Core Insights - Fudan Microelectronics experienced a decline of 0.98% in stock price on October 9, with a trading volume of 1.745 billion yuan [1] - The company reported a net financing purchase of 105 million yuan on the same day, with a total financing and securities lending balance of 720 million yuan [1] Company Overview - Fudan Microelectronics, established on July 10, 1998, and listed on August 4, 2021, is based in Yangpu District, Shanghai, and primarily engages in integrated circuit (IC) related businesses [2] - The company's revenue composition includes: 37.04% from FPGA and other products, 23.92% from non-volatile memory, 21.35% from security and identification chips, 13.46% from smart meter chips, 4.15% from IC testing services, and 0.09% from rental income [2] Financial Performance - For the first half of 2025, Fudan Microelectronics achieved a revenue of 1.839 billion yuan, reflecting a year-on-year growth of 2.49%, while the net profit attributable to shareholders decreased by 44.38% to 194 million yuan [2] - Cumulatively, the company has distributed 311 million yuan in dividends since its A-share listing, with 258 million yuan distributed over the past three years [3] Shareholder Structure - As of June 30, 2025, the number of shareholders decreased by 7.44% to 21,700, with an average of 24,735 circulating shares per person, an increase of 8.04% [2] - Among the top ten circulating shareholders, the largest increase was seen in the holdings of the Harvest SSE STAR Chip ETF, which rose by 728,000 shares to 7.6546 million shares [3]

Core Viewpoint - The Hong Kong stock market experienced a decline, with the Hang Seng Index falling by 0.29% and the Hang Seng Tech Index dropping by 0.66% [1] Group 1: Semiconductor Sector - The semiconductor sector saw a collective downturn, with notable declines including Huahong Semiconductor and SMIC both dropping over 6%, InnoCare falling over 5%, and Shanghai Fudan decreasing over 4% [1] Group 2: Other Notable Stocks - Smoore International experienced a significant drop of over 12%, while Gilead Sciences and UBTECH Robotics both fell by over 9% [1] - Conversely, ZTE Corporation rose by over 12%, China Gold International increased by over 9%, and Luoyang Molybdenum gained over 7% [1]

Group 1 - The report highlights that the A-share market is expected to trend upward after a period of consolidation, focusing on three main directions: policy catalysis, economic recovery, and benefits from interest rate cuts [4][14][17] - The report emphasizes the importance of monitoring the U.S. government shutdown and its potential impact on asset volatility, while also noting the relatively mild market reaction so far [15][16] - Domestic policies are expected to provide short-term support, with significant attention on the 14th Five-Year Plan and the upcoming APEC meeting for potential U.S.-China progress [16][17] Group 2 - The report identifies ten key stocks for October, including companies from various sectors such as electronics, automotive, and new energy, with no specific ranking among them [5][12] - The electronic sector features companies like Zhongwei Company and Fudan Microelectronics, which are expected to benefit from advancements in technology and market demand [18][22] - The automotive sector includes Moulding Technology, which is positioned to gain from increasing demand for lightweight and customized exterior parts due to the shift towards electric vehicles [34][36] Group 3 - In the electronics sector, Zhongwei Company reported a significant revenue increase of 36.46% year-on-year for the first half of 2024, although net profit saw a decline due to increased costs [18][19] - Fudan Microelectronics is facing intense competition in the market, leading to a slight decrease in revenue and profit, but is advancing its FPGA product line to maintain a competitive edge [22][23] - Moulding Technology is expected to see a recovery in profitability due to new projects with major automotive clients, projecting revenues of 71.4 billion yuan for 2024 [32][34] Group 4 - The report indicates that Meihu Co. is diversifying into new energy vehicles while maintaining strong growth in its traditional pump business, with a projected revenue increase for 2025 [39][40] - Shenzhen New Star is experiencing a significant recovery in performance, with a projected revenue of 15 billion yuan for the first half of 2025, driven by a rebound in lithium hexafluorophosphate prices [43][44] - Luoyang Molybdenum Co. reported a record net profit of 8.67 billion yuan for the first half of 2025, driven by increased production and rising prices of copper and cobalt [49][50]

Group 1 - Semiconductor stocks experienced a general pullback, with Shanghai Fudan falling over 4% [1] - SMIC and Hua Hong Semiconductor both declined by more than 3% [1] - Jingmen Semiconductor and Hongguang Semiconductor saw a drop of over 1% [1]

