Advanced Micro Fabrication Inc

On the evening of August 25, multiple listed companies on the Shanghai and Shenzhen exchanges issued announcements disclosing half-year reports and major matters. Wanhua Chemical's subsidiary, Hungary's BorsodChem, resumed production at its facilities; CICC received approval to issue corporate bonds of up to 80 billion yuan; Advanced Micro-Fabrication Equipment's advanced thin-film equipment cumulative shipments exceeded 500 reaction chambers. In terms of performance, NAURA Technology Group posted first-half net profit of 3.37 billion yuan, up 5.05 percent year on year; Wus Printed Circuit posted net profit of 2.923 billion yuan, up 73.72 percent; CGN Power posted net profit of 6.105 billion yuan, up 2.66 percent; OKE Precision Cutting Tools posted net profit of 371 million yuan, up 47,734.24 percent; Hangzhou Cable posted net profit of 393 million yuan, up 938.67 percent; Joyson Electronics posted net profit of 739 million yuan, up 4.43 percent; Yunda Holding posted net profit of 998 million yuan, up 88.82 percent; Yahua Group posted net profit of 1.216 billion yuan, up 795.48 percent; Changjiang Securities posted net profit of 3.192 billion yuan, up 83.8 percent; Suzhou Good-Ark Electronics posted net profit of 77.2942 million yuan, up 76.87 percent; Yunnan Chihong Zinc & Germanium posted net profit of 1.59 billion yuan, up 70.58 percent; Jiangxi Copper posted net profit of 8.632 billion yuan, up 106.77 percent; Shanghai Yashi posted net profit of 114 million yuan, up 460.72 percent; Beijing Easpring Material Technology posted net profit of 520 million yuan, up 67.25 percent; 37 Interactive Entertainment posted net profit of 1.766 billion yuan, up 26.14 percent; Dongfang Tower posted net profit of 976 million yuan, up 97.84 percent; Jingxing Paper posted net profit of 139 million yuan, up 152.95 percent; Huaqin Technology posted net profit of 3 billion yuan, up 58.8 percent; Lianyun Technology posted net profit of 520 million yuan, up 825.54 percent; Guosen Securities posted net profit of 5.732 billion yuan, up 6.79 percent; CSSC Offshore & Marine Engineering posted net profit of 837 million yuan, up 58.94 percent; Luwei Optoelectronics posted net profit of 145 million yuan, up 35.82 percent; Lu'an Environmental Energy posted net profit of 1.778 billion yuan, up 31.85 percent; JPT Opto-electronics posted net profit of 195 million yuan, up 105.25 percent; Tongkun Group posted net profit of 4.222 billion yuan, up 285.03 percent; China Merchants Securities posted net profit of 10.624 billion yuan, up 104.87 percent; Sichuan Changhong posted net profit of 1.646 billion yuan, up 228.62 percent; Qinghai Salt Lake Industry posted net profit of 6.169 billion yuan, up 137.88 percent; Dawn Polymer posted net profit of 237 million yuan, up 181.94 percent; Allwinner Technology posted net profit of 490 million yuan, up 204.17 percent; Hanshow Technology posted net profit of 336 million yuan, up 51.22 percent; Dinglong posted net profit of 529 million yuan, up 70.21 percent; SF Diamond posted net profit of 78.1797 million yuan, up 46.9 percent; Robotechnik posted net profit of 6.5568 million yuan, turning from loss to profit year on year; Qianjin Pharmaceutical posted net profit of 181 million yuan, up 41.59 percent; Zhucheng Technology posted net profit of 132 million yuan, up 49.35 percent; Hengfeng Paper posted net profit of 112 million yuan, up 17.95 percent; Kidswant posted net profit of 172 million yuan, up 19.9 percent; Huate Gas posted net profit of 92.8327 million yuan, up 19.16 percent; Zhejiang Longsheng posted net profit of 1.004 billion yuan, up 8.2 percent; Dameng Data posted net profit of 221 million yuan, up 7.99 percent; Innovent Biologics posted first-half total revenue of 8.618 billion yuan, up 44.8 percent. In addition, Annil plans to repurchase shares worth 40 million to 80 million yuan, and Beimo Gaoke plans to repurchase shares worth 120 million to 180 million yuan.

