Hefei-based chipmaker ChangXin Memory Technologies saw significant growth in the first half of the year, driven by high demand for memory products in the artificial intelligence sector.
Key facts
- •CXMT reported 150.31 billion yuan in revenue for the first half of the year.
- •Net profit reached 77.61 billion yuan, reversing a loss from the previous year.
- •DDR-series products accounted for 46.3 per cent of the company's main business revenue.
- •The company expects the current DRAM supply shortage to persist in the coming months.
- •CXMT has begun the validation process for its new LPDDR6 chip.
ChangXin Memory Technologies (CXMT), China's leading DRAM manufacturer, reported a 873.64 per cent year-on-year increase in revenue for the first half of the year. The Hefei-based company recorded 150.31 billion yuan (US$22.4 billion) in revenue for the period ending in June. This financial update follows the company's recent listing on the Shanghai Stock Exchange.
By the numbers
Financial Performance and Guidance
CXMT’s net profit attributable to shareholders reached 77.61 billion yuan, a turnaround from the 2.33 billion yuan loss reported during the same period last year. These results surpassed the company's pre-IPO guidance, which had projected revenue between 110 billion and 120 billion yuan and net profit between 50 billion and 57 billion yuan.
Market Drivers and Product Expansion
The company attributed its growth to strong demand for memory products from the artificial intelligence industry and tight global DRAM supplies. CXMT is increasing production of newer products, including DDR5, which is used in servers, workstations, and personal computers. Revenue from the DDR-series reached 69.47 billion yuan, representing 46.3 per cent of the company's main business revenue.
New Technology Development
CXMT has sent its latest LPDDR6 chip, which supports speeds up to 12,800Mbps, to key customers for validation. This move marks the first time a Chinese DRAM manufacturer has entered the commercialization phase for a new LPDDR generation alongside global industry leaders.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by SCMP Business.