Core Viewpoint - The ROM (Read-Only Memory) industry in China is experiencing significant growth, driven by advancements in cloud computing, big data, and artificial intelligence, with the market size projected to increase from 120.84 billion yuan in 2020 to 170.68 billion yuan by 2024, representing a compound annual growth rate (CAGR) of 9% [1][7]. Industry Overview - ROM is a type of semiconductor memory that is crucial for data storage and processing, with its primary function being the high-speed and automated access to programs and data [3]. - The ROM market is categorized into various types, including MROM, PROM, EPROM, EEPROM, and Flash, each with distinct characteristics and applications [4][8]. Industry Chain - The upstream of the ROM industry involves suppliers of semiconductor materials, photoresists, and masks, which are essential for ROM manufacturing [5]. - The downstream applications of ROM are extensive, covering sectors such as computing, communications, consumer electronics, automotive electronics, and industrial control, all of which have high demands for performance and quality [6]. Current Industry Status - The global semiconductor memory market is expanding, with China playing a vital role in breaking the overseas monopoly through domestic technology advancements. The semiconductor memory market in China is expected to reach 426.7 billion yuan by 2024, growing by 8.22% year-on-year [6][7]. Competitive Landscape - Major global players like Samsung, Intel, and Micron Technology dominate the ROM market, leveraging strong R&D capabilities and advanced production technologies [9]. - In China, domestic companies such as Zhaoyi Innovation, Dongxin Technology, and Jucheng Technology are enhancing their competitiveness due to technological advancements and supportive policies [9]. Future Development Trends - The semiconductor industry is expected to rebound, with increasing demand for ROM driven by the growth of portable, intelligent, and networked devices [12]. - Customization of ROM solutions is anticipated to rise, allowing for tailored storage capacities and read/write speeds to meet specific application needs, particularly in niche markets like industrial control and medical devices [13].

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年9月30日 狀態: 新提交 致：香港交易及結算所有限公司 FF301 公司名稱: 上海復旦微電子集團股份有限公司 呈交日期: 2025年10月2日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | H | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 01385 | 說明 | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 284,330,000 | RMB | | 0.1 RMB | | 28,433,000 | | 增加 / 減少 (-) | | | | | | RMB | | | | 本月底結存 | | | 284,330,000 | RMB | | 0.1 RMB | | 28,433,000 | 第 1 頁 共 10 頁 v 1.1.1 | 2 ...

Financial Performance - The company's operating revenue for the first half of 2025 was approximately RMB 1.84 billion, an increase of 2.49% compared to the same period in 2024[6] - Net profit attributable to shareholders for the first half of 2025 was approximately RMB 193.61 million, a decrease of about 44.38% year-on-year[6] - The gross profit margin for the first half of 2025 was 56.80%, an increase of 0.31 percentage points year-on-year[7] - The comprehensive gross margin was 56.80%, an increase of 0.31 percentage points year-on-year[26] - Net profit attributable to shareholders was approximately RMB 194 million, a year-on-year decrease of 44.38%[26] - The company reported a significant increase in tax expenses, totaling RMB 11,428,375.33 for the first half of 2025, compared to RMB 4,625,993.78 in the same period of 2024, reflecting a year-over-year increase of approximately 147%[139] - The company reported a net profit of RMB 180,478,183.95 for the half-year ended June 30, 2025, down from RMB 339,684,234.43 in 2024[152] Cash Flow and Liquidity - The net cash flow from operating activities increased by 45.94% year-on-year, amounting to approximately RMB 185.53 million[8] - Cash flow from operating activities generated RMB 185,534,287.84, an increase of 46% compared to RMB 127,129,183.85 in 2024[63] - Cash flow from investing activities showed a net outflow of RMB 114,798,856.33, improving from a larger outflow of RMB 324,615,033.17 in 2024[63] - Cash flow from financing activities resulted in a net outflow of RMB 36,010,740.42, compared to a smaller outflow of RMB 7,530,906.23 in 2024[64] - Total cash and cash equivalents at the end of the period increased to RMB 1,094,144,866.77 from RMB 782,322,362.59 in 2024[64] Research and Development - Research and development expenses accounted for 28.99% of operating revenue in the first half of 2025, down from 33.31% in the same period of 2024[7] - Research and development (R&D) expenses totaled RMB 53.31 million, a decrease of 10.80% compared to the same period last year[24] - R&D investment amounted to approximately RMB 533 million, representing 28.99% of total revenue during the reporting period, indicating a high intensity of R&D expenditure[37] - The company has successfully launched a new generation of active and passive NFC tag products, enhancing performance to meet key customer application needs[16] - The company is advancing the development of heterogeneous fusion programmable devices, with a focus on RF-FPGA and RFSoC product lines expected to tape-out in the second half of the year[22] Assets and Liabilities - The company's total assets as of June 30, 2025, were approximately RMB 93.03 billion, reflecting a growth of about 2.90% from the beginning of the reporting period[8] - The net assets attributable to shareholders as of June 30, 2025, were approximately RMB 60.34 billion, an increase of about 2.37% from the beginning of the reporting period[8] - Total liabilities increased to RMB 2,632.27 million from RMB 2,496.99 million, indicating a rise in financial obligations[55] - Total assets as of June 30, 2025, amounted to RMB 397,875,893.03 for current non-current liabilities due within one year, an increase from RMB 368,203,159.44 at the end of 2024[128] Inventory and Receivables - The company's inventory at the end of the reporting period was valued at approximately RMB 3.09 billion, accounting for 45.75% of total current assets, with a provision for inventory impairment of RMB 548 million[36] - Accounts receivable at the end of the reporting period totaled approximately RMB 1.74 billion, with accounts receivable and notes receivable combined accounting for 110.87% of total revenue, indicating potential collection risks[39] - The total inventory as of June 30, 2025, was RMB 3,637,245,823.98, an increase from RMB 3,566,680,699.95 as of December 31, 2024, representing a growth of approximately 1.97%[103] - The provision for inventory impairment increased to RMB 548,261,080.05 as of June 30, 2025, compared to RMB 432,223,796.20 as of December 31, 2024, marking an increase of approximately 26.88%[102] Market and Competition - The company is actively expanding new products and markets to consolidate or increase market share despite intense competition in various product lines[7] - The global semiconductor market is projected to grow by 11.2% in 2025, with an estimated market value of USD 697 billion[9] - The company is exposed to risks from changes in government subsidies and tax incentives, which could impact profitability if supportive policies change[38] Subsidiaries and Investments - Shanghai Hualing Integrated Circuit Technology Co., Ltd. had total assets of RMB 1.32 billion as of June 30, 2025, a slight increase from RMB 1.32 billion at the end of 2024[163] - The company holds a 42.32% stake in Shanghai Hualing, maintaining control as the largest single shareholder despite a reduction in ownership due to public share issuance[162] - The company has established several subsidiaries, including Fudan Microelectronics (USA) Inc. and Shenzhen Fudan Microelectronics Co., Ltd., both fully owned[160] Tax and Compliance - The company has a corporate income tax rate of 15%, while its subsidiaries in Shanghai also maintain the same rate[83] - The company and its subsidiary, Shanghai Hualing Integrated Circuit Technology Co., Ltd., obtained high-tech enterprise certificates in 2023, allowing them to benefit from a reduced tax rate of 15% for three years[84] - The financial statements are prepared based on the going concern assumption, with no significant doubts regarding the company's ability to continue operations[76] Employee Compensation - The company’s total employee compensation for sales expenses was RMB 85,071,253.07 in the first half of 2025, slightly up from RMB 84,667,736.61 in 2024[140] - The company’s total employee compensation for R&D expenses was RMB 320,770,561.29 in the first half of 2025, down from RMB 332,827,727.24 in 2024, reflecting a decrease of about 3.6%[144] - The company’s short-term employee compensation decreased to RMB 150,398,240.51 as of June 30, 2025, from RMB 157,230,519.66 at the end of 2024, a decline of about 4.9%[122]

