News

Chips&Media Reports Q2 Sales of KRW 6.1 Billion

Seoul, South Korea – Jul 30, 2024

Chips&Media, a multi-standard video codec IP provider, announced on July 30 that its consolidated sales for the last two quarters amounted to KRW 6.1 billion, a decrease of 10.9% compared to the same period last year.

During the same period, operating profit decreased by 66.5% to KRW 600 million, but net profit turned positive, recording a surplus of KRW 1.2 billion.

Although YoY sales declined due to the global economic slowdown, license sales improved significantly, increasing by approximately 71% compared to the first quarter of this year. This growth was driven by multiple licenses from global customers, including companies like NXP and G, whose projects span various applications, such as automotive and mobile solutions and data center AI chips in China.

Additionally, in the second quarter, the company secured its first contracts with new customers in India. This marks the beginning of revenue generation in emerging markets such as the Middle East and Asia, where semiconductor development investment has recently been robust. These efforts complement Chips&Media's existing strongholds in North America and China, traditionally major markets for system semiconductors.

Kim Sang-hyun, CEO of Chips&Media, stated, "Projects for global clients Q and T are scheduled for the latter half of the year. In addition, our JV (joint venture) in China will provide a foundation for sales growth in the region. Many domestic and international customers have shown interest in our NPU IP, and we expect to secure our first contract in the second half of this year."

(https://www.newsis.com/view/NISX20240730_0002830976)