South Korean media: SMIC's net profit surged by 162% in the first quarter! On May 27, South Korean media Chosun Ilbo published an article stating that data showed that despite the United States imposing strict semiconductor technology sanctions on China, SMIC, China's largest semiconductor foundry company, still saw significant improvement in its performance this year compared to last year. Analysts believe that due to US semiconductor sanctions and tariff barriers, there has been a substantial increase in domestic semiconductor production orders, contributing to the performance improvement. SMIC recently announced that its net profit for the first quarter was $188 million, up 161.9% year-on-year. Since the overall net profit fell by about 45% compared to 2023 last year, this situation has significantly improved. Sales revenue increased by 28.4% year-on-year to $2.2 billion during the same period. Vice President and Co-CEO of SMIC, Haijun Zhao, stated when announcing the results, "Due to changes in factory productivity leading to a decrease in average sales prices, profits did not meet the initial performance expectations." He then said, "Although there has been a temporary increase in orders from the United States due to tariff increases, it has had minimal impact on the overall performance of the company." He added, "There is great uncertainty regarding the second-quarter performance outlook, with expected sales declining by 4% to 6%." Zhao continued, "We carefully analyzed the impact of the US tariff policy, conducted in-depth discussions with both domestic and overseas customers, and maintained close communication with the government. The result shows that the direct impact caused by tariffs is less than 1%." Original article: https://www.toutiao.com/article/1833279810118659/ Disclaimer: This article solely represents the views of the author.