NATIONAL SILICON INDUSTRY GROUP (688126) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 rose 35.22% year-over-year to RMB 1.08 billion, driven by over 90% growth in 300mm semiconductor wafer sales despite price declines.

• Net loss attributable to shareholders widened to RMB -483 million from RMB -209 million year-over-year, mainly due to higher fixed costs, increased R&D, and financial expenses.

• R&D investment surged nearly 80% year-over-year, focusing on high-specification and SOI wafer technologies.

Financial highlights

• Operating income: RMB 1.08 billion, up 35.22% year-over-year.

• Net loss attributable to shareholders: RMB -483 million, compared to RMB -209 million last year.

• Gross margin pressured by increased fixed costs and lower wafer prices.

• Basic and diluted EPS: RMB -0.146, down from RMB -0.076 year-over-year.

• Operating cash flow remained negative at RMB -166 million.

Outlook and guidance

• Continued focus on expanding 300mm wafer production and advancing SOI and high-specification wafer R&D.

• Ongoing investment in technology and capacity expected to maintain high R&D spending.