At a glance. A soft first half on PC and consoles: EPS NT$0.80, gross margin 17%. The liquid-cooling story is still small — 2–5% of 2025 sales, about 10% in 2026 — and it is a Nidec split: NCCI builds the cold plate at Kunshan; CDUs and QDs come from Nidec Thailand. Manifolds were still sampling. The call never said 800 V.
What changed this quarter
The mix kept moving off consoles. In Q2 2025, PC was still 47%, but servers had reached 24% (from 16% in 2021) and networking 17%. Game consoles were 9%, down from a 26% peak in 2022.
Water cooling was named as a 2026 mix number, not a 2025 P&L driver. It is a new line in small shipment. H2 was expected to get a little help from it, plus a short console bounce, China server orders and steady US networking.
The group split was stated in Q&A. Cold plates at Kunshan; CDU and quick disconnects from the parent's Thailand plant. That is the fact that belongs on a cooling map. NCCI itself remains an air-cooling house that also builds liquid-cooling modules.
The numbers
| H1 2025 | Value | Change |
|---|---|---|
| Revenue | NT$4.291bn (~US$136m) | down from the 2022 peak; YoY not stated as a single figure |
| Gross margin | 17% | below the 2023 high |
| Net margin | 2% | — |
| EPS | NT$0.80 (~US$0.025) | described as flat |
Management blamed post-pandemic weakness in game consoles and PCs since 2024, plus tariff and FX uncertainty. The stated aim is to get profitability back to pre-2023 levels in the second half.
China plants were running at about 80%. Vietnam capacity is being raised toward 1.5× the current level in 2026. Taipei is prototypes only.
NVIDIA 800V read-through
No 800 V, no Kyber, no sidecar power rack. Chaun is a cooling name on the same AI cabinet, and only part of the loop sits on this ticker.
What the call actually adds:
- Liquid-cooling modules / cold plates — Kunshan, jointly developed with Nidec. Intel and AMD CPU water modules were already in production. ASIC and PCIe water modules were still being developed. Target customers: existing brand and ODM accounts, including Taiwan assemblers, on the back of the air-cooling franchise.
- CDU and QDs — not NCCI. Parent Nidec Thailand.
- Manifolds — samples with customers; small volume hoped for 2026; later scale in China and Vietnam.
- Mix path — water 2–5% of 2025, ~10% in 2026. That is still an air-cooling company next to Auras and AVC, which already print water in the thirties or higher.
- Air-side wattage, which is the current P&L: cloud-server heat pipes to 1,000 W, AI-server 3D VC for GPUs above 1,200 W, switch VC modules 400 W → 850 W, a 2028 air roadmap through 3D VC Fin at 1,000–1,400 W. Notebook: AI PC 80 W with D10 heat pipes; gaming 280 W with slim VC.
Read it as a listed window on Nidec's cooling split. Do not credit this ticker with the CDU.
Segments that moved
| End market | Q2 2025 share | Notes |
|---|---|---|
| PC | 47% | Still the operating floor |
| Servers | 24% | From 16% in 2021 |
| Networking | 17% | US orders described as steady |
| Game consoles | 9% | From a 26% peak in 2022; a short H2 bounce was guided |
NCCI product: heat-pipe and vapor-chamber air cooling, notebooks through servers. Nidec parent: large, high-wattage water products such as CDUs. Joint: LCM water modules.
Guidance
- H2 2025. Console restock, China server orders, steady US networking, and a small water contribution. Confidence in an operating improvement; target is pre-2023 profit levels. No H2 revenue figure.
- AI visibility. Formal orders about three months, demand forecast about six months. Management called that visibility very optimistic.
- 2026 water mix. About 10% of sales, described as a main growth engine.
- Vietnam. Capacity 1.5× in 2026.
Management Q&A
Q: What is the plan for liquid-cooling components?
A: The market is AI servers and high-end networking, aimed at existing brand customers and ODMs. Production: cold plates are made at the Kunshan plant in China; CDUs, quick disconnects and other loop parts are supported by parent Nidec's Thailand factory.
Q: What is the liquid-cooling sales share, and what is the outlook?
A: Water is still a new product in small shipment. Management is optimistic about 2026 and treats it as a main growth engine. The estimate is about 2–5% of 2025 sales, with a chance to reach 10% in 2026.
Q: What is the AI layout today, and does the company supply Taiwan assemblers?
A: On air cooling, it already ships in volume to major brands and ODMs, including Taiwan firms. On that existing base it is developing liquid-cooling programmes closely with customers.
Q: What manifold volume has shipped so far this year?
A: Still in sample qualification. Some samples are with customers. Small volume is possible in 2026. Later production is meant to move to China and Vietnam for scale and cost.
Q: How should the second half be read? What is AI-order visibility? How loaded are the plants?
A: H2 revenue should be helped by a temporary console bounce and China server orders. Water and US networking orders are also rising steadily. The aim is to get EPS and other profit measures back to pre-2023 levels as soon as possible. On AI, formal customer orders are about three months and the demand forecast about six months, which management called very optimistic. China utilisation is about 80%. Vietnam tools are still being added; 2026 capacity is guided at 1.5 times today's.
Disclaimer
English notes on Nidec Chaun-Choung Technology's investor conference of 29 August 2025, covering the first half of 2025. Figures are as presented by management and have not been independently verified. USD equivalents are approximate at about NT$31.5 to the dollar. For reference only; not investment advice.