Following the market close on July 21st, Yuanjie Semiconductor Technology Co.,Ltd. (ASX: 688498) released an announcement containing preliminary financial estimates.
The company projects its 2026 first-half revenue to reach between 9 billion and 9.5 billion yuan, representing a year-on-year increase of 339.13% to 363.53%.
It forecasts net profit attributable to shareholders to be in the range of 6 billion to 6.5 billion yuan, soaring by 1196.91% to 1304.98% compared to the same period last year.
The anticipated net profit after deducting non-recurring items is between 5 billion and 5.5 billion yuan, marking growth of 1001.87% to 1112.06%.
Key Factors Behind the Performance
The company attributes the significant performance improvement primarily to three factors.
First, a substantial increase in revenue, driven mainly by growth in its data center business.
As the contribution of the data center segment to overall revenue has increased, the company's overall gross profit margin has improved.
Second, with the significant expansion of the company's revenue scale, the proportion of period expenses has decreased accordingly.
Finally, the company indirectly participated in equity investments through a private equity fund.
A rise in the valuation of the companies invested in by this fund led to fair value changes in the fund's investments, which in turn generated certain investment income for the company, primarily classified as non-recurring gains.
Company Profile and Recent Performance
Yuanjie Semiconductor Technology Co.,Ltd. focuses on the optical chip industry, with its core business encompassing the research, development, design, production, and sales of optical chips.
Its main products are currently optical chips, primarily applied in telecommunications, data centers, and automotive LiDAR markets.
Through continuous R&D investment to build a differentiated competitive edge, the company has evolved from an optical chip supplier primarily reliant on the telecom market into a leading domestic supplier that synergistically expands in both the telecom and data communication markets.
In 2025, the company reported a net profit of 1.91 billion yuan, a staggering increase of 3212.62% year-on-year.
For the first quarter of 2026, its net profit was 1.79 billion yuan, up 1153.07% from the same period in the prior year.
Stock Performance Highlights
Since June 2025, Yuanjie Semiconductor Technology Co.,Ltd. shares have achieved a maximum gain exceeding twentyfold.
On July 21st, the stock closed at 1510 yuan per share, up 7.59% for the day, giving the company a latest market capitalization of approximately 1.88 trillion yuan.
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