SHANGHAI, May 13, 2021 /PRNewswire/ -- Semiconductor Manufacturing International Corporation (SSE STAR MARKET: 688981; SEHK: 00981) ("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 March 31, 2021.
2021 First Quarter Highlights
Second 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):
Dr. Gao Yonggang, Chief Financial Officer of SMIC commented:
"First quarter 2021 revenue and gross margin beat guidance, revenue was $1104 million, an increase of 12.5% quarter over quarter and an increase of 22.0% year over year. Gross margin was 22.7%, sequentially up 4.7 percentage points. Second quarter revenue is expected to grow 17% to 19% sequentially, and gross margin is expected to range from 25% to 27%. Revenue for the first half of 2021 will be expected to be around $2.4 billion.
This year, the semiconductor market notes a positive development. Under normal circumstances, the Company should have maintained the rapid growth momentum from last year. But as SMIC was placed on the US entity list, the Company is restricted from procuring related US-origin items and technologies. There are still risks and uncertainties to our second half of 2021. In February, the annual forecast we gave were revenue growth target to be mid-to-high single digit percentage, and gross margin target to be in the mid-teens range. In light of the information currently available to the Company, and based on the uncertain assumption that operational continuity will not be significantly adversely affected, our annual revenue and gross margin are expected to beat original forecast. However, out of an abundance of caution, we ask for your understanding that we will not provide an exact revised range of our second half and full-year expectation for the time being. We will do our best 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:
"Our revenue for the first half of 2021 will expect to beat original forecast, first quarter revenue reached one billion U.S. dollars on a firm footing. Facing difficulties, we tackle with precision, and continue to exceed ourselves. Non-FinFET capacity will continue to be fully loaded till the end of the year, and new capacity will mainly form in the second half of this year. In the first quarter FinFET revenue grew sequentially from a trough, and new tape-out projects are steadily engaging."
To see the complete results including financial tables, please click here:
http://www.smics.com/uploads/609cfb08/2021%20Q1%20Earnings%20Release_ENG_final.pdf
Conference Call / Webcast Announcement
Date: May 14, 2021
Time: 8:30 a.m. Beijing time
Dial-in:
Teleconference call services are affected by the COVID-19, operator assisted conference calls are not available at the moment. You must preregister online in order to receive the dial-in numbers.
Online registration:
You may register for the conference call at:
http://apac.directeventreg.com/registration/event/6991907
Once preregistration has been complete, you will receive dial-in numbers, the passcode, and a unique registrant ID. To join the conference, dial the number you receive in the email, enter the passcode followed by your registrant ID, and you will join the conference instantly.
The call will be webcast live with audio at:
http://www.smics.com/en/site/company_financialSummary
or https://edge.media-server.com/mmc/p/m9wdqhq4
An archived version of the webcast, along with an electronic copy of this news release will be available on the SMIC website for a period of 12 months following the webcast.
About SMIC
Semiconductor Manufacturing International Corporation ("SMIC", SSE STAR MARKET: 688981; SEHK: 00981) and its subsidiaries constituting one of the leading foundries in the world, is Mainland China's most advanced and largest foundry, broadest in technology coverage, and most comprehensive in semiconductor manufacturing services. 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 300mm wafer fabrication facility ("fab"), a 200mm 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 occurrence of unanticipated events after the date on which such statement is made or to reflect the occurrence of unanticipated events, 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 in this release non-IFRS measures of operating results that are adjusted to exclude finance cost, depreciation and amortization, income tax benefits and expenses, the effect of employee bonus accrual, government funding, impairment loss of tangible and intangible assets and gain or loss on the disposal of machinery and equipment. 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. This earnings release includes EBITDA, EBITDA margin and non-IFRS operating expenses which consist of total operating expenses as adjusted to exclude the effect of employee bonus accrual, government funding, impairment loss of tangible and intangible assets and gain or loss on the disposal of machinery and equipment. 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
