2007'02.04.Sun
SMIC Reports 2006 Second Quarter Results
July 28, 2006
* All currency figures stated in this report are in US
Dollars unless
stated otherwise.
* The financial statement amounts in this report are
determined in
accordance with US GAAP.
Overview:
-- Sales increased to $361.4 million in 2Q06, up 2.9%
from 1Q06 and up
29.3% from 2Q05.
-- Gross margins of 13.6% in 2Q06, up from 12.4% in
1Q06.
-- Net income of $2.2 million in 2Q06, compared to a
net loss of $8.7
million from 1Q06 and a net loss of $40.4 million in
2Q05.
SHANGHAI, China, July 28 /Xinhua-PRNewswire/ --
Semiconductor Manufacturing International Corporation
(NYSE: SMI; SEHK: 981) ("SMIC" or the
"Company"), one of the leading semiconductor
foundries in the world, today announced its consolidated
results of operations for the three months ended June 30,
2006. Sales increased 2.9% in the second quarter of 2006
to $361.4 million from $351.1 million in the prior quarter.
The Company reported an increase in capacity to 167,251
8-inch equivalent wafers per month and a utilization rate
of 93.5% in the second quarter of 2006. Gross margins were
13.6% in the second quarter of 2006 compared to 12.4% in the
first quarter of 2006. Net income was $2.2 million in the
second quarter of 2006, compared to a net loss of $8.7
million in the first quarter of 2006. The Company
recognized an income tax benefit of $18.9 million in the
second quarter as a result of strategic tax planning based
on US GAAP FAS 109 (Accounting for Income Taxes).
"We continue to improve on our manufacturing core
competency as we saw an increase in our revenues from 0.13
micron and below technologies contributing 47.5% of total
revenues in the second quarter," said Dr. Richard
Chang, Chief Executive Officer of SMIC. "Revenues
generated from 0.13 micron logic products as a percentage
of our logic revenues significantly increased to 22.5% from
13.3% in the first quarter. We expect this trend to
continue as more of our customers migrate to our 0.13
micron and 90 nanometer logic processes.
In the second quarter, we successfully qualified and
commenced commercial production of our first 90nm logic
product at our 300mm facility in Beijing. Also, we have
successfully qualified Elpida's 512M-bit DDR2 SDRAM using a
90nm manufacturing process also at our 300mm facility in
Beijing.
We have delivered the first engineering samples and are
pleased to announce that Saifun's 90nm NROM Flash is
functional. This marks an important achievement towards
commencing production of this product in the fourth quarter
of 2006.
We are cautiously optimistic on our outlook for the
second half of 2006 as some customers have pushed out wafer
orders due to an ongoing inventory correction. However, the
postponement of these orders is offset by the growing
strength in the China market as we see the emergence of
Mainland China customers and overseas customers partnering
with SMIC to help gain market share in China. We are
pleased with the development of our Mainland China
customers and expect that the percentage of revenues from
these customers will continue to increase. In addition, we
are observing a promising trend of global semiconductor
companies choosing to work with SMIC to take advantage of
our proximity to their China end-market customer.
As we continue to execute on our business plans, we are
carefully laying down a solid foundation for future growth
and development in the foundry industry and will expand our
business in a financially disciplined manner."
Conference Call / Webcast Announcement
Date: July 28, 2006
Time: 8:00 a.m. Shanghai time
Dial-in numbers and pass code: U.S. 1-617-597-5342 or
HK 852-3002-1672
(Pass code: SMIC).
A live webcast of the 2006 second quarter announcement
will be available at http://www.smics.com under the
"Investor Relations" section. An archived
version of the webcast, along with a soft copy of this news
release will be available on the SMIC website for a period
of 12 months following the webcast.