AMEC has released its 2026 semi-annual report, posting operating revenue of 6.691 billion yuan, up 34.89% year on year, and net profit attributable to shareholders of the listed company of 2.825 billion yuan, up 300.22% year on year. The company saw a significant increase in new shipments of high-end products targeting critical etching processes in advanced logic and memory device manufacturing, and achieved large-scale production across multiple key etching processes for advanced logic and advanced memory devices. During the period, the company sold part of its stake in Piotech, generating investment income of approximately 953 million yuan.

On the evening of August 19, several listed companies on the Shanghai and Shenzhen stock exchanges released important positive announcements. Advanced Micro-Fabrication Equipment plans to invest 3.5 billion yuan to build the second phase of its Lingang industrialization base, and disclosed first-half net profit of 2.825 billion yuan, up 300.22 percent year on year. Nanjing Securities' state-owned assets group will see its indirect shareholding rise from 28.83 percent to 39.11 percent. Sieyuan Information signed a high-performance computing power service sales contract worth 6.45 billion yuan, equivalent to 311.11 percent of its 2025 annual revenue. Hunan Yuneng's first-half net profit was 2.91 billion yuan, up 853.51 percent year on year; Kingsoft Office's first-half net profit was 2.518 billion yuan, up 236.94 percent; Hengli Petrochemical's first-half net profit was 7.206 billion yuan, up 136.25 percent, already surpassing its full-year 2025 level. In addition, Litong Electronics plans to raise no more than 5 billion yuan through a private placement for an intelligent computing center construction project, and Hunan Gold plans to adjust its major asset restructuring and will suspend trading starting August 20.

AMEC's wholly owned subsidiary AMEC Lingang plans to invest in the second phase of the AMEC Lingang industrialization base in the Lingang Special Area, with a total planned investment of 3.5 billion yuan, including 1.7 billion yuan in fixed asset investment. The project focuses on competitive products such as etching equipment, inspection and measurement equipment, and thin film deposition equipment. After reaching full production, it is expected to achieve annual sales revenue of 3 billion yuan.

Chinese stock markets extended gains to hit a one-week high. Semiconductor-related shares surged, offsetting a drop in optical module stocks. Reuters reported that South Korea's Samsung Electronics and SK Hynix are evaluating the use of Advanced Micro-Fabrication Equipment Inc. China manufacturing equipment at their Chinese plants to avoid US export restriction risks. AMEC soared 13%, and the semiconductor materials and equipment index jumped 10%, its biggest gain in two weeks, while semiconductor stocks rose 8%. Meanwhile, optical module makers tumbled on reports that the US government is drafting measures to ban imports of data center components from China. Zhongji Innolight fell 7% in Shenzhen and 5% in Hong Kong, and Eoptolink Technology dropped 5%. The Shanghai Composite Index closed 1.47% higher at 3,878.43, the CSI 300 Index rose 1.24% to 4,658.16, and the Hang Seng Index added 0.24% to 25,915.82.

Samsung Electronics and SK Hynix have been testing etching equipment made by China's Advanced Micro-Fabrication Equipment Inc., or AMEC, for about two years with an eye toward using it at their Chinese plants, people familiar with the matter revealed. The move is aimed at preparing for the risk of tighter US export controls. While the evaluation has not yet led to a decision on full-scale adoption, it represents a valuable opportunity for AMEC to gain endorsement from some of the world's leading semiconductor manufacturers. Samsung Electronics denied the report in a statement, saying it has never tested or considered AMEC equipment for its Chinese plants. SK Hynix declined to comment, and AMEC and the US Commerce Department's Bureau of Industry and Security also did not respond to requests for comment.

