diff --git a/setup.py b/setup.py
index 112c0462f2..c3850e2a4f 100644
--- a/setup.py
+++ b/setup.py
@@ -1098,7 +1098,7 @@ def _read_requirements(filename: str) -> list[str]:
         # NOTE: When updating helion version, also update CI files:
         #   - .buildkite/test_areas/kernels.yaml
         #   - .buildkite/test-amd.yaml
-        "helion": ["helion==1.0.0"],
+        "helion": ["helion==1.2.0"],
         # Optional deps for gRPC server (vllm serve --grpc)
         "grpc": ["smg-grpc-servicer[vllm] >= 0.5.2"],
         # Optional deps for OpenTelemetry tracing