About SMIC
SMIC (NYSE: SMI; SEHK: 981) is one of the leading
semiconductor foundries in the world and the largest and
most advanced foundry in Mainland China, providing
integrated circuit (IC) manufacturing service at 0.35mm to
90nm and finer line technologies. Headquartered in
Shanghai, China, SMIC operates three 200mm fabs in Shanghai
and one in Tianjin, and one 300mm fab in Beijing, the first
of its kind in Mainland China. SMIC has customer service
and marketing offices in the U.S., Italy, and Japan as well
as a representative office in Hong Kong. For additional
information, please visit http://www.smics.com .
Safe Harbor Statements
(Under the Private Securities Litigation Reform Act of
1995)
This press release may contain, in addition to
historical information, "forward-looking
statements" within the meaning of the "safe
harbor" provisions of the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking
statements, including statements concerning SMIC's
expectations that revenues from 0.13 micron and below
technologies as a percentage of total revenues and
percentage of revenues from Mainland China customers would
continue to increase, statements concerning the trend of
global semiconductor companies choosing to work with SMIC,
statements concerning the manner in which SMIC will execute
its business plan and expand its business, and statements
under "Capex Summary" and "Third Quarter
2006 Guidance" below, are based on SMIC's current
assumptions, expectations and projections about future
events. SMIC uses words like "believe,"
"anticipate," "intend,"
"estimate," "expect,"
"project" and similar expressions to identify
forward-looking statements, although not all
forward-looking statements contain these words.
These forward-looking statements are necessarily
estimates reflecting the best judgment of SMIC's senior
management and involve significant risks, both known and
unknown, uncertainties and other factors that may cause
SMIC's actual performance, financial condition or results
of operations to be materially different from those
suggested by the forward-looking statements including,
among others, risks associated with cyclicality and market
conditions in the semiconductor industry, intense
competition, timely wafer acceptance by SMIC's customers,
timely introduction of new technologies, SMIC's ability to
ramp new products into volume, supply and demand for
semiconductor foundry services, industry overcapacity,
shortages in equipment, components and raw materials,
availability of manufacturing capacity and financial
stability in end markets.
Investors should consider the information contained in
SMIC's filings with the U.S. Securities and Exchange
Commission (SEC), including its annual report on Form 20-F,
as amended, filed with the SEC on June 29, 2006, especially
in the "Risk Factors" and "Management's
Discussion and Analysis of Financial Condition and Results
of Operations" sections, and its registration
statement on Form A-1 as filed with the Stock Exchange of
Hong Kong (SEHK) on March 8, 2004, and such other documents
that SMIC may file with the SEC or SEHK from time to time,
including on Form 6-K. Other unknown or unpredictable
factors also could have material adverse effects on SMIC's
future results, performance or achievements. In light of
these risks, uncertainties, assumptions and factors, the
forward-looking events discussed in this press release may
not occur. You are cautioned not to place undue reliance
on these forward-looking statements, which speak only as of
the date stated, or if no date is stated, as of the date of
this press release.
Except as required by law, SMIC undertakes no
obligation and does not intend to update any
forward-looking statement, whether as a result of new
information, future events or otherwise.
