What are the second-quarter performance expectations for Montage Technology? As of June 12, 2026, based on quarterly performance forecast data, a net profit of 7.78 billion yuan is predicted, representing a year-on-year change of 22.8%.

Investors should monitor whether subsequent financial report disclosures exceed these expectations, as the quarterly performance forecast data will provide performance assessment insights.

Latest Analyst Perspectives on Montage Technology

Zheshang Securities believes that Montage Technology, as a leader in the memory interconnect chip market, is transitioning from a memory interconnect leader to a platform-based interconnect chip company.

In the context of the AI era, the company's long-term focus on critical high-speed interconnect chips between computing power and storage has enabled it to develop a rich product portfolio and secure a leading position in the global market.

In 2024, the company ranked first globally in the memory interconnect chip market and second globally in the PCIe Retimer market.

The company actively participates in JEDEC international standard setting and possesses strong technological and customer foundations.

Regarding its traditional memory interconnect core business, the iteration to DDR5/MRDIMM is driving increases in both volume and price, with the company achieving significant growth in revenue and net profit for Q1 2026.

PCIe Retimer products have entered a volume shipment stage, and the company is extending along a homologous path into the higher-value PCIe Switch domain, potentially opening new growth avenues.

As a global frontrunner in CXL MXC, the company is at the forefront of the memory pooling field and is positioned to benefit long-term from growing demand for memory expansion and pooling.

Breaking it down by business segment: 1) Memory Interconnect Chips: The company ranks first globally with a strong technological and customer base.

2) PCIe Retimer: The company holds the second position globally with approximately a 10.9% market share, has technically sampled PCIe 6.0, initiated 7.0 R&D, and is extending into the PCIe Switch domain.

3) CXL MXC: The company is a global pioneer and leader, having launched MXC chips based on the CXL 3.1 standard and provided samples to key customers for testing.

Tianfeng Securities holds the view that the 2025 annual report and 2026 first-quarter report of Montage Technology show significant growth in both operating revenue and net profit attributable to shareholders.

In 2025, operating revenue was 54.56 billion yuan, a year-on-year increase of 49.9%, while net profit attributable to shareholders was 22.36 billion yuan, up 58.4% year-on-year.

For the first quarter of 2026, operating revenue reached 14.61 billion yuan, a 19.5% year-on-year increase, and net profit attributable to shareholders was 8.47 billion yuan, surging 61.3% year-on-year.

Profitability improved, with gross and net profit margins rising year-on-year.

The performance growth is primarily attributed to expanding AI server demand, the iterative upgrade of DDR5 memory interface chips, and contributions from new high-speed interconnect chip products.

The company has increased R&D investment to support the expansion of products like DDR5 sub-generational upgrades, PCIe Retimer, and CXL.

In Q1 2026, DDR5 RCD chip shipments increased, with the fifth-generation RCD chip showing a 35%-40% reduction in power consumption, demonstrating technological accumulation.

High-speed interconnect new products reached volume shipment, with revenue from the interconnect chip product line growing 24.4%, and the revenue contribution from new products rising to 19.0%.

The H-share issuance strengthened the capital position, with total assets and equity attributable to shareholders showing substantial growth.

Cash flow improved, with net cash flow from operating activities in Q1 2026 increasing by 232.88% year-on-year.

The company plans to distribute a cash dividend of 3.90 yuan per 10 shares, with total cash dividends and share repurchases for 2025 amounting to 1.119 billion yuan, representing 50.07% of net profit attributable to shareholders.

Risk Disclosure

Related profit forecast data is sourced from a financial database.

This content is AI-generated, and the information provided has limitations. It does not constitute any investment advice. Any actions taken based on this information are at the individual's own risk.