AMEC has disclosed its earnings forecast, expecting attributable net profit for the first half of 2026 to be between 2.7 billion and 2.9 billion yuan, an increase of 282.48% to 310.81% year-on-year. The company has developed 54 types of high-end semiconductor equipment, including 26 high-energy and low-energy plasma etching machines, as well as 24 types of various thin-film equipment, chemical mechanical polishing equipment, and metrology and inspection equipment. The processing precision of its etching and thin-film equipment has reached the atomic level. As of the end of June 2026, the company has cumulatively deployed over 8,800 reaction chambers in more than 220 production lines both domestically and internationally, with the pace of new product development accelerating significantly. In the first half of 2026, the company's research and development expenditure was approximately 2.042 billion yuan, an increase of 550 million yuan year-on-year, representing a rise of about 36.89%.

Multiple listed companies on the Shanghai and Shenzhen exchanges disclosed positive announcements on the evening of August 3. Sunshine Co.'s controlled subsidiary plans to invest up to 980 million yuan in building the Sunshine Intelligent Computing Center project. Xingyun Technology has long-term framework orders for computing power and storage on hand exceeding 15.4 billion yuan. Hainan Expressway's wholly-owned subsidiary plans to acquire a 100 percent stake in Jiaokong Technology for 36.1038 million yuan. Rongbai Technology's Guizhou base, with an annual production capacity of 340,000 tons of lithium iron phosphate, is expected to be fully operational by the end of September. Shengda Resources' controlled subsidiary's Caiyuanzi copper-gold mine has entered the formal production stage. Laier Technology plans to raise no more than 1.17 billion yuan through a private placement for new energy carbon-coated foil and other projects. China Micro Corporation expects its first-half net profit to grow by 282.48 percent to 310.81 percent year-on-year. WuXi AppTec's first-half net profit rose 29.43 percent year-on-year, and it plans to distribute 5.1 yuan per 10 shares. Shandong Hi-Speed plans to repurchase shares worth 100 million to 200 million yuan for cancellation. Wuliangye has already spent 1.002 billion yuan on share repurchases. Daqin Railway plans to repurchase shares worth 400 million to 500 million yuan for cancellation. Sinoma International signed a 476 million US dollar equipment supply contract with a company under the Dangote Group. Gaole Co.'s wholly-owned subsidiary signed a 3.195 billion yuan computing power service contract. Nanfang Precision plans to bid for land and invest about 1.024 billion yuan in building a precision components project. Sungrow Power plans to repurchase shares worth 500 million to 1 billion yuan. Shida Shenghua plans to invest a total of 2.805 billion yuan in building three projects for liquid lithium salt, electrolyte, and others.

AMEC has disclosed an earnings forecast, estimating net profit attributable to owners of the parent for the first half of 2026 at 2.7 billion to 2.9 billion yuan, a year-on-year increase of 282.48% to 310.8%. Sunshine Co.'s holding subsidiary Sunshine Digital plans to invest no more than 980 million yuan to build the Sunshine Intelligent Computing Centre project in Xingning, Meizhou, Guangdong Province. Goldlok Toys' wholly-owned subsidiary Zhichen Technology has signed a 3.195 billion yuan computing power service contract with a customer for a service term of five years. Both Dali Technology and Renzi Xing have received approval from the Shenzhen Stock Exchange to remove their risk warnings, and will resume trading on August 5 with changed stock abbreviations. Daqin Railway plans to repurchase and cancel 400 million to 500 million yuan worth of shares at no more than 7.10 yuan per share. Bethel Automotive and Shenglan Technology have also disclosed repurchase plans. Soochow Securities' controlling shareholder, Guofa Group, plans to increase its shareholding by 100 million to 200 million yuan.