Summary of Second Quarter 2006 Operating Results
Amounts in US$ thousands, except for EPS and operating
data
2Q06 1Q06 QoQ
2Q05 YoY
Sales 361,446 351,138 2.9%
279,500 29.3%
Cost of sales 312,229 307,768 1.4%
273,111 14.3%
Gross profit 49,217 43,370 13.5%
6,389 670.4%
Operating expenses 56,141 49,335 13.8%
38,469 45.9%
Loss from operations (6,924) (5,965) 16.1%
(32,081) -78.4%
Other income (expenses) (9,491) (7,807) 21.6%
(8,234) 15.3%
Income tax credit (expense) 18,892 (14) --
118 --
Net income (loss) after
income taxes 2,476 (13,786) --
(40,433) --
Minority interest 767 947 -19.0%
(12) --
Share of loss of an affiliate
company (1,002) (1,058) -5.3%
-- --
Cumulative effect of a change
in accounting principle -- 5,154 --
-- --
Income (loss) attributable to
holders of ordinary shares 2,242 (8,743) --
(40,445) --
Gross margin 13.6% 12.4%
2.3%
Operating margin -1.9% -1.7%
-11.5%
Net income (loss) per
ordinary share - $0.0001 ($0.0005)
($0.0022)
basic(1)
Net income (loss) per ADS -
basic $0.0061 ($0.0239)
($0.1113)
Net income (loss) per
ordinary share -
diluted(1) $0.0001 ($0.0005)
($0.0022)
Net income (loss) per ADS -
diluted $0.0060 ($0.0239)
($0.1113)
Wafers shipped (in 8"
wafers)(2) 388,498 388,010 0.1%
330,499 17.5%
Logic ASP(3) $979 $945 3.6%
$938 4.4%
Blended ASP $888 $862 3.0%
$807 10.0%
Simplified ASP(4) $930 $905 2.8%
$846 9.9%
Capacity utilization 93.5% 94.9%
86.5%
Note:
(1) Based on weighted average ordinary shares of
18,303 million (basic)
and 18,729 million (diluted) in 2Q06, 18,278
million (basic/diluted)
in 1Q06 and 18,169 million (basic/diluted) in
2Q05
(2) Including copper interconnects
(3) Excluding copper interconnects
(4) Total sales/total wafers shipped
-- Sales increased to $361.4 million in 2Q06, up 2.9%
QoQ from $351.1
million in 1Q06 and up 29.3% YoY from $279.5 million
in 2Q05 primarily
due to a 3% increase in the blended ASP.
-- Cost of sales increased to $312.2 million in 2Q06,
up 1.4% QoQ from
$307.8 million in 1Q06, primarily due to a product
mix shift.
-- Gross profit increased to $49.2 million in 2Q06, up
13.5% QoQ from
$43.4 million in 1Q06 and up 670.4% YoY from $6.4
million in 2Q05.
-- Gross margins increased to 13.6% in 2Q06 from 12.4%
in 1Q06, primarily
due to an improved product mix.
-- Operating expenses of $56.1 million in 2Q06, up
13.8% QoQ from $49.3
million in 1Q06.
-- Loss from operations of $6.9 million in 2Q06, up
16.1% QoQ from a loss
of $6.0 million in 1Q06.
-- Other non-operating loss of $9.5 million in 2Q06, up
21.6% QoQ from a
loss of $7.8 million in 1Q06, primarily due to a
foreign exchange
loss of $2.0 million in 2Q06.
-- Net foreign exchange loss of $6.8 million in 2Q06.
-- Net income of $2.2 million in the second quarter of
2006, compared to a
net loss of $8.7 million in the first quarter of
2006 and a net loss of
$40.4 million in the second quarter of 2005.
-- As a result of a tax planning strategy that became
effective in 2Q06, a
temporary difference between the tax and book basis
of certain assets
was created. Under FAS109, the Company recognized
an income tax
benefit of $18.9 million.
