SMIC profit more than triples on AI-driven chip demand

China's largest contract chipmaker, Semiconductor Manufacturing International Corp (0981), reported on Thursday second-quarter profit more than tripled from a year earlier, beating analyst estimates, as demand for AI-related chips remained robust.

Profit attributable to shareholders came in at US$479.2 million (HK$3.74 billion), nearly double the average analyst estimate of US$253.4 million compiled by LSEG.

Revenue rose 36 percent to more than US$3 billion, topping the US$2.8 billion analysts had forecast, LSEG data showed.

SMIC said in a stock exchange filing that AI would continue to drive robust chip demand in the second half of the year, adding that it would adjust existing capacity and accelerate the ramp-up of new production lines to help ease industry-wide supply constraints.

Reuters

𝗗𝗼𝘄𝗻𝗹𝗼𝗮𝗱 𝗧𝗵𝗲 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝗔𝗽𝗽 ↓