TongFu Microelectronics Co Ltd

Domestic DRAM leader CXMT debuted on the STAR Market, with eight semiconductor supply chain companies that participated in its strategic placement posting combined paper gains of over 5.8 billion yuan on the first day of trading. The eight companies are Advanced Micro-Fabrication Equipment, Montage Technology, Anji Microelectronics, Tongfu Microelectronics, Xi'an Eswin Material Technologies, Tuojing Technology, E-Town Semiconductor, and National Silicon Industry Group. Each was allocated approximately 18.2448 million shares at a cost of around 158 million yuan, with an 18-month lock-up period. Based on the first-day closing price of 49 yuan per share, each company's holding was worth about 894 million yuan, yielding a paper profit of roughly 736 million yuan per participant. The strategic placement spans the full industry chain, from upstream materials such as silicon wafers and polishing fluids, to core equipment like etching and thin-film deposition, and on to memory interface chips and packaging and testing. This reflects CXMT's strategic intent to build a stable supply chain ecosystem around DRAM manufacturing.

On the afternoon of July 24, A-share computing power chip concept stocks rebounded in volatile trading. Meishi Technology hit its daily limit up in a straight line, while PNC Process Systems and Tongfu Microelectronics also sealed their boards. ASR Microelectronics rose over 10%. In terms of news, during the 2026 World Artificial Intelligence Conference, the first domestic TPU thousand-card intelligent computing cluster in East China was officially inaugurated in Hangzhou. Jointly built by Hangzhou Telecom, ZTE, and Zhonghao Xinying, this cluster is the first large-scale domestic TPU cluster deployment project within the China Telecom system, marking the entry of domestic TPUs into the carrier-grade scale deployment stage. A research note from Guolian Minsheng Securities pointed out that the shipment share of domestic AI chips has exceeded 40%, with product matrices from manufacturers such as Huawei Ascend and Cambricon continuing to improve, while cloud vendors are simultaneously accelerating their self-developed ASIC layouts. A research report from China Merchants Securities showed that first-quarter 2026 revenues for Hygon Information Technology, Cambricon, Moore Threads, Muxi, and VeriSilicon grew by 68%, 160%, 155%, 75%, and 114% year-on-year, respectively. Moore Threads disclosed a major commercial contract worth 660 million yuan, and as of the end of April, VeriSilicon's new order scale reached 8.2 billion yuan. Sinolink Securities believes that industry fundamentals are sound, and in the third quarter, Nvidia Rubin, AMD MI450, and others will ship in large volumes, with leading companies in the global AI industry chain likely to continue exceeding performance expectations.

The Shenzhen electronics sector's first-half 2026 earnings previews are full of highlights, with 56 companies projecting median attributable net profit growth exceeding 50%, and 37 of them exceeding 100%. The semiconductor industry performed especially well, with 15 companies projecting median attributable net profit growth over 50%, and 13 over 100%. TCL Technology expects attributable net profit of 3.7 billion to 3.92 billion yuan, up 96% to 108% year-on-year, with subsidiary TCL CSOT net profit exceeding 3.8 billion yuan. Tongfu Microelectronics expects attributable net profit of 1.6 billion to 1.8 billion yuan, up 288.26% to 336.80%, benefiting from AI computing power buildout and accelerated localization. Wus Printed Circuit expects attributable net profit of 2.83 billion to 3 billion yuan, up 68.17% to 78.28%, with its Thailand subsidiary turning profitable in the second quarter on a single-quarter basis. Changchuan Technology expects attributable net profit of 900 million to 1 billion yuan, up 139.38% to 167.38%, with sales of product lines such as digital testers growing significantly. Konfoong Materials International expects attributable net profit of 480 million to 560 million yuan, up 89.99% to 121.65%, with revenue from semiconductor precision components continuing to grow. Dapu Microelectronics expects operating revenue to increase by 474.73% to 541.56% year-on-year, with attributable net profit of 1.2 billion to 1.35 billion yuan, swinging from a loss to a substantial profit, and its 122-terabyte capacity QLC SSD has achieved commercial deployment.

On the morning of July 22, the semiconductor sector fluctuated higher, and Tongfu Microelectronics, a semiconductor giant with a market value exceeding 100 billion yuan, hit its daily limit up. Torrence surged by the 20 percent daily limit again, while Shengke Communications and Zhenbao Technology led the gains, and Dawei Technology also hit its daily limit up. In terms of news, a report from the global semiconductor industry association projects that global semiconductor equipment sales will grow 23.2 percent to 165.9 billion US dollars in 2026, and will reach a record high of 229.5 billion US dollars in 2028.

Several co-packaged optics companies have reported sharp first-half earnings growth. DSBJ expects net profit of 2.9 billion to 3 billion yuan for the first half of 2026, up 282.58 percent to 295.78 percent year on year. Its traditional businesses in consumer electronics and auto parts remain solid, the integration of its optical module business is showing results, and data center related investments are gradually generating returns. Yangtze Optical Fibre and Cable expects net profit of 2.4 billion to 3 billion yuan, up 711 percent to 914 percent, driven by demand for optical fibre and cable from computing power data center construction. Accelink Technologies expects net profit of 559 million to 615 million yuan, up 50 percent to 65.15 percent, as the AI computing power investment wave drives rapid growth in demand for datacom optical modules. Tongfu Microelectronics has entered the supply chain through advanced CPO packaging technology and expects net profit of 1.6 billion to 1.8 billion yuan, up 288.26 percent to 336.80 percent, with strong growth in the semiconductor industry and rising revenue from mid-to-high-end products boosting performance. ZTT expects net profit of 2.352 billion to 2.508 billion yuan, up 50 percent to 60 percent, as the accelerated rollout of AI computing power and new digital infrastructure improves the profitability of optical communication products. Earlier, Hengtong Optic-Electric, SDGI, and Yongding also disclosed positive profit forecasts. Brokerages believe the AI computing power boom is driving the optical communication industry into a new growth cycle. CICC expects the global optical module market to achieve a compound annual growth rate of 28 percent from 2024 to 2027, with 800G and 1.6T optical modules ramping up rapidly in 2026, bringing both volume and price increases. However, attention should be paid to uncertainties such as fluctuations in downstream capital expenditure and technology iteration.