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AMEC forecasts near-quadruple first-half profit as domestic chip demand soars

AMEC said January to June revenue rose 35.0% to 6.7 billion yuan, with revenue growth outpacing adjusted profit as fair value and investment gains boosted results.

Reported · Written up by our desk · China

Advanced Micro-Fabrication Equipment China, also known as AMEC, expects its first-half profit to nearly quadruple, citing strong demand for domestically made semiconductor equipment amid ongoing US sanctions, according to a filing to the Shanghai Stock Exchange.

AMEC said unaudited income between January and June was at least 2.7 billion yuan, a 282.0% year-on-year increase, with an upper end for profit growth of 311.0% that would place net profit at 2.9 billion yuan. The company reported revenue increased 35.0% from a year earlier to 6.7 billion yuan.

The profit surge was partly attributed to nearly 2 billion yuan in investment and fair value gains, including the sale of shares in fellow equipment maker Piotech earlier this year. Even excluding those gains, AMEC said adjusted profit doubled in the first half.

SCMP Economy reported that AMEC shares ended Tuesday up 2.55% in Shanghai, while a mainland semiconductor equipment index compiled by Wind and covering more than 20 listed firms rose more than 7.61%.

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