MediaTek is expecting sizeable revenue growth for the third quarter of this year. According to a DigiTimes report, the revenue will reach NT$82.5 – NT$87.9 billion (roughly $2.75 – $2.79 billion). This marks a 22 to 30 percent sequential growth, which is well beyond market expectations.
The growth estimation arrives as the company expected high demand and healthy sales for its Dimensity lineup of 5G chips. MediaTek also expects that its gross margin to be around 41.5 to 44.5 percent for the third quarter, which is roughly the same as the second quarter. Furthermore, the Taiwanese chipmakers revenue for the first half grew by 12.4 percent while net profits surged by 33.33 percent year on year.
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MediaTek surpassed its original financial guidance for the first half of 2020 and is expected to post a minimum annual revenue increase of 15 percent and double its growth projection during this year, according to industry sources. The company’s CEO stated that the 5G handset market will reach 170 to 200 million units in shipments by the end of 2020, which will be supplemented by upcoming MediaTek 5G chips in the latter half of 2020
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