---
title: "SMIC's Q3 revenue hits a record high, with net profit increasing by 56% year-on-year to 1.06 billion yuan | Financial Report Insights"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/219066119.md"
description: "SMIC's Q3 2024 earnings report shows revenue of 15.609 billion yuan, a year-on-year increase of 32.5%, and a net profit of 1.059 billion yuan, a year-on-year increase of 56.4%. The company achieved over 2 billion USD in single-quarter revenue for the first time, with a gross margin rising to 20.5%. Despite the strong performance in Q3, net profit for the first three quarters decreased by 26.4% year-on-year. Q4 revenue is expected to remain flat to grow by 2% quarter-on-quarter, with a gross margin between 18% and 20%"
datetime: "2024-11-07T12:57:01.000Z"
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  - [en](https://longbridge.com/en/news/219066119.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/219066119.md)
---

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# SMIC's Q3 revenue hits a record high, with net profit increasing by 56% year-on-year to 1.06 billion yuan | Financial Report Insights

Thanks to the steady growth in wafer production capacity and sales, SMIC's revenue and profit in the third quarter both increased year-on-year, with revenue for the first time surpassing the $2 billion mark in a single quarter according to GAAP.

On the evening of November 7th, Thursday, SMIC announced its Q3 performance report for the fiscal year 2024.

**1) Key Financial Data:**

> **Revenue:** The company's Q3 revenue was 15.609 billion yuan, a year-on-year increase of 32.5%, with wafer sales increasing by 38% year-on-year to 2.122 million pieces.
> 
> **Profit:** The company's Q3 net profit attributable to shareholders was 1.059 billion yuan, a year-on-year increase of 56.4%, with basic earnings per share increasing by 44.4% year-on-year to 0.13 yuan/share.
> 
> **R&D Investment:** The company's Q3 R&D investment increased by 2.8% year-on-year to 1.274 billion yuan, accounting for 8.2% of total revenue, a year-on-year decrease of 2.3 percentage points.
> 
> **Other Indicators:** The company's Q3 gross margin improved to 20.5%, overall capacity utilization reached 90.4%, and monthly production capacity increased by 11.1% year-on-year to 884,000 pieces.

**2) Business Revenue Data:**

> **By Application:** Revenue from the smartphone business accounted for 24.9% of total revenue, a year-on-year decrease of 1 percentage point; revenue from computers and tablets accounted for 16.4%, a significant year-on-year decrease of 12.8 percentage points; revenue from consumer electronics, however, increased significantly by 18.5 percentage points to 42.6%.
> 
> **By Size:** Revenue from 8-inch wafers accounted for 21.5%, a year-on-year decrease of 4.5 percentage points, while revenue from 12-inch wafers accounted for 78.5%.
> 
> 
The financial report shows that according to International Financial Reporting Standards, the company's Q3 revenue increased by 14% quarter-on-quarter, **reaching $2.17 billion, surpassing the $2 billion mark for the first time in a single quarter, setting a new historical high.**

The company also added that **this quarter added 21,000 pieces of 12-inch wafer monthly production capacity**, further optimizing the product structure, and the average selling price increased.

However, despite the strong performance in Q3, the cumulative net profit for the first three quarters decreased by 26.4% year-on-year, primarily due to changes in the market environment and intensified competition.

In terms of performance guidance, SMIC expects **Q4 revenue to grow by 2% year-on-year, in line with the guidance from the previous quarter, and expects Q4 gross margin to be between 18%-20%.** As of today's close, SMIC's A-shares and H-shares rose by 6.09% and 5.02%, respectively, closing at CNY 101.89 per share and HKD 28.25 per share. The A-share price has increased by 92.17% year-to-date, while the H-share price has risen by 42.25% this year.

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