Analysis of Revenues
Sales Analysis
By Application 2Q06 1Q06
4Q05 3Q05 2Q05
Computer 30.6 % 36.0 % 34.8
% 33.7 % 39.8 %
Communications 46.2 % 45.8 % 43.8
% 39.8 % 40.4 %
Consumer 18.6 % 13.3 % 16.6
% 22.8 % 15.2 %
Others 4.6 % 4.9 % 4.8
% 3.7 % 4.6 %
By Device 2Q06 1Q06
4Q05 3Q05 2Q05
Logic (including copper
interconnect) 66.6 % 62.8 % 65.3
% 65.5 % 58.9 %
DRAM(1) 28.8 % 32.4 % 31.3
% 31.0 % 36.5 %
Other (mask making & probing,
etc.) 4.6 % 4.8 % 3.4
% 3.5 % 4.6 %
By Customer Type 2Q06 1Q06
4Q05 3Q05 2Q05
Fabless semiconductor companies 49.8 % 41.8 % 43.2
% 43.2 % 42.2 %
Integrated device manufacturers
(IDM) 41.9 % 52.8 % 51.7
% 52.8 % 55.2 %
System companies and others 8.3 % 5.4 % 5.1
% 4.0 % 2.6 %
By Geography 2Q06 1Q06
4Q05 3Q05 2Q05
North America 46.7 % 43.5 % 39.2
% 42.9 % 40.8 %
Asia Pacific (ex. Japan) 20.9 % 21.3 % 28.2
% 25.7 % 26.3 %
Japan 4.9 % 3.3 % 3.6
% 4.5 % 6.0 %
Europe 27.5 % 31.9 % 29.0
% 26.9 % 26.9 %
Wafer Revenue Analysis
By Technology (logic, DRAM & 2Q06 1Q06
4Q05 3Q05 2Q05
copper interconnect only)
0.13um and below 47.5 % 46.6 % 42.9
% 43.8 % 44.5 %
0.15um 4.7 % 8.7 % 5.2
% 2.7 % 2.5 %
0.18um 38.0 % 35.7 % 42.3
% 45.3 % 40.7 %
0.25um 2.0 % 1.6 % 3.3
% 3.1 % 3.9 %
0.35um 7.8 % 7.4 % 6.3
% 5.1 % 8.4 %
By Logic Only(1) 2Q06 1Q06
4Q05 3Q05 2Q05
0.13um and below(2) 22.5 % 13.3 % 10.9
% 14.7 % 12.6 %
0.15um 7.2 % 14.5 % 8.6
% 5.3 % 4.8 %
0.18um 55.8 % 57.7 % 65.3
% 67.4 % 59.4 %
0.25um 2.5 % 2.3 % 4.8
% 4.0 % 7.1 %
0.35um 12.0 % 12.2 % 10.4
% 8.6 % 16.1 %
Note:
(1) Excluding 0.13mm copper interconnects
(2) Represents revenues generated from manufacturing
full flow wafers
-- Sales from the consumer products segment grew faster
than other
applications in 2Q06 compared to 1Q06.
-- Percentage of sales from logic wafers, including
copper interconnects,
increased to 66.6% of sales in 2Q06, as compared to
62.8% in 1Q06 and
58.9% in 2Q05.
-- Percentage of sales generated from North America and
Japan customers in
2Q06 increased to 46.7% and 4.9%, respectively as
compared to 43.5% and
3.3% in 1Q06, respectively.
-- Percentage of wafer revenues from 0.13mm and below
technologies
increased to 47.5% of sales in 2Q06, as compared
with 46.6% in 1Q06 and
44.5% in 2Q05.
-- Percentage of logic only wafer revenues from 0.13mm
and below
technologies increased to 22.5% of sales in 2Q06, as
compared with
13.3% in 1Q06 and 12.6% in 2Q05.
Capacity
Fab / (Wafer Size)
2Q06(1) 1Q06(1)
Fab 1 (8")
43,000 43,000
Fab 2 (8")
49,034 47,954
Fab 4 (12")
35,438 30,220
Fab 7 (8")
17,216 15,000
Total monthly wafer fabrication capacity
144,688 136,174
Copper Interconnects:
Fab 3 (8")
22,563 21,156
Total monthly copper interconnect capacity
22,563 21,156
Note:
(1) Wafers per month at the end of the period in
8" wafers
-- As of the end of 2Q06, monthly capacity increased to
167,251 8-inch
equivalent wafers mainly due to the expansion at the
Beijing (Fab 4)
and Tianjin (Fab 7) sites.
Shipment and Utilization
8" equivalent wafers 2Q06 1Q06
4Q05 3Q05 2Q05
Wafer shipments including
Copper interconnects 388,498 388,010 376,227
355,664 330,499
Utilization rate(1) 93.5% 94.9% 93.0%
92.1% 86.5%
Note:
(1) Capacity utilization based on total wafer out
divided by estimated
capacity
-- Wafer shipments increased to 388,498 units of 8-inch
equivalent wafers
in 2Q06 up 0.1% QoQ from 388,010 units of 8-inch
equivalent wafers in
1Q06, and up 17.5% YoY from 330,499 8-inch
equivalent wafers in 2Q05.
