Silicon Motion Technology has announced net income (non-GAAP) of US$24.3 illion or US$0.68 per diluted ADS on net sales of US$112.7 million for the first quarter of 2016. The results all hit the highest quarterly levels in the company's history.

"First quarter sales exceeded our original guidance due to stronger than expected orders for our client SSD and eMMC controllers and enterprise plus industrial SSDs," said Wallace Kou, president and CEO of Silicon Motion.

Silicon Motion's revenues for first-quarter 2016 represented increases of 15% sequentially and 40% on year. Gross margin (non-GAAP) climbed to 50.6% in the first quarter from 50.1% in the prior quarter, but fell from 52% a year earlier.

"We expect demand for our embedded storage products to grow further in the second quarter and to remain strong through this year as we continue our efforts to increase our business further with our NAND flash partners," Kou indicated.

Silicon Motion expects to post revenue growth of 5-10% sequentially in the second quarter of 2016, with gross margin ranging from 47% to 49%. For all of 2016, the company expects to enjoy a revenue increase of 27-32% on year with gross margin reaching 49-51%.

Silicon Motion previously estimated revenues for 2016 would rise 12-20% on year.