diff --git a/pkg/compressio/compressio_test.go b/pkg/compressio/compressio_test.go
index 3087462ba..7b40a6f1d 100644
--- a/pkg/compressio/compressio_test.go
+++ b/pkg/compressio/compressio_test.go
@@ -234,7 +234,7 @@ func benchmark(b *testing.B, compression bool, write bool, hash bool, blockSize
 		}
 	} else {
 		opts.NewWriter = func(b *bytes.Buffer) (io.WriteCloser, error) {
-			return NewSimpleWriter(b, key), nil
+			return NewSimpleWriter(b, key, blockSize), nil
 		}
 		opts.NewReader = func(b *bytes.Buffer) (io.Reader, error) {
 			return NewSimpleReader(b, key), nil
diff --git a/pkg/compressio/nocompressio.go b/pkg/compressio/nocompressio.go
index 4647ab766..ae19979a4 100644
--- a/pkg/compressio/nocompressio.go
+++ b/pkg/compressio/nocompressio.go
@@ -16,7 +16,6 @@ package compressio
 
 import (
 	"bufio"
-	"bytes"
 	"crypto/hmac"
 	"crypto/sha256"
 	"encoding/binary"
@@ -60,8 +59,8 @@ type SimpleReader struct {
 	// current chunk position
 	done uint32
 
-	// scratch is a 4-byte scratch buffer used for 32-bit integers.
-	scratch [4]byte
+	// scratch is a scratch buffer used for reading chunk size and hash values.
+	scratch [2 * sha256.Size]byte
 }
 
 var _ io.Reader = (*SimpleReader)(nil)
@@ -94,11 +93,11 @@ func (r *SimpleReader) Read(p []byte) (int, error) {
 
 	// need next chunk?
 	if r.done >= r.chunkSize {
-		if _, err := io.ReadFull(r.in, r.scratch[:]); err != nil {
+		if _, err := io.ReadFull(r.in, r.scratch[:4]); err != nil {
 			return 0, err
 		}
 
-		r.chunkSize = binary.BigEndian.Uint32(r.scratch[:])
+		r.chunkSize = binary.BigEndian.Uint32(r.scratch[:4])
 		r.done = 0
 		r.h.Reset()
 
@@ -125,22 +124,28 @@ func (r *SimpleReader) Read(p []byte) (int, error) {
 		return n, err
 	}
 
+	// Add data to hash.
 	_, _ = r.h.Write(p[:n])
 	r.done += uint32(n)
+	// Is current chunk done?
 	if r.done >= r.chunkSize {
-		binary.BigEndian.PutUint32(r.scratch[:], r.chunkSize)
-		r.h.Write(r.scratch[:])
+		// Add data size to hash.
+		binary.BigEndian.PutUint32(r.scratch[:4], r.chunkSize)
+		r.h.Write(r.scratch[:4])
 
-		sum := r.h.Sum(nil)
-		readerSum := make([]byte, len(sum))
-		if _, err := io.ReadFull(r.in, readerSum); err != nil {
+		// Compute the hash into the first 32 bytes of the scratch buffer. Pass a
+		// 32-byte capacity slice (with 0 length) to avoid allocation.
+		r.h.Sum(r.scratch[0:0:sha256.Size])
+
+		// Read the hash value from the stream into the second 32 bytes of scratch.
+		if _, err := io.ReadFull(r.in, r.scratch[sha256.Size:2*sha256.Size]); err != nil {
 			if err == io.EOF {
 				return n, io.ErrUnexpectedEOF
 			}
 			return n, err
 		}
 
-		if !hmac.Equal(readerSum, sum) {
+		if !hmac.Equal(r.scratch[:sha256.Size], r.scratch[sha256.Size:2*sha256.Size]) {
 			return n, ErrHashMismatch
 		}
 
@@ -156,17 +161,23 @@ type SimpleWriter struct {
 	// base is the underlying writer.
 	base io.Writer
 
-	// out is a buffered writer.
-	out *bufio.Writer
+	// bufOut is a buffered writer. If nil, SimpleWriter does buffering manually.
+	bufOut *bufio.Writer
 
-	// h is the hash object.
+	// h is the hash object which will be used to checksum each chunk.
 	h hash.Hash
 
+	// chunkSize is the data chunk size. chunkSize is immutable.
+	chunkSize int
+
+	// done is the current chunk position.
+	done int
+
+	// buf is used to buffer the output.
+	buf []byte
+
 	// closed indicates whether the file has been closed.
 	closed bool
-
-	// scratch is a 4-byte scratch buffer used for 32-bit integers.
-	scratch [4]byte
 }
 
 var _ io.Writer = (*SimpleWriter)(nil)
@@ -174,16 +185,25 @@ var _ io.Closer = (*SimpleWriter)(nil)
 
