Semiconductor Manufacturing International Corp (SMIC), China’s largest chipmaker, posted net income of $514.3 million for the second quarter, sliding 25.2% from $688 million in the same period last year, but surpassing the $469.5 million average estimate in a Bloomberg survey.
It reported revenue of $1.9 billion in the quarter, rising by 3.3% from the first quarter of the year, and surging by 41.6% from the same period last year. SMIC’s gross profit margin was 39.4% in the second quarter, down from 40.7% in the second quarter and 30.1% a year earlier.
The company expected the third-quarter revenue to be flat or rise by 2% quarter-on-quarter with gross margins ranging from 38% – 40%.
In addition, Tudor Brown, the former president of Arm Ltd., has resigned from the board of Semiconductor Manufacturing International Corp, China’s top chipmaker.
Brown, a celebrated engineer who was part of Arm’s founding, is leaving SMIC after nine years on its board. He disclosed the move on his LinkedIn page. SMIC also confirmed the departure in an exchange filing.