Message from Management
In 2025, the global economic environment continued to face considerable uncertainty. Factors such as shifting market demand, tariff policies, and foreign exchange fluctuations created structural challenges for the semiconductor industry. Despite the rapidly changing external environment, we continued to move forward steadily, placing sustainable development at the core of our corporate governance principles. We continued to strengthen corporate governance, drive technological innovation, advance environmental protection, fulfill our social responsibilities, and embed sustainability into our corporate culture and daily operations.
In terms of business performance, M31 continued to reinforce its competitive position in the industry by leveraging its leadership in silicon intellectual property (IP) technologies and its differentiated product portfolio. Stronger collaboration with customers and strategic partners, together with an optimized product mix and expanded application markets, contributed to a 20.34% year-over-year increase in revenue in 2025, setting another record high for the Company.
Over the past year, M31 was recognized among the Top 5% of TPEx-listed companies in the 2025 Corporate Governance Evaluation for the fifth consecutive year. The Company also maintained an A rating in both the MSCI ESG Rating and the SinoPac+ ESG Rating, while achieving an AA rating in the Taiwan Sustainability Rating. In addition, the sustainability report published in 2025 received the TCSA Corporate Sustainability Report Gold Award and the Taiwan Sustainability Enterprise Performance Award. These achievements not only demonstrate the Company’s sound ESG governance and transparent sustainability practices but also highlight the outstanding results of our continuous efforts across all aspects of our operations.
In response to the challenges of global warming and climate change, we continued to advance climate action under the principle of “Measurement as the Foundation, Carbon Reduction as the Goal.” In 2025, we expanded the scope of our greenhouse gas inventory to include all subsidiaries within the Group, including those in India, the United States, and China. We also redefined 2025 as the baseline year for greenhouse gas management across the Group, enhancing the consistency and completeness of our carbon management framework while providing a solid foundation for implementing future decarbonization pathways. At the same time, we continued to promote green procurement and plastic reduction initiatives and, through daily management practices and active employee participation, gradually fostered a low-carbon corporate culture.
In green technology and industry sustainability, we continued to invest in the research and development of high-performance, low-power IP technologies. By integrating green design concepts and intelligent technologies into our products and R&D processes, we enhanced resource efficiency while helping customers address net-zero transformation and high-performance computing demands. In 2025, we invested NT$1.351 billion in research and development, representing 75.78% of annual revenue. We also added 58 R&D professionals during the year, further strengthening our technological capabilities and long-term competitiveness.
To strengthen operational risk management, we successfully completed the recertification audit for ISO/IEC 27001:2022 certification in 2025, with no major information security incidents reported. Through employee training, social engineering exercises, and the continuous enhancement of our information security policies and management systems, we further strengthened employees’ cybersecurity awareness and risk response capabilities. In addition, our Risk Management Committee continued to advance the enterprise risk management framework and regularly reported implementation progress to the Board of Directors, ensuring stable operations and long-term resilience in a rapidly evolving business environment.
In fulfilling our social responsibilities, we are committed to fostering a friendly, healthy, diverse, and inclusive workplace while continuing to invest in talent development and social engagement. In 2025, employees completed an average of 18 hours of training, the turnover rate at our headquarters remained below 10%, and we achieved our goal of zero occupational accidents. At the same time, initiatives related to human rights, diversity, equity, and inclusion (DEI), as well as healthy workplace practices, continued to be promoted, enabling every employee to develop their full potential in a safe, respectful, and growth-oriented working environment. In support of community initiatives, approximately NT$1.1 million was contributed to public welfare during the year by the Company and its employees. Employees also participated in 150 volunteer engagements, contributing a cumulative 500 volunteer hours in support of disadvantaged communities. Furthermore, the Company supports biodiversity and ecological conservation initiatives to make a long-term contribution to both society and the environment.
Looking ahead, we will continue to uphold a prudent and steady approach by deepening ESG practices, strengthening our global presence, reinforcing core competitiveness, and enhancing corporate impact. Guided by a sustainable development strategy built on strong corporate governance, driven by innovation, and safeguarded by robust risk management and cybersecurity resilience, we will continue to work hand in hand with stakeholders on the journey toward innovation and sustainability, creating a better future together.