CR Micro and Silan Micro Both Double Net Profits in H1 2026
Nashnova编辑部
CR Micro and Silan posted H1 net-profit surges of 113% and 95% respectively, driven by near-full utilization and product-mix upgrades — signaling a new upcycle for China's power-semiconductor IDM makers.
How much did each company earn?
CR Micro (华润微) reported H1 revenue of RMB 6.31 billion, up 17.4% year-on-year. Net profit hit RMB 722 million, more than doubling at +113%.
Silan Micro (士兰微) posted H1 revenue of RMB 7.26 billion, up 14.6%. Net profit reached RMB 516 million, up 95%.
This means → two IDMs — firms that design and fabricate their own chips — are delivering doubled profits simultaneously after years of inventory digestion and price pressure. The sector inflection is clear.
Why does Silan's profit deserve a question mark?
Silan's headline net profit jumped 95%, but adjusted net profit grew just 0.67% — essentially flat.
The bulk of the gain came from roughly RMB 194 million in after-tax investment income: share-price moves in Anlogic and APsystems, plus a revaluation of restricted SmartSens shares.
In plain terms = the profit doubled on paper, but the extra money came from stock-portfolio gains, not from selling more chips at better margins. Core operating profitability barely moved.
Why is CR Micro's profit more solid?
CR Micro's adjusted net profit rose 51.5% to RMB 414 million — far more substantive than Silan's near-zero adjusted growth.
Management cited near-full utilization, strong order flow, and product repricing. This means → the gains are driven by running the fabs flat-out and raising prices, not by investment windfalls.
Current monthly capacity: roughly 230k 6-inch and 140k 8-inch wafers. The Chongqing 12-inch line runs at about 30k wafers/month; the Shenzhen 12-inch line is still ramping.
Is the broader market growing?
The global power-semiconductor market — chips that convert and control electrical power, found in chargers, EVs, and solar inverters — was worth about $55.7 billion in 2025. It is projected to reach $58.8 billion in 2026 and $97.5 billion by 2035, a roughly 5.8% CAGR.
China accounts for about 40% of global power-chip consumption. Its domestic market is expected to grow to roughly RMB 208 billion in 2026.
This reflects a structural demand shift: EVs, renewables, and industrial equipment are pulling power-chip demand away from traditional consumer electronics into higher-value applications.
What should investors watch in H2?
CR Micro is running near full capacity and has already repriced → if demand holds in H2, further profit release is likely.
Silan is pushing into automotive, renewable-energy, and industrial markets — higher-barrier segments — but gross margin only matched the 2025 full-year average, and cost pressures from materials, labor, and depreciation persist.
In plain terms = the key test is whether core operating profit can keep growing in H2. If both firms show rising adjusted profits, this IDM upcycle is real. If Silan keeps leaning on investment gains to dress up headline numbers, the market will discount it.
Content is for reference only, not financial advice.