SMIC Raises Target for 2016 Sales

By Alan Patterson, EETimes, TAIPEI, Aug. 10, 2016 – 

Semiconductor Manufacturing International Corp. (SMIC), China's largest foundry, today raised its aim for sales this year on unexpectedly strong demand.

Based on its expectations for robust demand and its recent acquisition of LFoundry in Italy, the Shanghai-based foundry boosted its annual revenue growth target to the mid-to-high 20% range this year. Three months ago, SMIC forecast a 20% increase in its 2016 sales from $2.24 billion in 2015. The company earlier this year targeted annual sales growth of 20% for the next three to four years.

Sales revenue in the second quarter this year reached a record high of $690.2 million, increasing 26.3% from the same period a year ago.

"We are guiding another strong quarter of growth in the third quarter," SMIC CEO Tzu-Yin Chiu said in a press statement to announce the company's second-quarter results in 2016. "We target continued growth in the fourth quarter, contrary to seasonality, and another record year for 2016."

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