturers in the latter half of 2023 played a crucial role, enabling these manufacturers to normalize their profit levels and subsequently stabilize NAND prices. This move, coupled with increased capacity utilization in response to recovering demand across various NAND storage applications, has positioned Phison well within the market dynamics. Applications seeing demand resurgence include servers, embedded systems, and automotive electronics, while the consumer retail SSD market segment is stabilizing due to recent inventory replenishments by customers.
Looking ahead, Phison is set to broaden its market influence through the expansion of its PCIe 5.0 high-speed transmission product line. This includes a variety of cutting-edge offerings such as PCIe 5.0 Retimer/Redriver ICs, SSD storage solutions, automotive storage, and enterprise-level SSDs equipped with “aiDAPTIV+ technology solutions”. Pan underscored the strong demand for enterprise-level SSDs and automotive storage solutions, projecting a significant increase in revenue contributions from these segments in the upcoming quarters.
Phison’s record-setting performance in March 2024, alongside its strategic product line expansion and favorable market conditions, heralds a period of significant growth and market share expansion. As the company continues to innovate and adapt to market demands, Phison is well-poised for continued success and leadership in the NAND storage solution industry.