Market Overview - The A-share market showed mixed performance on September 29, with the ChiNext Index rising over 1% and returning above 3200 points, while the Shanghai Composite Index fell by 0.26% and the Shenzhen Component Index increased by 0.67% [1] - The Hong Kong market saw the Hang Seng Technology Index rise by over 1%, with notable gains in companies like SenseTime, Kingdee International, and Hua Hong Semiconductor [1] Lithium Battery Sector - The lithium battery and related industry chain experienced significant strength, with stocks such as Yicheng New Energy and Wanrun New Energy hitting the daily limit of 20% increase. Other stocks like Tianji Co., Shida Shenghua, Xiangtan Electric, and Duofluoride also saw similar gains [3][4] - The overall market sentiment in the lithium battery sector is positive, driven by advancements in technology and increased demand [5] Semiconductor Sector - The semiconductor industry chain faced a short-term decline, with companies like Cambricon Technologies dropping over 5%, and others such as Haiguang Information and Fudan Microelectronics falling more than 4% [6][7] Stock Performance Highlights - Notable stock performances included: - SenseTime (2.700, +3.05%, market cap 104.8 billion) - Kingdee International (16.770, +2.95%, market cap 59.5 billion) - Hua Hong Semiconductor (70.200, +2.86%, market cap 134.6 billion) - Yicheng New Energy (5.88, +20.00%, market cap 11 billion) - Wanrun New Energy (65.64, +20.00%, market cap 8.3 billion) [3][4]

Group 1 - The semiconductor sector experienced a sharp rise followed by a decline, with companies such as Haiguang Information and Canxin Co. falling over 5% [1] - Other companies in the sector, including Fudan Microelectronics, Cambricon, and Unisoc, also saw significant declines [1]

Group 1 - The semiconductor sector experienced a sharp rise followed by a decline, indicating volatility in the market [1] - Companies such as Haiguang Information and Canxin Co. saw their stock prices drop over 5% [1] - Other firms including Fudan Microelectronics, Cambricon, and Unisoc also faced significant declines in their stock prices [1]