Ju Chao Zi Xun·2025-11-14 16:09Core Insights - Company expects Q4 revenue guidance to be flat to a 2% increase despite it being a traditional off-season, with a gross margin guidance of 18% to 20% [1] - Full-year sales revenue is projected to exceed $9 billion, with capital expenditures expected to be roughly the same or slightly higher than last year [1] Financial Performance - In Q3, the company achieved sales revenue of $2.382 billion, a 7.8% increase quarter-over-quarter, with a gross margin of 22.0%, up 1.6 percentage points from the previous quarter [3] - Capacity utilization rose to 95.8%, an increase of 3.3 percentage points, with wafer shipments equivalent to 2.499 million eight-inch standard wafers, a 4.6% increase [3] - For the first three quarters, total revenue reached $6.838 billion, a year-over-year increase of 17.4%, with a gross margin of 21.6% and total capital expenditures of $5.7 billion [3] Capacity and Product Structure - As of the end of Q3, the monthly capacity for eight-inch standard wafers was approximately 1.023 million pieces, with a revenue breakdown of 77% for 12-inch wafers and 23% for 8-inch wafers [3] - The average selling price of wafers increased by 3.8% quarter-over-quarter, attributed to changes in product mix with a higher proportion of more complex products being shipped [3] Regional Revenue Distribution - In Q3, revenue distribution by region was 86% from China, 11% from the U.S., and 3% from Eurasia, with absolute revenue from China increasing by approximately 11% quarter-over-quarter [3] - The company adjusted capacity allocation in response to urgent orders, leading to fluctuations in regional revenue distribution [3] Downstream Applications - In Q3, wafer revenue by application was distributed as follows: smartphones (22%), computers and tablets (15%), consumer electronics (43%), IoT and wearables (8%), and industrial and automotive (12%) [4] - Revenue from consumer electronics grew approximately 15% quarter-over-quarter, driven by domestic companies replacing overseas suppliers in certain end products [4] Capital Expenditures and Industry Environment - Full-year capital expenditures are expected to be similar to or slightly higher than last year, primarily for capacity construction and process upgrades in mature processes and specialty technologies [4] - The company noted that rising memory prices are beneficial for manufacturing but may increase cost pressures for original equipment manufacturers in automotive, smartphones, and other consumer terminals [4]