Nexchip Semiconductor (688249) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 reached RMB 2.91 billion, up 13.41% year-over-year, while net profit attributable to shareholders dropped 62.61% to RMB 50.66 million due to intensified market competition and increased depreciation.

• Operating cash flow surged 64.36% year-over-year to RMB 963.81 million, reflecting stronger cash collection from sales.

Financial highlights

• Total revenue: RMB 2.91 billion, up 13.41% year-over-year.

• Net profit attributable to shareholders: RMB 50.66 million, down 62.61% year-over-year.

• Operating cash flow: RMB 963.81 million, up 64.36% year-over-year.

• Basic and diluted EPS: RMB 0.03, down 57.14% year-over-year.

• R&D investment: RMB 359.84 million, up 6.46% year-over-year.

Outlook and guidance

• Profitability pressured by lower product prices and higher fixed asset depreciation; short-term gross margin decline expected.

• Market competition remains intense, impacting pricing and margins.