Memory giant Winbond held a third-quarter press conference on the 5th to announce its impressive financial performance and operating results. With the memory market demand recovering and product portfolio optimization, Winbond Electronics successfully got rid of losses in the third quarter of 2025 and achieved the goal of turning losses into profits in a single quarter. EPS reached NT$0.65, demonstrating strong operating momentum.
Winbond’s revenue in the third quarter of 2025 was NT$21.771 billion, an increase of 3.6% from the second quarter and an increase of 2.1% from the same period in 2024. Operating gross profit reached NT$10.166 billion, a significant increase of 113.4% from NT$4.763 billion in the second quarter. Operating gross profit margin jumped to 46.7%, an increase of 24 percentage points from the second quarter and an increase of 17 percentage points from the same period in 2024. Net profit margin was 17.0%, a significant increase of 23 percentage points compared with -6.2% in the second quarter. Net profit attributable to owners of the parent company reached NT$2.943 billion, a net increase of NT$4.255 billion from the net loss of NT$1.312 billion in the second quarter, and EPS reached NT$0.65. Cumulatively, EPS in the first three quarters of 2025 will be 0.12 yuan.
Winbond stated that the substantial improvement in the group's profitability was mainly due to the strong performance of the memory business, especially the explosive growth of the customized memory business (CMS). Among them, CMS (customized memory business) has achieved remarkable results, including an 18.0% increase in CMS revenue in the third quarter compared with the second quarter, and an increase of 33.3% compared with the same period in 2024, reaching a new high in the past three years. Bit shipments grew by ten-digit percentages lower than the same period in 2024, average selling prices increased by ten-digit percentages compared with the second quarter, and 20nm process revenue jumped significantly, mainly due to the doubling of DDR4 product line sales quarterly.
As for the Flash business, it remains stable, including a 4.2% increase in business revenue from the second quarter and a 5.8% decrease from 2024. NOR Flash revenue has grown steadily, and the combination advantages of high-capacity products have gradually emerged. SLC NAND product line bit shipments are growing at a mid-twenty-digit percentage year-over-year. Under this circumstance, Winbond continues to be the world's No. 1 NOR Flash supplier. From an application perspective, consumer electronics (30%) and automotive and industrial use (28%) are the two main segments of memory revenue, with communication electronics accounting for 22% and computers accounting for 20%.
Looking to the future, Chen Peiming, general manager of Winbond Electronics, pointed out that the gradual recovery of the global economy has brought new business opportunities to the group. At the same time, the AI boom is continuing to push memory into an upward cycle. As major manufacturers gradually withdraw from DDR4 supply, the structural supply gap is driving the contract prices of DDR4 and DDR3 to continue to rise, and the increase is expected to continue until 2026. The imbalance between supply and demand benefits existing suppliers. Demand growth comes from smart homes, drones, M2M, Netcom, and healthy TV demand.
Currently, the 16nm process has completed pre-production preparations, and the 8Gb DDR4/LPDDR4 product line is expected to be mass-produced in 2026. Flash and CMS expansion plans are underway, with capital expenditures expected to be nearly NT$40 billion from 2026 to 2027. The CUBE project is progressing smoothly and is expected to make a significant contribution to the group in 2027.