Hangzhou Silan Microelectronics (600460) Q2 2026 earnings summary

Executive summary

• Achieved revenue of ¥7.26 billion in H1 2026, up 14.62% year-over-year; net profit attributable to shareholders rose 94.84% to ¥516 million; adjusted net profit (excluding non-recurring items) was ¥271 million, up 0.67%.

• Gross margin remained stable despite cost pressures; strong growth in high-end markets such as automotive, new energy, and industrial sectors.

• Significant fair value gains from equity investments contributed ¥194 million after tax to net profit.

Financial highlights

• Operating income: ¥7.26 billion, up 14.62% year-over-year.

• Net profit attributable to shareholders: ¥516 million, up 94.84% year-over-year.

• Adjusted net profit (excluding non-recurring items): ¥271 million, up 0.67% year-over-year.

• Basic and diluted EPS: ¥0.31, up 93.75% year-over-year.

• Operating cash flow: ¥292 million, down 12.08% year-over-year.

Outlook and guidance

• Focus on expanding capacity in 12-inch and 8-inch chip production lines, especially for automotive and new energy markets.

• Continued investment in R&D for SiC/GaN power devices, MEMS sensors, and high-end analog ICs.

• Anticipates further revenue growth driven by domestic substitution and high-end market penetration.