-- Utilization rate decreased to 93.5%.
Detailed Financial Analysis
Gross Profit Analysis
Amounts in US$ thousands 2Q06 1Q06 QoQ
2Q05 YoY
Cost of sales 312,229 307,768 1.4%
273,111 14.3%
Depreciation 188,663 189,054 -0.2%
171,216 10.2%
Other manufacturing
costs 123,566 118,714 4.1%
101,895 21.3%
Gross Profit 49,217 43,370 13.5%
6,389 670.4%
Gross Margin 13.6% 12.4%
2.3%
-- Cost of sales increased to $312.2 million in 2Q06,
up 1.4% QoQ from
$307.8 million in 1Q06, primarily due to a product
mix shift.
-- Gross profit increased to $49.2 million in 2Q06, up
13.5% QoQ from
$43.4 million in 1Q06 and up 670.4% YoY from $6.4
million in 2Q05.
-- Gross margins increased to 13.6% in 2Q06 from 12.4%
in 1Q06, primarily
due to a higher blended ASP from a product mix
shift.
Operating Expense Analysis
Amounts in US$ thousands 2Q06 1Q06 QoQ
2Q05 YoY
Total operating expenses 56,141 49,335 13.8%
38,469 45.9%
Research and development 24,345 20,593 18.2%
17,590 38.4%
General and
administrative 16,837 11,749 43.3%
7,207 133.6%
Selling and marketing 3,918 5,970 -34.4%
3,590 9.2%
Amortization of
intangible assets 11,041 11,023 0.2%
10,082 9.5%
-- Total operating expenses were $56.1 million in 2Q06,
an increase of
13.8% QoQ from $49.3 million in 1Q06.
-- Research and development expenses increased to $24.3
million in 2Q06,
up 18.2% QoQ from $20.6 million in 1Q06, primarily
due to increased
depreciation and amortization costs associated with
R&D and a decrease
in R&D subsidy from the previous quarter.
-- General and administrative expenses increased to
$16.8 million in 2Q06,
up 43.3% QoQ from $11.7 million in 1Q06, primarily
due to foreign
exchange losses of $4.8 million in 2Q06.
-- Selling and marketing expenses decreased to $3.9
million in 2Q06, down
34.4% QoQ from $6.0 million in 1Q06, primarily due
to decreased
engineering material expense.
-- Amortization of acquired intangible assets
representing amortization
expenses associated with the acquisition of
intangible assets was $11.0
million in 2Q06.
Other Income (Expenses)
Amounts in US$ thousands 2Q06 1Q06 QoQ
2Q05 YoY
Other income (expenses) (9,491) (7,807) 21.6%
(8,234) 15.3%
Interest income 4,039 4,595 -12.1%
2,030 99.0%
Interest expense (12,214) (12,201) 0.1%
(8,971) 36.2%
Other, net (1,316) (201) 555.9%
(1,293) 1.7%
-- Other non-operating loss of $9.5 million in 2Q06 up
21.6%, QoQ from a
loss of $7.8 million in 1Q06, primarily due to a
foreign exchange
loss of $2.0 million in 2Q06.
-- Interest expenses of $12.2 million in 2Q06.
