Shanghai Fudan Microelectronics reported sharp earnings growth for the six months ended 30 June 2026, as sector recovery, stronger demand across product lines and sizeable fair-value gains outweighed higher R&D spending.
Revenue rose 21.03% year-on-year to RMB2.23 billion, led by double-digit increases in all major product families. The field-programmable gate array (FPGA) division remained the largest contributor with sales of RMB0.74 billion, followed by non-volatile memory at RMB0.62 billion, security & identification chips at RMB0.47 billion and smart-meter MCUs at RMB0.28 billion. Group gross margin held at 56.99%.
Net profit attributable to shareholders jumped 338.58% to RMB0.85 billion, buoyed by a RMB0.47 billion gain from changes in the fair value of strategic equity holdings and a RMB0.13 billion drop in inventory impairment charges versus the prior-year period. Excluding non-recurring items, underlying net profit reached RMB0.41 billion, up 125.88%.
Operating cash inflow surged 315.09% to RMB0.77 billion, driven by higher cash collections. Cash and bank balances stood at RMB1.55 billion at end-June, while the gearing ratio improved to 23.65%.
The company continued to invest heavily in technology, spending RMB0.59 billion on R&D—26.45% of revenue—focused on next-generation FPGA architectures, high-reliability memory, UHF RFID solutions and automotive-grade MCUs. Eight new invention patents and 19 integrated-circuit layout design certificates were secured during the period.
Total assets reached RMB9.95 billion, up 8.11% from year-end 2025, with shareholders’ equity rising to RMB6.98 billion. Bank borrowings declined to RMB1.25 billion, and interest expenses fell 18.46% to RMB16.23 million.
Management highlighted robust AI, memory and satellite-communication demand as key revenue drivers, while noting potential risks from rapid technology shifts, price pressure, inventory impairment and supply-chain uncertainties. No interim dividend was proposed.
The board reaffirmed its focus on expanding high-end FPGA offerings, enhancing automotive and industrial MCU portfolios and strengthening domestic supply chains to capture growth in China’s accelerating semiconductor market.