SHANGHAI, Aug. 5, 2021 /PRNewswire/ -- Semiconductor
Manufacturing International Corporation (SEHK: 00981; SSE STAR
MARKET: 688981) ("SMIC", the "Company" or "we"), one of the leading
semiconductor foundries in the world, today announced its
consolidated results of operations for the three months ended
June 30, 2021.
2021 Second Quarter
Highlights
- Revenue was $1,344.1 million in
2Q21, an increase of 21.8% QoQ from $1,103.6
million in 1Q21, and 43.2% YoY from $938.5 million in 2Q20.
- Gross profit was $405.0 million
in 2Q21, an increase of 61.9% QoQ from $250.1 million in 1Q21, and 62.9% YoY from
$248.6 million in 2Q20.
- Gross margin was 30.1% in 2Q21, compared to 22.7% in 1Q21 and
26.5% in 2Q20.
Third
Quarter 2021 Guidance
The following statements are forward looking statements based on
current expectations and involved risks and uncertainties,
some of which are set forth under "Forward-Looking Statements"
below. The Company expects(in according with IFRS):
- Revenue to increase by 2% to 4% QoQ.
- Gross margin to range from 32% to 34%.
Dr. Gao Yonggang, Chief Financial Officer of SMIC commented:
"The Company's key financial metrics were better than expected
in the second quarter. Revenue in the second quarter was
$1,344 million, an increase of 21.8%
quarter over quarter and an increase of 43.2% year over year. Gross
margin was 30.1%, up 7.4 percentage points quarter over quarter,
and up 3.6 percentage points year over year.
Revenue in the third quarter is expected to grow 2% to 4%
sequentially, and gross margin is expected to range from 32% to
34%. Based on the first-half results and the second-half outlook,
and under the uncertain assumption of a relatively stable external
environment, we now raise our annual revenue growth target and
gross margin target to be around 30% respectively. The adverse
impact of advanced technology to the company's overall gross margin
is expected to decrease to around 5 percentage points, due to
depreciation and amortization allocated to more output.
The company still faces impact brought by the Entity List, and
there are still uncertainties with our expectations in indicators.
We will do our best to solve the problems, to ensure operation
continuity and improve performance, for a better return to our
shareholders."
Dr. Haijun Zhao and Dr.
Liang Mong Song, Co-CEOs of SMIC
commented:
"Since being placed on the Entity List last year, SMIC has been
proceeding forward through difficult circumstances, and the entire
company has been working hard. In terms of operation continuity, we
are actively working with our suppliers to ensure that our
commitments to customers are met, and the risks of uncertainty of
mature technology is further reduced. In terms of capacity
expansion, its progress is rollout as planned. However,
uncontrollable factors such as license approvals, supply chain
tightness, and logistics impacted by the epidemic have also
inevitably affected the equipment arrival times. The company will
make every effort to optimize the internal procurement process and
speed up the efficiency of capacity installation, in order to
shorten the procurement cycle as much as possible and reach
production as soon as possible.
We understand that people have high expectations for SMIC, but
there is no shortcut or leaping forward in the semiconductor
manufacturing industry. We will take one step at a time, grasp our
own advantages in specific market segments, improve our core
competitiveness and enhance customer satisfaction."
To see the complete results including financial tables, please
click here: http://www.smics.com/uploads/610ba2e4/2021%20Q2%20Earnings%20Release_ENG%20final.pdf
Conference Call / Webcast Announcement
Date: Friday, August 6, 2021
Time: 8:30 A.M. (China Standard
Time)
WEBCAST
The call will be webcast live at:
http://www.smics.com/en/site/company_financialSummary
or https://edge.media-server.com/mmc/p/s68yswyb
CONFERENCE CALL
Please register in advance for the conference call at:
http://apac.directeventreg.com/registration/event/3785105
REPLAY
Recording will be available approximately 1 hour after the event
and it will be archived for 12 months.
http://www.smics.com/en/site/company_financialSummary
About SMIC
Semiconductor Manufacturing International Corporation ("SMIC",
SEHK: 00981; SSE STAR MARKET: 688981) and its subsidiaries
constituting one of the leading foundries in the world, is
the most advanced and the largest
foundry with the broadest technology coverage and
the most comprehensive semiconductor manufacturing services in
Chinese Mainland. SMIC Group provides integrated circuit
("IC") foundry and technology services on process nodes from 0.35
micron to 14 nanometer. Headquartered in Shanghai, China, SMIC Group has an
international manufacturing and service base. In China, SMIC has a 200mm wafer fabrication
facility ("fab") and an effectively controlled joint-venture 300mm
fab for advanced nodes in Shanghai; a 300mm fab and a majority-owned
300mm fab in Beijing; 200mm fabs
in Tianjin and Shenzhen. SMIC Group also has marketing and
customer service offices in the U.S., Europe, Japan, and Taiwan China, and a representative
office in Hong Kong China.