Liquidity
Amounts in US$ thousands
2Q06 1Q06
Cash and cash equivalents
584,643 485,121
Short term investments
3,487 3,525
Accounts receivable
257,248 241,020
Inventory
217,592 196,585
Others
25,956 16,363
Total current assets
1,088,926 942,614
Accounts payable
429,813 286,884
Short-term borrowings
118,284 211,608
Current portion of long-term debt
47,160 246,081
Others
114,636 119,057
Total current liabilities
709,893 863,630
Cash Ratio
0.8x 0.6x
Quick Ratio
1.2x 0.9x
Current Ratio
1.5x 1.1x
Capital Structure
Amounts in US$ thousands
2Q06 1Q06
Cash and cash equivalents
584,643 485,121
Short-term investment
3,487 3,525
Current portion of promissory note
29,242 29,493
Promissory note
90,537 104,140
Short-term borrowings
118,284 211,608
Current portion of long-term debt
47,160 246,081
Long-term debt
830,743 431,504
Total debt
996,187 889,193
Net cash
(527,836) (534,180)
Shareholders' equity
3,028,259 3,019,086
Total debt to equity ratio
32.9% 29.5%
Cash Flow Summary
Amounts in US$ thousands
2Q06 1Q06
Net income
2,242 (8,743)
Depreciation & amortization
220,242 210,595
Amortization of acquired intangible
assets
11,041 11,024
Net change in cash
99,523 (100,676)
Capex Summary
-- Capital expenditures for 2Q06 were $317.3 million.
-- Total planned capital expenditures for 2006 will be
approximately $1.1
billion and will be adjusted based on market
conditions.
Third Quarter 2006 Guidance
The following statements are forward looking statements
which are based on current expectation and which involve
risks and uncertainties, some of which are set forth under
"Safe Harbor Statements" above.
-- Sales expected to remain flat or to increase up to
2% over 2Q06.
-- Gross margins expected to be in the 8% to 12%
range.
-- Operating expense as a percentage of sales expected
to be in the mid-
teens for 3Q06.
-- Non-operating interest expense expected to be
approximately $15 million
to $17 million.
-- Capital expenditures expected to be approximately
$325 million to $360
million.
-- Depreciation and amortization expected to be
approximately $250 million
to $260 million.
Recent Highlights and Announcements
-- Central China's First 12-inch Fab Began Construction
and Will be
Managed by SMIC (2006-06-28)
-- Elpida's Advanced 90nm DDR2 SDRAM Successfully
Qualified at SMIC
Beijing's 300mm Fab (2006-06-19)
-- SMIC Shanghai closed a US$600 million Syndicated
Term Loan (2006-06-08)
-- SMIC Shanghai is expecting to enter into a US$600
million Syndicated
Term Loan (2006-06-07)
-- Changes in Directorate (2006-06-01)
-- Annual General Meeting Held On 30th May, 2006 Poll
Results
(2006-06-01)
-- SMIC Adopts ARM Physical IP for Both Low-Power and
High-Performance
Designs at 90 Nanometer Technology Node
(2006-05-31)
-- SMIC Tianjin Secures Financing for Expansion
(2006-05-31)
-- Chipnuts and SMIC to Jointly Offer C626 Multimedia
Chip For Mobile
Phones (2006-05-17)
-- SMIC and Aurora Systems in Volume Production of
Digital LCOS Panel
Chips (2006-05-08)
-- SMIC reports 2006 first quarter results
(2006-04-28)
-- SMIC and CADENCE Deliver New Analog Mixed-Signal
Reference Flow to
Speed Fabless Chip Design (2006-04-13)
Please visit SMIC's website at
http://www.smics.com/website/enVersion/Press_Center/pressRelease.jsp
for further details regarding the recent announcements.
