GigaDevice: Net profit soars by 50%! Will purchase Changxin's 5.7 billion yuan DRAM wafers

(Source: Semiconductor Frontline)

GigaDevice Semiconductor announced that in 2025, it will achieve operating revenue of 9.2B yuan, a year-on-year increase of 25.12%; net profit of 1.65B yuan, a year-on-year increase of 49.47%. Non-recurring net profit of 1.47B yuan, up 42.57% year-on-year; net cash flow from operating activities of 2.13B yuan, up 4.74% year-on-year; during the reporting period, GigaDevice’s basic earnings per share were 2.48 yuan, with a weighted average return on net assets of 9.30%.

Quarterly, GigaDevice’s 2025 performance shows a significant improvement trend each quarter. Net profit in the first quarter was 235 million yuan, rising to 341 million yuan in the second quarter, surging to 508 million yuan in the third quarter, and further increasing to 565 million yuan in the fourth quarter. The total net profit in the second half of the year was about 1.07B yuan, accounting for over 60% of the annual net profit.

Revenue also shows a similar trend. The third quarter’s revenue reached 2.68B yuan, the highest quarterly level of the year; the fourth quarter’s revenue was 2.37B yuan, remaining at a high level compared to the previous two quarters, with the annual revenue maintaining a steady upward pace.

At the industry level, the storage industry cycle is upward, with supply and demand structure optimization driving product price and volume increases. Strategically, the company actively embraces AI, developing customized storage, high-computing MCU, and AIMCU new businesses and products, providing solutions tailored to customer needs in different fields.

Additionally, GigaDevice and its controlling subsidiaries plan to purchase DRAM-related products manufactured by foundry from Changxin Technology Group Co., Ltd. and its subsidiaries. The expected transaction amount for 2026 is 825 million USD, approximately 5.71B RMB.

This figure is 4.83 times the actual transaction amount of 1.18B RMB in 2025, showing explosive growth.

The announcement indicates that the related party involved in this transaction, Changxin Group, mainly includes core subsidiaries such as Changxin Storage Technology Co., Ltd. and Changxin Technology (Hefei) Co., Ltd.

GigaDevice stated that Changxin Group is a rare domestic DRAM IDM enterprise and an important foundry partner for the company’s niche DRAM business. This transaction is based on normal commercial behavior, with pricing following market fairness principles. The transaction aligns with the company’s operational development needs, will not create significant dependence on related parties, does not affect the company’s independence, and can achieve mutual advantages, further enhancing the company’s core competitiveness.