Silicon Motion Q3 revenue more than doubles, beats estimates
SIMO•Silicon Motion reported Q3 revenue of $560.2 million, up 131% year over year and above the $529.1 million consensus estimate, with adjusted earnings of $4.35 per diluted ADS. It raised its annual dividend by 15% to $2.30 per ADS and forecast Q4 2026 revenue of $588 million to $616 million.
1. Q3 results
Silicon Motion reported Q3 revenue of $560.2 million, up 131% year over year and beating analyst expectations of $529.1 million. Adjusted earnings per diluted ADS were $4.35; adjusted gross profit was $300.7 million and adjusted operating income was $180 million.
2. Dividend and outlook
The company raised its annual dividend by 15% to $2.30 per ADS, with the first installment to be paid in November. For Q4 2026, it expects revenue of $588 million to $616 million, non-GAAP gross margin of 54.0% to 55.0%, and non-GAAP operating margin of 36.0% to 37.0%.
3. Growth drivers
The company said Q3 growth was driven by its Ferri product family and SSD controllers, including new MonTitan enterprise and AI controllers beginning to scale. It cited rising enterprise and AI storage demand and said enterprise and Ferri customers prioritized supply assurance over price amid rising memory costs.
