Shanghai, China – May 13, 2020 -- Semiconductor Manufacturing International Corporation (SEHK: 981; OTCQX: SMICY) (“SMIC”, the “Company” or “our”), one of the leading semiconductor foundries in the world, today announced its consolidated results of operations for the three months ended March 31, 2020.
2020 First Quarter Highlights
- Revenue was $904.9 million in 1Q20, an increase of 7.8% QoQ from $839.4 million in 4Q19, and 35.3% YoY from $668.9 million in 1Q19.
- Gross profit was $233.6 million in 1Q20, an increase of 17.1% QoQ from $199.4 million in 4Q19 and 91.4% YoY from $122.1 million in 1Q19.
- Gross margin was 25.8% in 1Q20, compared to 23.8% in 4Q19 and 18.2% in 1Q19.
2020 Second Quarter Guidance
The following statements are forward looking statements based on current expectations and involved risks and uncertainties, some of which are set forth under “Forward-Looking Statements” below.The Company expects:
- Revenue to increaseby 3%to 5% QoQ.
- Gross margin to range from 26% to 28%.
- Non-IFRS operating expenses to range from $240million to $245million.
- Non-controlling interests of our majority-owned subsidiaries to range from $0 to positive $10million (losses to be borne by non-controlling interests).
Dr. Zhao Haijun and Dr. Liang Mong Song, SMIC’s Co-Chief Executive Officers commented, “The company's revenue in the first quarter has reached a historical high of $905 million, an increase of 8% quarter over quarter, and 35% year over year, as market demand and product mix are better than expected. Revenue related to communications, computer and consumer electronics grew, gradually increasing in market share.
Our capacity for mature technology platform applications continue to be fully loaded; the demand for CIS related ICs, power management, fingerprint sensors, specialty memory and other related applications are strong. Advanced technology R&D and business are progressing smoothly, as we continue to expand in communications, smartphone, automotive and consumer electronics related fields. Our customers’ feedback on 14nm is positive; our 14nm is covering both communications and automotive sectors with applications including low-end application processors, baseband and consumer related products. We decided to increase capital expenditure by $1.1 billion to a total of $4.3 billion, to meet the market demand.
We are confident in leading the company in continued growth momentum, focusing on building up competitiveness under uncertainty, providing comprehensive technology and business platform solutions for domestic and global customers, and capturing growth opportunities in the semiconductor industry.”
To see the complete results including financial tables, please clickhere:
Conference Call / Webcast Announcement
Date: May 14, 2020
Time: 8:30 a.m. Beijing time
Teleconference call services are affected by the COVID-19, operator assisted conference calls are not available at the moment. You must preregister online in order to receive the dial-in numbers.
You may register for the conference call at: http://apac.directeventreg.com/registration/event/1749469
Once preregistration has been complete, you will receive dial-in numbers, the passcode, and a unique registrant ID. To join the conference, dial the number you receive in the email, enter the passcode followed by your registrant ID, and you will join the conference instantly.
The call will be webcast live with audio at:
http://www.smics.com/en/site/company_activity or https://edge.media-server.com/mmc/p/n7zzr3yk
An archived version of the webcast, along with an electronic copy of this news release will be available on the SMIC website for a period of 12 months following the webcast.
Semiconductor Manufacturing International Corporation (“SMIC” SEHK: 981; OTCQX: SMICY) and its subsidiaries collectively constitute one of the leading foundries in the world, is Mainland China’s most advanced and largest foundry, broadest in technology coverage, and most comprehensive in semiconductor manufacturing services. SMIC Group provides integrated circuit (IC) foundry and technology services on process nodes from 0.35 micron to 14 nanometer. Headquartered in Shanghai, China, SMIC Group has an international manufacturing and service base. In China, SMIC has a 300mm wafer fabrication facility (fab) , a 200mm fab and a majority-owned joint-venture 300mm fab for advanced nodes in Shanghai; a 300mm fab and a majority-owned 300mm fab for advanced nodes in Beijing; 200mm fabs in Tianjin and Shenzhen; and a majority-owned joint-venture 300mm bumping facility in Jiangyin. SMIC Group also has marketing and customer service offices in the U.S., Europe, Japan, and Taiwan China, and a representative office in Hong Kong China.
For more information, please visit www.smics.com.