Semiconductor Manufacturing International Corporation
CONSOLIDATED BALANCE SHEET
(In US dollars)
As of
the end of
June 30, 2006
March 31, 2006
(unaudited)
(unaudited)
ASSETS
Current assets:
Cash and cash equivalents 584,643,407
485,120,565
Short term investments 3,486,997
3,525,210
Accounts receivable, net of
allowances of $4,360,447 and
$3,155,788, respectively 257,248,338
241,020,392
Inventories 217,592,385
196,584,559
Prepaid expense and other current
assets 20,171,994
16,363,507
Assets held for sale 5,782,422
--
Total current assets 1,088,925,543
942,614,233
Land use rights, net 39,975,613
41,392,218
Plant and equipment, net 3,378,265,128
3,286,544,385
Acquired intangible assets, net 183,230,540
191,933,630
Equity investment 15,760,166
16,762,335
Long-term prepayments 4,957,320
2,342,957
Deferred tax assets 18,892,396
--
TOTAL ASSETS 4,730,006,706
4,481,589,758
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable 429,813,127
286,884,436
Accrued expenses and other current
liabilities 85,373,210
89,469,845
Short-term borrowings 118,283,829
211,607,902
Current portion of promissory note 29,242,001
29,492,874
Current portion of long-term debt 47,160,000
246,081,155
Income tax payable 20,548
93,634
Total current liabilities 709,892,715
863,629,846
Long-term liabilities:
Promissory note 90,537,615
104,140,277
Long-term debt 830,742,999
431,504,129
Long-term payables relating to
license agreements 23,507,429
25,395,010
Other long-term payable 10,000,000
--
Total long-term liabilities 954,788,043
561,039,416
Total liabilities 1,664,680,758
1,424,669,262
Commitments
Minority interest 37,066,848
37,834,500
Stockholders' equity:
Ordinary shares£¬$0.0004 par
value, 50,000,000,000 shares
authorized, shares issued
and outstanding 18,342,734,332
and 18,318,402,283, respectively 7,337,094
7,327,361
Warrants 32,387
32,387
Additional paid-in capital 3,275,146,135
3,268,265,625
Accumulated other comprehensive
income 163,674
122,675
Accumulated deficit (254,420,190)
(256,662,052)
Total stockholders' equity 3,028,259,100
3,019,085,996
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY 4,730,006,706
4,481,589,758
Semiconductor Manufacturing International Corporation
CONSOLIDATED STATEMENT OF OPERATIONS
(In US dollars)
For the
three months ended
June 30, 2006
March 31, 2006
(unaudited)
(unaudited)
Sales 361,445,898
351,137,952
Cost of sales 312,229,121
307,767,802
Gross profit 49,216,777
43,370,150
Operating expenses:
Research and development 24,344,979
20,592,655
General and administrative 16,837,020
11,748,899
Selling and marketing 3,918,343
5,970,146
Amortization of acquired intangible
assets 11,041,090
11,023,590
Total operating expenses 56,141,432
49,335,290
Loss from operations (6,924,655)
(5,965,140)
Other income (expenses):
Interest income 4,039,328
4,595,384
Interest expense (12,214,076)
(12,201,407)
Others, net (1,316,005)
(200,656)
Total other income (expenses), net (9,490,753)
(7,806,679)
Net loss before income taxes (16,415,408)
(13,771,819)
Income tax credit (expense) 18,891,787
(13,985)
Minority interest 767,652
947,364
Loss from equity investment (1,002,169)
(1,058,555)
Cumulative effect of a change in
accounting principle --
5,153,986
Net income (loss) 2,241,862
(8,743,009)
Deemed dividends on preference shares --
--
Income (loss) attributable to holders
of ordinary shares 2,241,862
(8,743,009)
On the basis of net income (loss)
before accounting change per share,
basic 0.0001
(0.0008)
Cumulative effect of a change in
accounting principal per share,
basic --
0.0003
Net income (loss) per share, basic 0.0001
(0.0005)
On the basis of net income (loss)
before accounting change per ADS,
basic 0.0061
(0.0380)
Cumulative effect of a change in
accounting principal per ADS, basic --
0.0141
Net income (loss) per ADS, basic 0.0061
(0.0239)
On the basis of net income (loss)
before accounting change per share,
diluted 0.0001
(0.0008)