 // NewSimpleWriter returns a new non-compressing writer. If key is non-nil,
 // hash values are generated and written out for compressed bytes. See package
-// comments for details.
-func NewSimpleWriter(out io.Writer, key []byte) *SimpleWriter {
-	w := &SimpleWriter{
-		base: out,
-		out:  bufio.NewWriterSize(out, defaultBufSize),
+// comments for details. chunkSize is the buffer size used for buffering. Large
+// writes are not buffered and written out directly as a single chunk.
+func NewSimpleWriter(out io.Writer, key []byte, chunkSize uint32) *SimpleWriter {
+	if key == nil {
+		// Since there is no key, this image doesn't use the data integrity stream
+		// format mentioned in package comments. We can just use a bufio writer.
+		return &SimpleWriter{
+			base:   out,
+			bufOut: bufio.NewWriterSize(out, defaultBufSize),
+		}
 	}
-	if key != nil {
-		w.h = hmac.New(sha256.New, key)
+
+	return &SimpleWriter{
+		base:      out,
+		h:         hmac.New(sha256.New, key),
+		chunkSize: int(chunkSize),
+		// Allocate space for the data size header and the hash.
+		buf: make([]byte, 4+chunkSize+sha256.Size),
 	}
-	return w
 }
 
 // Write implements io.Writer.Write.
@@ -193,40 +213,84 @@ func (w *SimpleWriter) Write(p []byte) (int, error) {
 		return 0, io.ErrUnexpectedEOF
 	}
 
-	if w.h == nil {
-		return w.out.Write(p)
+	if w.bufOut != nil {
+		return w.bufOut.Write(p)
 	}
 
-	l := uint32(len(p))
+	total := 0
+	for len(p) > 0 {
+		if len(p) > w.chunkSize && w.done == 0 {
+			// If the payload is larger than the chunk size and we are not in the
+			// middle of writing another chunk, we can just write it out as one chunk.
+			n, err := w.directWrite(p)
+			return total + n, err
+		}
 
-	// chunk length
-	binary.BigEndian.PutUint32(w.scratch[:], l)
-	if _, err := w.out.Write(w.scratch[:]); err != nil {
+		// Copy to buffer.
+		n := copy(w.buf[4+w.done:4+w.chunkSize], p)
+
+		// Update state.
+		w.done += n
+		p = p[n:]
+		total += n
+
+		// Flush if necessary.
+		if w.done >= w.chunkSize {
+			if err := w.flush(); err != nil {
+				return total, err
+			}
+		}
+	}
+	return total, nil
+}
+
+// Precondition: w.done == 0.
+func (w *SimpleWriter) directWrite(p []byte) (int, error) {
+	// Write the data size.
+	binary.BigEndian.PutUint32(w.buf[:4], uint32(len(p)))
+	if _, err := w.base.Write(w.buf[:4]); err != nil {
 		return 0, err
 	}
 
-	// Write out to the stream.
-	n, err := w.out.Write(p)
+	// Write the data.
+	n, err := w.base.Write(p)
 	if err != nil {
 		return n, err
 	}
 
-	// Write out the hash.
-
-	// chunk data
-	_, _ = w.h.Write(p)
-
-	// chunk length
-	binary.BigEndian.PutUint32(w.scratch[:], l)
-	w.h.Write(w.scratch[:])
-
-	sum := w.h.Sum(nil)
+	// Write the hash. Compute it by writing the data followed by data size.
 	w.h.Reset()
-	if _, err := io.CopyN(w.out, bytes.NewReader(sum), int64(len(sum))); err != nil {
-		return n, err
+	_, _ = w.h.Write(p)
+	_, _ = w.h.Write(w.buf[:4])
+	// Pass a 32-byte capacity  slice (with 0 length) to avoid allocation.
+	w.h.Sum(w.buf[0:0:sha256.Size])
+	_, err = w.base.Write(w.buf[:sha256.Size])
+	return n, err
+}
+
+func (w *SimpleWriter) flush() error {
+	if w.done <= 0 {
+		return nil
 	}
 
-	return n, nil
+	// Add the data size header at the beginning of the buffer.
+	binary.BigEndian.PutUint32(w.buf[:4], uint32(w.done))
+
+	// Compute the hash by writing the data followed by data size.
+	w.h.Reset()
+	_, _ = w.h.Write(w.buf[4 : 4+w.done])
+	_, _ = w.h.Write(w.buf[:4])
+
+	// Calculate the hash and write it after the data section in the buffer.
+	// Pass a 32-byte capacity slice (with 0 length) to avoid allocation.
+	w.h.Sum(w.buf[4+w.done : 4+w.done : 4+w.done+sha256.Size])
+
+	// Write out to the stream.
+	_, err := w.base.Write(w.buf[:4+w.done+sha256.Size])
+
+	// Reset state.
+	w.done = 0
+	return err
 }
 
