Nexchip Semiconductor Corporation (02249) announced its interim results, with profit attributable to owners of approximately 245 million yuan, a decrease of 26.12% year-on-year.

Nexchip Semiconductor Corporation (02249) announced its mid-year performance for 2026, with revenue of approximately 5.766 billion yuan, a year-on-year increase of 12.4%; profit attributable to shareholders was about 245 million yuan, a decrease of 26.12% compared to the same period last year; basic earnings per share were 0.13 yuan. The announcement stated that the decline in profit was primarily due to (i) intensified market competition, fluctuations in product prices, and the impact of production cycles, where the positive effects of price increases for some products had not been fully reflected in the current performance, coupled with an increase in depreciation for properties, factories, and equipment, resulting in a short-term decline in gross profit margin; (ii) an increase in financing costs during the reporting period compared to the same period last year, influenced by the financial interest subsidies received in the previous year; (iii) an increase in share-based payment expenses compared to the same period last year. In accordance with International Financial Reporting Standards, the company expects revenue for the third quarter of 2026 to be between 3.2 billion to 3.3 billion yuan; it expects the gross profit margin for the third quarter of 2026 to be approximately between 25% to 27%.