On the evening of August 3, several listed companies disclosed important announcements. Daqin Railway plans to repurchase shares at a price not exceeding 7.10 yuan per share, spending between 400 million and 500 million yuan to buy back and cancel all repurchased shares, thereby reducing registered capital. The controlling shareholder of Soochow Securities, Guofa Group, plans to increase its holdings of company shares by 100 million to 200 million yuan within six months. Both Bethel Automotive and Shenglan Technology plan to repurchase shares worth 100 million to 200 million yuan, to be used for employee stock ownership plans or equity incentives, and for equity incentives or convertible bond conversions, respectively. WuXi AppTec disclosed its half-year report, achieving operating revenue of 28.897 billion yuan in the first half of 2026, a year-on-year increase of 38.93%, with net profit attributable to shareholders of the listed company reaching 11.08 billion yuan, up 29.43% year-on-year, and plans to distribute a cash dividend of 5.10 yuan for every 10 shares. Advanced Micro-Fabrication Equipment expects a net profit attributable to the parent company of between 2.7 billion and 2.9 billion yuan for the first half of the year, a year-on-year increase of 282% to 310%, mainly due to revenue growth and a total of approximately 1.982 billion yuan in fair value changes and investment income from external equity investments. A subsidiary of Shida Shenghua's wholly-owned unit plans to invest in the construction of a 230,000-ton-per-year liquid lithium salt project, with an estimated total investment of 1.9 billion yuan and a reported investment of 1.7973723 billion yuan; another wholly-owned subsidiary plans to invest in a 200,000-ton-per-year electrolyte project, with an estimated total investment of 721.5 million yuan; additionally, the wholly-owned subsidiary Dongying Company plans to invest in a 12,000-ton-per-year additive project, with an estimated reported total investment of 285.87 million yuan. The wholly-owned subsidiary of Goldlok Holdings, Zhichen Technology, signed a computing power service contract worth 3.195 billion yuan, with a service term of five years, expected to add approximately 200 million yuan in revenue for the company in 2026. Both Dali Technology and Renzi Xing received approval from the exchange to remove their risk warnings, will suspend trading for one day on August 4, and resume trading on August 5 with changed stock abbreviations.

The revised Regulations on the Protection of Layout-Designs of Integrated Circuits have been officially published and will take effect on October 15, 2026. This marks the first comprehensive revision since the regulations were implemented in 2001. Industry insiders believe the revised regulations serve as a key institutional cornerstone for China's integrated circuit industry to transition from scale expansion to high-quality development. They are expected to help establish a positive cycle of innovation, protection, revenue, and re-innovation, and assist China's integrated circuit industry in gradually shifting from a follower to a rule maker and original leader in global competition. In other news, Galactic Energy announced it will soon carry out the first commercial launch mission of its Ceres-1 rocket at an opportune time. The medium-to-large reusable liquid-propellant launch vehicle, independently developed by the company, is about to undergo its maiden flight verification, with a design allowing up to 25 reuses. An international standard led by China, titled Blockchain and Distributed Ledger Technologies – Technical Framework and Functional Requirements for Blockchain as a Service, has recently been approved as a project by the International Organization for Standardization. Countries including Germany, the United Kingdom, and Japan will send representatives to participate in its development. On the corporate front, WuXi AppTec has comprehensively raised its 2026 performance guidance, with overall revenue expected to increase from a range of 51.3 to 53 billion yuan to a range of 58.5 to 60.5 billion yuan. Advanced Micro-Fabrication Equipment expects its net profit for the first half of the year to grow by 282 to 311 percent year-on-year.

On August 19, multiple A-share companies disclosed their first-half 2026 results, with Hunan Yuneng's net profit attributable to shareholders rising 853.51% year on year. Hunan Yuneng posted first-half revenue of 34.877 billion yuan, up 142.92%, and net profit attributable to shareholders of 2.91 billion yuan. Sales of phosphate cathode materials reached 667,200 tonnes, up 38.77%. Advanced Micro-Fabrication Equipment reported first-half revenue of 6.691 billion yuan, up 34.89%, and net profit attributable to shareholders of 2.825 billion yuan, up 300.22%. It also plans to invest 3.5 billion yuan to build the second phase of its Lingang industrialization base. Bank of Ningbo posted first-half revenue of 41.45 billion yuan, up 11.54%, and net profit attributable to shareholders of 16.562 billion yuan, up 12.12%. It plans to pay a cash dividend of 4 yuan per 10 shares. Chint Electrics reported first-half revenue of 38.064 billion yuan, up 28.46%, and net profit attributable to shareholders of 3.13 billion yuan, up 22.23%. It plans to pay a cash dividend of 0.50 yuan per 10 shares. In addition, Sieyuan Information signed two computing power service contracts with Company W, with a total tax-inclusive value of 6.45 billion yuan, equivalent to 311.11% of its audited 2025 revenue.