For more information, please visit www.smics.com.
Forward-Looking Statements
This release contains, in addition to historical information,
forward-looking statements. These forward-looking
statements, including statements under "Quarterly Guidance",
"Capex Summary" and the statements contained in the quotes of our
Co-Chief Executive Officers and Chief Financial Officer
are based on SMIC's current assumptions, expectations, beliefs,
plans, objectives, and projections about future events or
performance. SMIC uses words like "believe", "anticipate",
"intend", "estimate", "expect", "project", "target", "going
forward", "continue", "ought to", "may", "seek", "should", "plan",
"could", "vision", "goals", "aim", "aspire", "objective",
"schedules", "outlook" and similar expressions to identify forward
looking statements, although not all forward-looking statements
contain these words. These forward-looking statements are necessary
estimates reflecting judgment of SMIC's senior management and
involve significant risks, both known and unknown, uncertainties
and other factors that may cause SMIC's actual performance,
financial condition or results of operations to be materially
different from those suggested by the forward-looking statements
including, among others, risks associated with cyclicality and
market conditions in the semiconductor industry, intense
competition in the semiconductor industry, SMIC's reliance on
a small number of customers, timely wafer acceptance by SMIC's
customers, timely introduction of new technologies, SMIC's ability
to ramp new products into volume, supply and demand for
semiconductor foundry services, industry overcapacity, shortages in
equipment, components, raw materials and software, availability of
manufacturing capacity, financial stability in end markets, orders
or judgments from pending litigation, intensive intellectual
property litigation in the semiconductor industry, general economic
conditions and fluctuations in currency exchange rates.
In addition to the information contained in this release, you
should also consider the information contained in our other filings
with The Stock Exchange of Hong Kong Limited ("SEHK") and Shanghai
Stock Exchange ("SSE") from time to time. Other unknown or
unpredictable factors also could have material adverse effects on
our future results, performance or achievements. In light of these
risks, uncertainties, assumptions and factors, the forward-looking
events discussed in this release may not occur. You are cautioned
not to place undue reliance on these forward-looking statements,
which speak only as of the date stated or, if no date is stated, as
of the date of this release. Except as required by
applicable laws, SMIC undertakes no obligation and does
not intend to update any forward-looking statement to reflect
events or circumstances after the date on which such statement is
made, or to reflect the possible or actual occurrence of
unanticipated events after the date on which such statement is
made, whether as a result of new information, future events or
otherwise.
About Non-International Financial Reporting
Standards ("non-IFRS") Financial Measures
To supplement SMIC's consolidated financial results presented in
accordance with IFRS, SMIC uses the presentation of non-IFRS
financial measures, including EBITDA, EBITDA margin and non-IFRS
operating expenses in this release. The presentation of non-IFRS
financial measures is not intended to be considered in isolation or
as a substitute for the financial information prepared and
presented in accordance with IFRS. These non-IFRS financial
measures are not calculated or presented in accordance with, and
are not alternatives or substitutes for financial measures prepared
in accordance with IFRS, and should be read only in conjunction
with the Group's financial measures prepared in accordance with
IFRS. The Group's non-IFRS financial measures may be different from
similarly-titled non-IFRS financial measures used by other
companies.
SMIC believes that use of these non-IFRS financial measures
facilitates investors' and management's comparisons to SMIC's
historical performance. The Group's management regularly uses these
non-IFRS financial measures to understand, manage and evaluate the
Group's business and make financial and operational decisions.
The accompanying table has more information and reconciliations
of each non-IFRS financial measure to its most directly comparable
IFRS financial measure.
Contact:
Investor Relations
+86-21-2081-2800
ir@smics.com
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SOURCE Semiconductor Manufacturing International Corporation
