Silicon Motion Technology expects its revenues to increase 15-20% sequentially in the third quarter of 2014, from US$69.41 million a quarter earlier. Third-quarter gross margin will stay at 50-52% compared to 52.2% in the previous quarter.

For all of 2014, revenues are expected to increase 22-27% from a year earlier, compared to a previous forecast of 5-15% growth. Gross margin for the year will range 49.5-51.5% compared to 48-50% projected previously.

Second-quarter revenues of US$69.41 million were up 31% from the previous quarter. Net profits for the second quarter reached US$14.07 million or US$0.41 per diluted ADS.

In the second quarter, sales of SSD and embedded products grew over 55% sequentially and accounted for over 50% of total revenues, said the company.

Sales of eMMC controllers grew 65% sequentially in the second quarter thanks to increased orders from its NAND flash partners.

The company has begun shipping its LTE-Advanced transceivers to a handset partner in Korea and has also secured two additional design wins for mass production in the third quarter of 2014.

Silicon Motion has also secured more design wins for its SATA 3 SSD controllers from major NAND flash vendors with volume shipments slated for the first half of 2015, said the company.