Pudong Jinqiao announced that its subsidiary Jinqiao Capital has signed a partnership agreement with Advanced Micro-Fabrication Equipment Inc. Shanghai and other partners. Jinqiao Capital, as a limited partner, will contribute 100 million yuan to participate in the establishment of Shanghai Zhiwei Lingfeng Venture Capital Partnership. The fund will focus on the semiconductor and pan-semiconductor sectors, while also covering high-quality investment targets in strategic emerging fields. This investment marks Jinqiao Capital's first project participating in a regional leading corporate venture capital industrial fund.

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.

After the recent sharp pullback in China's A-share tech sector, analysts point out that the underlying logic supporting the tech bull market remains intact, and the correction has instead provided more cost-effective positioning opportunities. They recommend focusing on dip-buying chances in optical communications, semiconductor equipment, and commercial aerospace. In optical communications, the computing power race driven by generative AI continues, with the peak shipment cycle for 800G products and the upgrade cycle to 1.6T approaching. Chinese manufacturers hold solid global competitive advantages. Eoptolink Technology expects first-half net profit attributable to shareholders of 7 billion to 8 billion yuan, up 77.56% to 102.93% year-on-year. Suzhou TFC Optical Communication expects first-half net profit attributable to shareholders of 1.124 billion to 1.304 billion yuan, up 25% to 45% year-on-year. Industrial Securities analyst Zhang Lin remains bullish on the sector and suggests paying attention to Zhongji Innolight, Eoptolink Technology, Suzhou TFC Optical Communication, and Sinopower Electronics. The semiconductor equipment industry maintains high prosperity. SEMI forecasts that global total sales of semiconductor manufacturing equipment will reach a record high of 165.9 billion US dollars in 2026, up 23.2% year-on-year. Ping An Securities analyst Yang Zhong recommends Naura Technology, Advanced Micro-Fabrication Equipment, Tuojing Technology, Hwatsing Technology, Skyverse, and Leadmicro. In the commercial aerospace sector, after valuation compression, policies continue to advance, rocket recovery technology matures, and launch costs decline. Zheshang Securities analyst Peng Lei believes China's commercial aerospace is poised to enter a rapid growth phase, with 2026 potentially becoming a dense year for recovery verification. Shanghai Hanxun, China Aerospace Times Electronics, ST Zhenlei, Chengchang Technology, Maxwell Technologies, and Sunway Communication are widely favored.

The pace of M&A and restructuring project implementation on the STAR Market continues to accelerate, with the core efficiency of the capital market in serving the transformation and upgrading of hard-tech enterprises and industrial integration being continuously released. Since the release of the 'Eight STAR Market Measures', STAR-listed companies have disclosed over 220 equity acquisition transactions cumulatively, including 59 major asset restructurings. In 2026, 53 new M&A transactions and 7 major asset restructurings have been disclosed. Recently, Primarius Technologies' acquisition of RelChip and Hua Hong Grace's acquisition of Huali Microelectronics have successively obtained registration approvals from the China Securities Regulatory Commission. Willsemi's acquisition of Shunlei Technology has been approved by the Shanghai Stock Exchange's restructuring committee. Advanced Micro-Fabrication Equipment's acquisition of Hangzhou Zhonggui has become the first case on the STAR Market to apply the simplified review procedure for M&A and restructuring. A series of differentiated and simplified review policies have been implemented one after another, including innovative arrangements such as acquisitions of unprofitable assets, differentiated pricing, and market-based valuation methods, significantly enhancing the efficiency and feasibility of transaction implementation.

AMEC announced that it has completed the issuance of 5.1568 million new shares as part of its share and cash acquisition and related fundraising, with an issue price of 290.88 yuan per share. The total funds raised amounted to approximately 1.5 billion yuan, and after deducting issuance expenses, the net proceeds were about 1.49 billion yuan. The new shares were registered on July 2, 2026, and the company's share distribution will continue to meet listing requirements after the listing.