ADATA Technology, a leading memory module manufacturer, has announced remarkable revenue figures for March, reaching NT$3.975 billion. This represents a significant 19.02% increase from the previous month and an impressive 56.59% surge year-over-year, marking the second highest monthly revenue in 14 years. The momentum also contributed to a consolidated first-quarter revenue of NT$10.881 billion, despite a slight 1.28% quarterly dip, showcasing a year-on-year growth of 50%. ADATA is optimistic about maintaining its growth trajectory and high profit performance into the second quarter.
The favorable market conditions have been attributed to upstream suppliers’ strategic output control and production capacity allocation, keeping the memory market seller-dominated. ADATA anticipates the upward price trend for DRAM and NAND Flash to persist into the third quarter, buoying the company’s overall operational performance.
The recent 7.2-magnitude earthquake in Taiwan on April 3, though having a limited impact on global DRAM production capacity, is expected to prompt major upstream suppliers to sustain price increases, thereby boosting stock-up willingness among customers. ADATA’s Chairman, Chen Libai, remains confident about the company’s growth prospects and profitability in the coming quarter.
Looking ahead, ADATA underscores a solidified bullish price trend for DRAM and NAND Flash throughout the year, with a healthy overall market inventory level set to drive memory bit demand growth. The company plans to maintain a sufficient inventory level to meet the surge in customer demand anticipated during the traditional peak season and for AI new product shipments in the latter half of the year.
In terms of product structure for March, DRAM constituted 41.43% of ADATA’s revenue, SSDs 23.48%, and other products such as memory cards and flash drives made up 35.09%. The first quarter saw DRAM contributing 42.17% to the revenue, SSDs 28.25%, and other products 29.58%.
ADATA’s strategic positioning and product mix, coupled with favorable market dynamics, position the company for continued success in the evolving memory market landscape.
