Semiconductor Manufacturing International (SMIC) said its revenue grew 34 percent to $2.17 billion during the third-quarter of 2024.
SMIC has generated 86.4 percent of its total revenue from China, 10.6 percent from America and 3.0 percent from Eurasia. This compares with 84 percent from China, 12.9 percent from America and 3.1 percent from Eurasia in Q3 2023.
SMIC said Consumer Electronics business contributed 42.6 percent, Smartphone 24.9 percent, Computer and Tablet 16.4 percent, Connectivity and IoT 8.2 percent and Industrial and Automotive 7.9 percent during Q3.
SMIC has reported a 58.3 percent rise in net profit to $148.8 million in Q3.
SMIC’s gross profit margin reached 20.5 percent, surpassing its forecast range of 18 percent to 20 percent.
Global semiconductor sales jumped 23.2 percent to $166 billion in Q3, with the Chinese market growing by 22.9 percent, indicating a sector recovery after a downturn since late 2022.
SMIC, primarily a mature node chip manufacturer, gained attention for producing advanced chips for Huawei’s high-end smartphones like the Mate 60. However, this segment remains a smaller part of its business, Reuters news report said.
SMIC has yet to significantly benefit from the AI-driven demand for advanced chips, which has boosted competitors like TSMC.
SMIC’s Q3 capital expenditure was $1.178 billion, down from $2.13 billion in the same period last year, and $2.251 billion in Q2 2024 — indicating more cautious investment amid market conditions. Monthly capacity increased to 884,250 8’’ equivalent wafers in 3Q24 from 837,000 8’’ equivalent wafers in 2Q24.
SMIC said 12-inch monthly capacity increased by 21 thousand wafers, which further improved the product mix and increased the blended ASP. The overall utilization rate increased to 90.4 percent and gross margin increased to 20.5 percent.