Cumulative effect of a change in
accounting principle per share,
diluted --
0.0003
Net income (loss) per share, diluted 0.0001
(0.0005)
On the basis of net income (loss)
before accounting change per ADS,
diluted 0.0060
(0.0380)
Semiconductor Manufacturing
International Corporation
CONSOLIDATED STATEMENT OF OPERATIONS
(In US dollars)
For the
three months ended
June 30, 2006
March 31, 2006
(unaudited)
(unaudited)
Cumulative effect of a change in
accounting principle per ADS,
diluted --
0.0141
Net income (loss) per ADS, diluted 0.0060
(0.0239)
Ordinary shares used in calculating
basic income per ordinary share (in
millions) 18,303
18,278
Ordinary shares used in calculating
diluted income per ordinary share
(in millions) 18,729
18,278
*Amortization of deferred stock
compensation related to:
Cost of sales 3,014,597
3,127,678
Research and development 1,254,569
1,281,330
General and administrative 1,227,469
1,211,830
Selling and marketing 509,831
543,929
Total 6,006,465
6,164,767
(1) 1 ADS equals 50 ordinary shares
Semiconductor Manufacturing International Corporation
CONSOLIDATED STATEMENT OF CASH FLOWS
(In US dollars)
For the
three months ended
June 30, 2006
March 31, 2006
(unaudited)
(unaudited)
Operating activities:
Income (loss) attributable to
holders of ordinary shares 2,241,862
(8,743,009)
Cumulative effect of a change in
accounting principle --
(5,153,986)
Net income (loss) 2,241,862
(13,896,995)
Adjustments to reconcile net income
to net cash provided by (used in)
operating activities:
Minority interest (767,652)
(947,364)
Gain (loss) on disposal of plant and
equipment (516,812)
1,018
Depreciation and amortization 220,242,447
210,595,208
Amortization of acquired intangible
assets 11,041,089
11,023,590
Amortization of deferred stock
compensation 6,006,465
6,164,767
Amortization of loan initiation fee 59,949
--
Non-cash interest expense on
promissory notes 1,503,505
1,465,312
Loss on long-term investment 1,002,169
1,058,555
Changes in operating assets and
liabilities:
Accounts receivable (16,227,946)
313,522
Inventories (21,007,826)
(5,346,923)
Prepaid expense and other current
assets (316,206)
(853,466)
Accounts payable (13,274,229)
3,521,334
Accrued expenses and other current
liabilities (11,319,565)
(10,144,265)
Other long term liabilities 10,000,000
--
Income tax payable (73,086)
93,634
Deferred tax assets (18,892,396)
--
Net cash provided by operating
activities 169,701,768
203,047,927
Investing activities:
Purchases of plant and equipment (164,934,281)
(197,518,652)
Purchases of acquired intangible
assets (253,074)
(1,439,000)
Sale of short-term investments 30,704
10,250,212
Proceeds received from living
quarter sales 5,631,255
--
Proceeds from disposal of fixed
assets 17,479
1,167,914
Net cash used in investing
activities (159,507,917)
(187,539,526)
Financing activities:
Proceeds from short-term borrowings 83,161,736
65,125,158
Proceeds from long-term debt 592,960,001
59,988,601
Repayment of long-term debt (392,642,286)
(123,040,282)
Repayment of promissory notes (15,000,000)
--
Repayment of short-term borrowings (176,485,809)
(118,998,338)
Payment of loan initiation fee (3,596,938)
--
Proceeds from exercise of employee
stock options 883,777
736,003
Net cash provided by financing
activities 89,280,481
(116,188,858)
Effect of foreign exchange rate
changes 48,510
4,135
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS 99,522,842
(100,676,322)
CASH AND CASH EQUIVALENTS, beginning
of period 485,120,565
585,796,887
CASH AND CASH EQUIVALENTS, end of
period 584,643,407
485,120,565
For more information, please contact:
Calvin Lau
Tel: +86-21-5080-2000 x16693
Mobile: +852-9435-2603 or +86-136-3646-8590
Email: calvin_lau@smics.com
Douglas Hsiung
Tel: +86-21-5080-2000 x12804
Mobile: +86-137-9527-2240
Email: douglas_hsiung@smics.com
SOURCE Semiconductor Manufacturing International
Corporation
PR
Post your Comment
広告
ブログ内検索
アーカイブ
カウンター