SMIC(SH:688981) Zheng Quan Shi Bao·2025-08-29 12:41Core Viewpoint - SMIC (688981.SH) announced plans to issue RMB ordinary shares (A-shares) to acquire minority stakes in its subsidiary, SMIC North Integrated Circuit Manufacturing (Beijing) Co., Ltd, leading to a stock suspension starting September 1, 2025, for no more than 10 trading days [2]. Company Overview - SMIC North Integrated Circuit Manufacturing (Beijing) Co., Ltd has a registered capital of USD 480 million and specializes in semiconductor manufacturing, including integrated circuit chips with a line width of 28 nanometers and below [3]. - The transaction is not expected to constitute a major asset restructuring but is classified as a related party transaction, with an asset purchase intention agreement signed with major shareholders of SMIC North [3]. Stock Performance - SMIC's A-shares fell by 3.74% to CNY 114.76 per share after a previous increase of over 17%, which had set a historical high [4]. Financial Performance - For Q2 2025, SMIC reported total sales revenue of USD 2.209 billion, a decrease of 1.7% quarter-on-quarter, with a gross margin of 20.4%, down by 2.1 percentage points [5][7]. - The company’s operating profit decreased by 51.3% to USD 150.677 million, while net profit fell by 54.6% to USD 146.681 million compared to the previous quarter [7]. - Year-to-date, SMIC's sales revenue reached USD 4.46 billion, a 22% increase year-on-year, with a gross margin of 21.4%, up by 7.6 percentage points from the previous year [8]. Production Capacity - SMIC's monthly production capacity increased from 973,300 wafers in Q1 2025 to 991,300 wafers in Q2 2025, with a capacity utilization rate of 92.5%, up from 89.6% in the previous quarter [9]. - The company shipped 2.3902 million wafers in Q2 2025, reflecting a 4.3% quarter-on-quarter increase and a 13.2% year-on-year increase [9]. Market Outlook - For Q3 2025, SMIC provided revenue guidance of a 5% to 7% increase quarter-on-quarter, with a gross margin forecast of 18% to 20% [10].