SMIC Reports 2019 Annual Results
SHANGHAI, March 31, 2020 /PRNewswire/ -- Semiconductor Manufacturing International Corporation (SEHK: 981; OTCQX: SMICY) ("SMIC", the "Company" or "our"), one of the leading semiconductor foundries in the world announced its consolidated results of operations for the year ended December 31, 2019.
- Revenue was US$3,115.7 million in 2019, compared to US$3,360.0 million in 2018. Excluding the contribution from the Avezzano 200mm fab in 2019 and 2018 and the recognition of technology licensing revenue in 2018, the revenue increased by 1.4% to US$3,014.0 million in 2019 from US$2,973.1 million in 2018.
- Gross profit was US$642.5 million in 2019, compared to US$746.7 million in 2018. Gross margin was 20.6% in 2019, compared to 22.2% in 2018. Excluding the contribution from the Avezzano 200mm fab in 2019 and 2018 and the recognition of technology licensing revenue in 2018, gross margin increased to 21.5% in 2019 from 19.1% in 2018.
- Net cash generated from operating activities was a record of US$1,019.1 million in 2019, compared to US$799.4 million in 2018, representing an increase of 27.5%.
- Revenue from China-region customers grew to 59.5% of total revenue in 2019, compared to 57.0% of total revenue excluding technology licensing in 2018.
- The net debt to equity ratio remained low at –6.0% as of December 31, 2019.
The complete results announcement can be found at
Semiconductor Manufacturing International Corporation ("SMIC" SEHK: 981; OTCQX: SMICY) and its subsidiaries collectively constitute one of the leading foundries in the world, is Mainland China's most advanced and largest foundry, broadest in technology coverage, and most comprehensive in semiconductor manufacturing services. SMIC Group provides integrated circuit (IC) foundry and technology services on process nodes from 0.35 micron to 14 nanometer. Headquartered in Shanghai, China, SMIC Group has an international manufacturing and service base. In China, SMIC has a 300mm wafer fabrication facility (fab) , a 200mm fab and a majority-owned joint-venture 300mm fab for advanced nodes (under construction) in Shanghai; a 300mm fab and a majority-owned 300mm fab for advanced nodes in Beijing; 200mm fabs in Tianjin and Shenzhen; and a majority-owned joint-venture 300mm bumping facility in Jiangyin. SMIC Group also has marketing and customer service offices in the U.S., Europe, Japan, and Taiwan China, and a representative office in Hong Kong China.
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This press release may contain, in addition to historical information, forward-looking statements. These forward-looking statements are based on SMIC's current assumptions, expectations, beliefs, plans, objectives, and projections about future events or performance. SMIC uses words like "believe", "anticipate", "intend", "estimate", "expect", "project", "target", "going forward", "continue", "ought to", "may", "seek", "should", "plan", "could", "vision", "goals", "aim", "aspire", "objective", "schedules", "outlook" and similar expressions to identify forward looking statements, although not all forward-looking statements contain these words. These forward-looking statements are necessary estimates reflecting judgment of SMIC's senior management and involve significant risks, both known and unknown, uncertainties and other factors that may cause SMIC's actual performance, financial condition or results of operations to be materially different from those suggested by the forward-looking statements including, among others, risks associated with cyclicality and market conditions in the semiconductor industry, intense competition in the semiconductor industry, SMIC's reliance on a small number of customers, timely wafer acceptance by SMIC's customers, timely introduction of new technologies, SMIC's ability to ramp new products into volume, supply and demand for semiconductor foundry services, industry overcapacity, shortages in equipment, components and raw materials, availability of manufacturing capacity, financial stability in end markets, orders or judgments from pending litigation, intensive intellectual property litigation in the semiconductor industry, general economic conditions and fluctuations in currency exchange rates.
Except as required by law, SMIC undertakes no obligation and does not intend to update any forward-looking statement, whether as a result of new information, future events or otherwise.
About Non-International Financial Reporting Standards ("non-IFRS") Financial Measures
This press release includes EBITDA, which is a non-IFRS financial measure. Such non-IFRS financial measure is not calculated or presented in accordance with, and are not alternatives or substitutes for financial measures prepared in accordance with IFRS, and should be read only in conjunction with the Group's financial measures prepared in accordance with IFRS. The Group's non-IFRS financial measures may be different from similarly-titled non-IFRS financial measures used by other companies. The presentation of non-IFRS financial measure is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with IFRS. SMIC believes that use of these non-IFRS financial measures facilitates investors' and management's comparisons to SMIC's historical performance. The Group's management regularly uses these non-IFRS financial measures to understand, manage and evaluate the Group's business and make financial and operational decisions.