Explosive! Storage giant Longsys expects net profit to surge 62,204%~74,394% in H1 | Earnings Preview

Memory chip module manufacturer Longsys released a bright interim performance forecast, reflecting the strong momentum of the global semiconductor memory industry.

Longsys announced on Friday that it expects net profit attributable to shareholders of the listed company for the first half of 2026 to be between 9.2 billion yuan and 11 billion yuan, a year-on-year increase of 62204% to 74394%; net profit after deducting non-recurring gains and losses is expected to be between 9 billion yuan and 10.5 billion yuan, a year-on-year increase of approximately 27844% to 32501%. The expected operating revenue for the first half of the year is between 22 billion yuan and 25 billion yuan, compared to approximately 10.2 billion yuan in the same period last year.

The company’s Q2 net profit is expected to be between 5.34B yuan and 7.14B yuan, while Q1 net profit was 3.86B yuan. Based on this, Q2 net profit is expected to change by 38% to 84% quarter-on-quarter.

The company attributes the significant performance improvement to two main lines: one is the external dividend brought by the recovery of the global storage industry, and the other is the continuous breakthrough of the company’s self-developed technology in the end-side AI赛道. The above performance has not yet been audited by an auditing institution, and specific data will be disclosed in the semi-annual report.

Storage景气上行，供应协议筑牢资源护城河

Longsys stated in the announcement that during the reporting period, downstream demand continued to increase, while the overall expansion of global memory wafer capacity was limited. The improvement in supply and demand patterns drove the industry’s prosperity, creating a favorable operating environment for the company.

At the same time, the company successfully renewed wafer supply agreements (LTA or MOU) with multiple major global memory wafer manufacturers during the reporting period, securing upstream resource supply.

On the technical front, Longsys has positioned end-side AI as a core strategic direction. The company uses its self-developed SPU main control chip and HLC software architecture as the technical foundation, and relies on its own high-end packaging and testing capacity to accelerate the implementation of R&D results, systematically addressing the diversified needs of end-side AI storage.

A joint verification result disclosed in the announcement is worth noting: the company completed joint tuning with AMD, achieving a reduction of approximately 40% in DRAM usage for end-side AI products after combining its SSD storage intelligent agent with HLC technology. If this technical path can be scaled, it means finding a new balance between terminal device memory cost control and AI performance, potentially opening up broader market application space.

According to the announcement, the main business of Shenzhen Longsys Electronics Co., Ltd. is the R&D design, packaging and testing, technical support, and sales of memory and main control chips. The company’s main products are self-developed chips, embedded storage, solid-state drives, mobile storage, and memory modules. The company is the world’s second-largest independent memory enterprise and China’s largest independent memory enterprise.

Risk Warning and Disclaimer

        Markets are risky, and investment requires caution. This article does not constitute personal investment advice, nor does it consider the specific investment objectives, financial situation, or needs of individual users. Users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investment based on this is at your own risk.