Phison Electronics (8299), a memory controller IC and storage solutions company, reported 2026 first-half EPS of TWD 187.43 and said its board approved a cash dividend of TWD 60 per share for the period. Total cash dividends will amount to about TWD 13.27 billion, and both the per-share payout and the aggregate amount set company records.
In MSCI’s latest August quarterly review, Phison was selected for inclusion in the MSCI Global Standard Index. The change is scheduled to take effect after the market close on Aug. 31, 2026. Supported by record operating performance and the index inclusion news, the stock held to a high-level range and closed at TWD 2,280 on the previous trading day, above its quarterly moving average.
Second-quarter revenue and profit hit record highs
Phison said AI infrastructure and server demand continued to support results in the second quarter of 2026. Consolidated revenue reached TWD 67.888 billion, while net profit after tax came in at TWD 26.219 billion. Quarterly EPS was TWD 118.57. Revenue and profit both marked all-time quarterly highs.
For the first half of 2026, consolidated revenue totaled TWD 108.855 billion and net profit after tax reached TWD 41.391 billion. Cumulative EPS for the period was TWD 187.43, up 2095% year over year. Gross margin for the first half stayed at 63.8%.
The company’s financial figures show that higher value-added non-retail markets and AI storage applications have become the main drivers of business growth.
Board approves TWD 60 per-share cash dividend
Phison’s board approved a 2026 first-half earnings distribution plan with a cash dividend of TWD 60 per share. Total distribution will be about TWD 13.27 billion, another record high on both measures.
Using first-half EPS of TWD 187.43, the cash payout ratio works out to about 32%, down from the company’s past average of around 55%.
Management said the lower payout ratio reflects tight raw material supply conditions and the company’s accelerated shift from a controller IC and module maker into a provider of Enterprise SSD and AI storage platforms. It said Phison needs to keep sufficient cash flow for high-speed transmission technology research and development, talent recruitment, and strategic inventory in order to maintain its long-term competitive edge.
K.S. Pua says AI is driving structural change
Chief Executive Officer K.S. Pua said at an investor conference that AI development is changing how data is computed and stored, and that the large volume of data being generated is creating a new kind of structural storage demand rather than simply tracking swings in end-device shipments.
He said the industry is now at a critical point in its transition, and that the company will prioritize research resources for high-end PCIe controllers, automotive applications, and AI Data Platform solutions.
On the dividend policy, Pua said Phison would reassess shareholder returns if profit and cash flow continue to improve in the second half. He also said the company expects to target a cash dividend yield of about 5% on a full-year basis, while continuing to improve internal efficiency to respond to competition.
Pua also said, 「This is the only AI opportunity in a lifetime. The company has to seize it and take the business.」 The report added that when Phison’s share price corrected earlier, Pua used his own funds to buy 100 lots of company shares and that all of those purchases are now profitable.
MSCI inclusion takes effect after Aug. 31 close
MSCI announced the latest quarterly review results on Aug. 13, 2026, and selected Phison for inclusion in the MSCI Global Standard Index’s Taiwan constituents. The adjustment is expected to become effective after the close on Aug. 31.
The original report said the inclusion could help attract allocations from international passive funds and lift market attention and liquidity.