Shanghai Iluvatar CoreX Semiconductor (9903) H1 2026 earnings summary

Executive summary

• Achieved revenue of RMB945.7 million for H1 2026, up 191.6% year-over-year, with a turnaround to net profit of RMB106.3 million from a loss of RMB609.3 million in H1 2025.

• Core GPGPU product revenue reached RMB916.1 million, up 231.0% year-over-year, accounting for 96.9% of total revenue.

• Adjusted net profit (non-HKFRS) was RMB246.0 million, compared to an adjusted net loss of RMB299.8 million in H1 2025.

• Customer base expanded to over 380 clients, with deployments across internet, AI, finance, healthcare, and scientific research sectors.

Financial highlights

• Gross profit was RMB162.6 million, stable year-over-year, but gross margin declined to 17.2% from 50.1% due to product mix and increased cost of sales.

• Significant fair value gain of RMB760.2 million from investment in a Shanghai Stock Exchange-listed company contributed to profit.

• R&D costs increased 23.8% to RMB558.9 million, reflecting ongoing product development.

• Cash and cash equivalents rose 93.4% to RMB2,910.8 million as of June 30, 2026.

• Gearing ratio was 40.8% as of June 30, 2026, up from 39.8% at year-end 2025.

Outlook and guidance

• Focus remains on independent innovation, high-efficiency computing product R&D, software ecosystem development, and expansion into new industry applications.

• Plans to deepen edge computing, enhance cluster interconnection, vertical industry tracks, and invest in talent and R&D for future growth.

• Anticipates strong demand for high-performance training chips and edge computing as AI applications diversify.