MediaTek expects revenue to grow by up to 30% quarter-on-quarter in Q3 2020

According tomedia reports, the semiconductor company MediaTek expects revenue to grow by as much as 30% in the third quarter of 2020. MediaTek expects revenue of T$825-87.9 billion (US$2.77-2.79 billion) in the third quarter of 2020, up 22-30% from T$67.603 billion in the previous quarter, well above market expectations, as it expects shipments of all of its product lines, particularly the Tianyu series 5G SoC, to grow.

MediaTek expects revenue to grow by up to 30% quarter-on-quarter in Q3 2020

In addition, the company expects gross margin sits at around 41.5 percent to 44.5 percent in the third quarter, roughly unchanged from the second quarter.

MediaTek’s second-quarter 2020 financial report, released at the end of July, showed second-quarter revenue of T$67.603 billion (about RMB16.1 billion), up 9.8 percent year-on-year, while net profit was T$7.31 billion (ABOUT RMB1.74 billion), up 12.4 percent year-on-year, and gross margin was 43.5 percent, up 0.4 percentage points from the previous quarter, up 1.6 percentage points from the previous quarter.

In the first half of 2020, MediaTek’s revenue increased by 12.4% year-on-year to T$128.46 billion, while net profit increased 33.33% year-on-year to T$13.114 billion, with an average gross margin of 43.31%.

MediaTek expects revenue to grow at least 15 per cent for the full year, double its initial forecast, industry sources said.

MediaTek is a semiconductor company focused on technology such as wireless communications and digital multimedia, offering chip integrated system solutions such as wireless communications, high-definition digital television, optical storage, DVD and Blu-ray.

Last month, the company unveiled a new 5G smartphone processor, the Sky 720. Built with TSMC’s 7nm process and integrates a low-power 5G modem. It is reported that Huawei, Xiaomi, OPPO and other mobile phone manufacturers will use this processor.

The Skyblues 720 is MediaTek’s fourth 5G smartphone processor, and the other three are the Dimensity 1000, the Sky800 and the Sky820.