Phison: Fiscal 1Q22 Financial Results

Phison Electronics Corp. announced its operating results for March 2022, with consolidated revenue of NT$6.38 billion, an increase of more than 23% Y/Y, a record monthly high. The annual cumulative revenue reached NT$17.1 billion in March, with an annual growth rate of 33%, setting a new historical high for a single quarter and for the same period.

The shipments of PCIe SSD controllers in March increased by nearly 80% Y/Y, setting a new monthly high in history; the total shipments of industrial-grade controllers increased by more than 15% Y/Y and continued to grow steadily. In addition, the Y/Y total shipments of PCIe SSD controllers increased by nearly 73% Y/Y to March, and the total bits of NAND memory shipments also increased by nearly 25% Y/Y, both hitting new highs for the same period in history.

K.S.Pua, CEO, explained that due to the contamination of semiconductor raw materials by Kioxia and WD during the first quarter, its contaminated production line was shut down for about 1.5 months. In other words, the market expects that the supply gap of NAND module products will start to occur during the traditional peak season (2Q to 3Q), and the shortage may last for at least 1.5 to 2 months. It is expected that a second wave of price increases may occur accordingly.

He went on to explain that in view of the occurrence of contamination incidents and the foreseeable shortage situation, his company strives to communicate with customers around the world, for example, by balancing purchases month by month, etc., to reduce the risk that customers may experience raw material shortages during peak seasons. Therefore, the new highs of revenue in March and the first quarter are the result of the efforts of all firm’s employees, abd also the smooth and positive communication between Phison and customers.