SMIC profit more than triples on AI-driven chip demand
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A logo of Semiconductor Manufacturing International Corporation (SMIC) is seen at China International Semiconductor Expo (IC China 2020) in Shanghai, China October 14, 2020. REUTERS/Aly Song
By Che Pan and Eduardo Baptista
BEIJING, Aug 13 (Reuters) - China's largest contract chipmaker, Semiconductor Manufacturing International Corp , reported on Thursday second-quarter profit more than tripled from a year earlier, beating analyst estimates, as demand for AI-related chips remained robust.
Profit attributable to shareholders came in at $479.2 million, nearly double the average analyst estimate of $253.4 million compiled by LSEG.
Revenue rose 36% to more than $3 billion, topping the $2.8 billion analysts had forecast, LSEG data showed.
SMIC said in a stock exchange filing that AI would continue to drive robust chip demand in the second half of the year, adding that it would adjust existing capacity and accelerate the ramp-up of new production lines to help ease industry-wide supply constraints.
(Reporting by Che Pan and Eduardo Baptista; Editing by Toby Chopra)
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