Nexchip Semiconductor Corporation reported first-half 2026 revenue of RMB 5.77 billion, up 12.40% year on year, supported by resilient wafer-foundry demand across display driver (DDIC), CMOS image sensor (CIS) and power-management (PMIC) platforms.

Profit attributable to shareholders fell 26.12% to RMB 245.37 million as higher depreciation from capacity expansion and fiercer pricing pressure compressed gross margin to 21.38%, down 3.18 percentage points. Net profit margin declined to 4.3% from 6.5% a year earlier.

Operating cash flow strengthened, rising 64.10% to RMB 2.80 billion on efficient working-capital management, while capital expenditure reached RMB 3.96 billion, mainly for 12-inch line upgrades and new 28 nm and 22 nm logic platforms. Net R&D investment grew 9.31% to RMB 759.50 million, equivalent to 13.17% of revenue, as 55 nm high-dynamic-range CIS and 90 nm NIR sensors advanced toward mass production. The patent portfolio expanded to 1,648 granted patents after 277 new approvals in the period.

Product mix continued to shift: DDIC contributed 53.24% of sales (-7.37 ppt), CIS 25.34% (+4.83 ppt) and PMIC 12.82% (+0.75 ppt). Revenue from nodes of 55 nm and below increased to 14.29% of turnover; 28 nm logic samples are in customer tape-out, and 22 nm development is underway.

Total assets reached RMB 58.78 billion, with gearing stable at 47.05%. Net assets rose 10.82% to RMB 31.13 billion. Borrowings grew to RMB 21.85 billion; cash and cash equivalents more than doubled to RMB 4.68 billion, partly reflecting a RMB 1.60 billion capital injection from a non-controlling shareholder in subsidiary Wanxin Semiconductor.

Following period-end, Nexchip completed a Hong Kong H-share listing on 10 July 2026, issuing 216.17 million shares at HK$32.30 each; a partial over-allotment of 10.89 million shares was exercised on 11 August 2026.

Management guides third-quarter 2026 revenue of RMB 3.20–3.30 billion and gross margin of 25–27%, citing healthy order visibility and focus on high-end process migration.