Core Viewpoint - SMIC has achieved significant growth since its IPO, marking a milestone for China's semiconductor manufacturing industry, but its profitability has shown fluctuations in recent years [1][3]. Business Overview - SMIC's main business includes integrated circuit wafer foundry services across various technology nodes from 0.35 microns to 14 nanometers, with integrated circuit wafer manufacturing accounting for 92.13% of its revenue [3]. - The company reported a net profit attributable to shareholders of 43.32 billion yuan in 2020, which decreased to 36.99 billion yuan by 2024, reflecting a cumulative profit decline of 14.63% [3]. Financial Performance - Revenue grew from 274.71 billion yuan in 2020 to 577.96 billion yuan in 2024, achieving a compound annual growth rate (CAGR) of 20.4% [3]. - Profitability peaked in 2021 and 2022 but has declined in 2023 and 2024, with the company maintaining profitability without any annual losses over the past five years [3]. Market Capitalization - Since its IPO, SMIC's market capitalization has increased by 19%, reaching a peak of 873.22 billion yuan on November 8, 2024, with a stock price of 109.5 yuan [5]. - As of July 15, 2024, the market capitalization was 701.895 billion yuan, reflecting a decrease of 171.325 billion yuan or 19.62% from its peak [5][6].