Kioxia: Fiscal 2Q21 Financial Results

Kioxia Holdings Corp. announced its financial results for the three months ended September 30, 2021.

It achieved record revenue in 2FQ21 with 22% quarterly growth.
• Data center/enterprise SSD shipments were solid, and smartphone shipments grew in line with seasonality. Total shipments continued to increase Q/Q.
• Overall ASP increased during the quarter driven by balanced supply/demand in the NAND market, only partially offset by product mix impacts.

1. Bit basis
2. Excluding third party NAND used in Solid State Storage Technology
Corporation’s SSDs

Industry/market trends and outlook
• Demand for datacenter/enterprise SSDs is expected to remain solid with continued cloud demand growth and strong IT spending backed by the Covid-19 economic recovery.
• Demand for client SSDs is softening in the short term as component shortages affect PC build despite solid consumer PC demand.
• Demand for smartphones is expected to continue growing in the long term driven by the roll out 5G and recovery from the decline caused by Covid-19, with seasonal fluctuations in the short term.
• The industry continues to monitor the further impacts of component shortages on customer demand and production across the supply chain.
• In the longer term horizon, industry experts remain confident in the NAND market growth potential and the underlying demand drivers.