CI-SMIC@EC2607B(29866.HK)

SMIC 4Q25 First Take: headline was mixed — revenue met expectations, but GPM underwhelmed. On the margin bridge, ASP rose by $37/wafer QoQ while unit cost increased by $56/wafer, driving GPM compression. While the company has pushed advanced nodes to a 7nm‑equivalent, lower yield continues to weigh on margins. Guidance matters more than the print, and the outlook remains muted. Management guides flat QoQ revenue vs. the Street at +3%, and GPM at 18–20% vs. the Street at 21%, implying continued margin pressure. Despite AI semis staying hot, results remain soft, largely due to a sluggish traditional semi market. Management is still cautious on the legacy demand recovery. Given SMIC’s unique positioning, valuation is not fully tethered to near‑term fundamentals. The company sits in the foundry industry’s second tier but is working to close the gap with TSMC, which keeps optionality and expectations alive. For more, follow Dolphin Research for subsequent commentary and Trans. $SMIC(00981.HK) $SMIC(688981.SH)

SMIC Posts Strong 2025 Growth on Capacity Expansion and Supply-Chain Localization

Semiconductor Manufacturing International Corporation (HK:0981) reported strong growth for 2025, with fourth-quarter revenue of $2.49 billion, a 12.7% year-on-year increase. Full-year revenue rose 16.2% to $9.33 billion, and profit attributable to shareholders climbed 39.1% to $685.1 million. The company expanded its capacity and benefited from supply-chain localization. Management expects 2026 revenue to exceed industry averages, with stable first-quarter revenue and a gross margin of 18%-20%. The current analyst rating is a Hold with a price target of HK$73.00.

SMIC meldet Umsatz im vierten Quartal 2025 von 2.488,71 Mio. USD mit einem Anstieg um 12,8 Prozent

SMIC (Semiconductor Manufacturing International Corporation) reported preliminary financial results for Q4 2025, with revenue of $2.49 billion, marking a 4.5% increase from the previous quarter and a 12.8% rise year-over-year. Gross profit was $478.12 million, down 8.5% from the prior quarter and 4.2% year-over-year, resulting in a gross margin of 19.2%. For Q1 2026, SMIC anticipates stable revenue and a gross margin between 18% and 20%, citing challenging market conditions, intense competition, new technology rollouts, and geopolitical risks as key factors affecting business performance.

SMIC: The guidance for Q1 2026 is for sales revenue to remain flat quarter-on-quarter, with a gross margin between 18% and 20%

SMIC expects its sales revenue in the first quarter of 2026 to remain flat quarter-on-quarter, with a gross margin between 18% and 20%. The company pointed out that opportunities from the return of the industrial chain coexist with challenges from the storage supercycle, and it is expected that the sales revenue growth will exceed the industry average, with capital expenditures remaining the same as in 2025

SMIC's net profit in the fourth quarter was 1.22 billion yuan, a year-on-year increase of 23.2%

In the fourth quarter of 2025, SMIC achieved total operating revenue of 17.813 billion yuan, a year-on-year increase of 11.9%; net profit was 1.223 billion yuan, a year-on-year increase of 23.2%. However, the total profit was 1.602 billion yuan, a year-on-year decrease of 41.5%