SMIC(SH:688981)2023-11-09 16:00Financial Performance - In Q3 2023, the company's revenue was $1.62 billion, a 3.9% increase quarter-over-quarter, and within the guidance range [5]. - For the first three quarters of 2023, net profit attributable to shareholders was $677.5 million, a decrease of 78.4% year-over-year [6]. - The company’s diluted earnings per share for Q3 2023 was RMB 0.09, a decrease of 77.5% year-over-year [6]. - Total operating revenue for the first three quarters of 2023 was CNY 33,098,244, a decrease of 12.5% compared to CNY 37,763,559 in the same period of 2022 [25]. - Operating profit for the first three quarters of 2023 was CNY 5,165,463, down 56.1% from CNY 11,780,131 in the same period of 2022 [25]. - Net profit attributable to shareholders of the parent company for the first three quarters of 2023 was CNY 3,674,784, a decrease of 60.9% compared to CNY 9,389,507 in the same period of 2022 [26]. - Total comprehensive income for the first three quarters of 2023 was CNY 10,385,641, down 66.5% from CNY 31,012,518 in the same period of 2022 [26]. - Earnings per share for the first three quarters of 2023 were CNY 0.46, compared to CNY 1.19 in the same period of 2022 [26]. Margins and Costs - Gross margin for Q3 2023 was 19.8%, a decrease of 0.5 percentage points from the previous quarter [5]. - The EBITDA margin for Q3 2023 was 54.9%, down 6.3 percentage points compared to the same period last year [7]. - Total operating costs for the first three quarters of 2023 were CNY 28,723,362, an increase of 3.4% compared to CNY 27,766,816 in the same period of 2022 [25]. Capacity and Production - The total output increased by 9.5% quarter-over-quarter, with total capacity rising to 796,000 wafers, resulting in an average capacity utilization rate of 77.1%, down 1.2 percentage points [5]. - In Q3 2023, the company sold 1,536,845 wafers, an increase of 9.5% from 1,403,121 wafers in Q2 2023, but a decrease of 14.5% from 1,797,671 wafers in Q3 2022 [11]. - The monthly production capacity reached 795,750 wafers in Q3 2023, up from 754,250 wafers in Q2 2023 and 706,000 wafers in Q3 2022, indicating a year-over-year increase of 12.7% [11]. - The capacity utilization rate was 77.1% in Q3 2023, down from 78.3% in Q2 2023 and significantly lower than 92.1% in Q3 2022 [11]. Research and Development - R&D expenditure for Q3 2023 was $123.9 million, accounting for 10.5% of revenue, an increase of 1.0 percentage points year-over-year [6]. - Research and development expenses for the first three quarters of 2023 were CNY 3,641,213, an increase of 2.7% compared to CNY 3,545,485 in the same period of 2022 [25]. Assets and Liabilities - The company's total assets at the end of Q3 2023 were approximately RMB 335.69 billion, a 10% increase from the end of the previous year [6]. - The company's current assets decreased to RMB 105,626,974 thousand from RMB 115,571,980 thousand, reflecting a decline of about 8% [21]. - Total liabilities rose to RMB 116,100,910 thousand from RMB 103,398,978 thousand, which is an increase of about 12% [23]. - The company's equity attributable to shareholders reached RMB 143,011,339 thousand, compared to RMB 133,371,921 thousand, reflecting an increase of approximately 7% [23]. Cash Flow and Financing - Cash flow from operating activities for the first three quarters of 2023 was CNY 16,347,526, down 47.5% from CNY 31,159,743 in the same period of 2022 [27]. - Cash inflow from financing activities amounted to $26,941,150, up from $25,140,459 year-over-year [28]. - Net cash flow from financing activities was $12,811,200, down from $15,474,298 in the previous period [28]. - The ending balance of cash and cash equivalents was $49,925,550, compared to $53,827,902 at the end of the previous period [28]. Market and Shareholder Information - The revenue from the Chinese market accounted for 84.0% of total revenue in Q3 2023, up from 79.6% in Q2 2023 [9]. - The company has a total of 276,303 common shareholders as of the end of the reporting period [15]. - HKSCC NOMINEES LIMITED holds 4,224,995,133 shares, representing 53.17% of the total shares outstanding [15]. - The number of registered shareholders was 276,303, with 264,248 being A-share holders and 12,055 being Hong Kong stock holders [18]. Government Subsidies and Other Notes - The company reported a government subsidy of RMB 539,741 thousand in Q3 2023, contributing to a total of RMB 1,315,723 thousand year-to-date [12]. - The company has not disclosed any significant new product developments or market expansion strategies in the current report [19].