Montage higher after upping Q1 guidance

|About: Montage Technology Group Li... (MONT)|By:, SA News Editor

Montage (MONT +3.2%) now expects to report Q1 revenue of $34.5M-$36.5M, above prior guidance of $29M-$32M and a $30.6M consensus. Gross margin is expected to be above prior guidance of 60%-62%.

The Chinese analog/mixed-signal chipmaker attributes the guidance hike to an expected 60% Q/Q increase in memory interface chip sales, which in turn is the result of growing demand for LRDIMM DRAM modules.

LRDIMMs enable higher server memory capacities, something that has made them popular for handling memory-intensive applications such as in-memory databases and big data/analytics projects.