 // Close implements io.Closer.Close.
@@ -238,9 +302,15 @@ func (w *SimpleWriter) Close() error {
 	}
 	w.closed = true
 
-	// Flush buffered writer
-	if err := w.out.Flush(); err != nil {
-		return err
+	// Flush buffers.
+	if w.bufOut != nil {
+		if err := w.bufOut.Flush(); err != nil {
+			return err
+		}
+	} else {
+		if err := w.flush(); err != nil {
+			return err
+		}
 	}
 
 	// Close the underlying writer (if necessary).
@@ -248,8 +318,9 @@ func (w *SimpleWriter) Close() error {
 		return closer.Close()
 	}
 
-	w.out = nil
+	w.bufOut = nil
 	w.base = nil
+	w.buf = nil
 
 	return nil
 }
diff --git a/pkg/compressio/nocompressio_test.go b/pkg/compressio/nocompressio_test.go
index e169ddaef..0e445fbbb 100644
--- a/pkg/compressio/nocompressio_test.go
+++ b/pkg/compressio/nocompressio_test.go
@@ -54,7 +54,7 @@ func TestNoCompress(t *testing.T) {
 						Name: fmt.Sprintf("len(data)=%d, blockSize=%d, key=%s, corruptData=%v", len(data), blockSize, string(key), corruptData),
 						Data: data,
 						NewWriter: func(b *bytes.Buffer) (io.WriteCloser, error) {
-							return NewSimpleWriter(b, key), nil
+							return NewSimpleWriter(b, key, blockSize), nil
 						},
 						NewReader: func(b *bytes.Buffer) (io.Reader, error) {
 							return NewSimpleReader(b, key), nil
@@ -87,7 +87,7 @@ func benchmarkNoCompress1ByteWrite(b *testing.B, key []byte, blockSize uint32) {
 		buf [1]byte
 		out bytes.Buffer
 	)
-	w := NewSimpleWriter(&out, key)
+	w := NewSimpleWriter(&out, key, blockSize)
 	for i := 0; i < b.N; i++ {
 		w.Write(buf[:])
 	}
diff --git a/pkg/state/statefile/statefile.go b/pkg/state/statefile/statefile.go
index c0edc6da9..6702d22bc 100644
--- a/pkg/state/statefile/statefile.go
+++ b/pkg/state/statefile/statefile.go
@@ -62,8 +62,8 @@ import (
 // keySize is the AES-256 key length.
 const keySize = 32
 
-// compressionChunkSize is the chunk size for compression.
-const compressionChunkSize = 1024 * 1024
+// stateFileChunkSize is the chunk size used to read/write the state file.
+const stateFileChunkSize = 1024 * 1024
 
 // maxMetadataSize is the size limit of metadata section.
 const maxMetadataSize = 16 * 1024 * 1024
@@ -230,10 +230,10 @@ func NewWriter(w io.Writer, key []byte, metadata map[string]string) (io.WriteClo
 	// gain in restore latency reduction, while incurring much more CPU usage at
 	// save time.
 	if compression == CompressionLevelFlateBestSpeed {
-		return compressio.NewWriter(w, key, compressionChunkSize, flate.BestSpeed)
+		return compressio.NewWriter(w, key, stateFileChunkSize, flate.BestSpeed)
 	}
 
-	return compressio.NewSimpleWriter(w, key), nil
+	return compressio.NewSimpleWriter(w, key, stateFileChunkSize), nil
 }
 
 // MetadataUnsafe reads out the metadata from a state file without verifying any
diff --git a/pkg/state/statefile/statefile_test.go b/pkg/state/statefile/statefile_test.go
index c45029152..af9049f4c 100644
--- a/pkg/state/statefile/statefile_test.go
+++ b/pkg/state/statefile/statefile_test.go
@@ -69,8 +69,8 @@ func TestStatefile(t *testing.T) {
 		{"longer than hash", []byte("012356asdjflkasjlk3jlk23j4lkjaso0d789f0aujw3lkjlkxsdf78asdful2kj3ljka78"), nil},
 
 		// Make sure we have one longer than the chunk size.
-		{"chunks", make([]byte, 3*compressionChunkSize), nil},
-		{"large", make([]byte, 30*compressionChunkSize), nil},
+		{"chunks", make([]byte, 3*stateFileChunkSize), nil},
+		{"large", make([]byte, 30*stateFileChunkSize), nil},
 
 		// Different metadata.
 		{"one metadata", []byte("data"), map[string]string{"foo": "bar"}},