MediaTek Projects Nearly 10% Annual Growth Amid Q2 Revenue Decline
MediaTek anticipates flat or declining revenue in Q2 2026, yet aims for nearly 10% annual growth. The company expects a recovery in its mobile chip sector in the latter half of the year, supported by new flagship smartphones.
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MediaTek Inc. forecasts second-quarter 2026 revenue between NT$140.2 billion and NT$149.2 billion, indicating a potential decline of up to 6% from Q1. The first quarter saw a revenue of NT$149.15 billion, down 0.7% quarter-on-quarter due to weaker smartphone chip sales.
Gross margin improved to 46.3%, with a net profit increase of 5.36% to NT$24.15 billion. CEO Rick Tsai highlighted cautious market demand and increased costs due to resource shifts towards data center development.
Global smartphone shipments are projected to decrease by 15% this year. However, MediaTek anticipates a recovery in mobile chips in H2 2026, driven by flagship products featuring 2-nanometer technology. Power management IC revenue is expected to remain stable, while the smart device platform is projected for double-digit growth.
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