Macronix Reports Record Q2 Profit of NT$7.736 Billion, EPS NT$3.91; Announces Additional NT$15.8 Billion Capital Expenditure

Macronix (2337-TW) held its earnings conference today (28th) and released its second-quarter financial results. The company achieved a record-high gross margin of 64.4%, a significant increase of 23.6 percentage points from the previous quarter. Net profit after tax surged to NT$7.736 billion, up 3.35 times quarter-on-quarter and 7.06 times year-on-year, also setting a new high. Earnings per share (EPS) reached NT$3.91, bringing the first-half cumulative EPS to NT$4.82.

Looking ahead, CEO Luke Lu expressed optimism, stating that pricing momentum for eMMC and SLC NAND Flash memory is expected to continue. Both products are currently priced on a monthly negotiation basis, with eMMC price increases particularly expected to persist through the fourth quarter.

To meet surging customer demand, Macronix announced today that its board has approved an additional capital expenditure of NT$15.8 billion to expand advanced process technologies and related production capacity. Originally planning around NT$22 billion in investments at the beginning of the year, this new allocation brings the total investment to NT$37.8 billion. Equipment will begin installation in the second half of 2026, with major capacity contributions expected to materialize in 2027.

Macronix's consolidated revenue for Q2 reached NT$19.125 billion, up 83% quarter-on-quarter and 181% year-on-year. Gross margin stood at 64.4%, up 23.6 percentage points from the previous quarter and 48.8 percentage points year-on-year. Operating margin rose to 46.9%, up 28.4 percentage points quarter-on-quarter and 62.8 percentage points year-on-year. Net profit after tax was NT$7.736 billion, up 335% quarter-on-quarter and 706% year-on-year, with EPS at NT$3.91.

For the first half of the year, consolidated revenue totaled NT$29.593 billion, up 129% year-on-year. Gross margin was 56.1%, up 39.5 percentage points year-on-year; operating margin was 36.8%, up 53.5 percentage points year-on-year. Net profit after tax reached NT$9.515 billion, up 543% year-on-year, with EPS of NT$4.82.

In Q2, product revenue breakdown was as follows: NOR flash accounted for 48% of revenue, up 48% quarter-on-quarter and 101% year-on-year; NAND flash accounted for 43%, up 163% quarter-on-quarter and 798% year-on-year; ROM accounted for 6%, up 40% quarter-on-quarter and 37% year-on-year.