Shares of Semiconductor Manufacturing International Corp (SMIC) took a sharp fall yesterday a day after it announced a wider quarterly loss from a year ago and an overhaul of senior management.
The mainland's biggest contract chipmaker saw its share price close at 63 HK cents, down 5.97 per cent - its steepest decline since February 5.
On Tuesday, the firm reported a net loss of US$482.3 million in the three months ended December 31 from a US$125.9 million loss the previous year. The fourth-quarter loss was mainly from a US$299.7 million charge related to the foundry's settlement of litigation with cross-strait rival Taiwan Semiconductor Manufacturing.
Revenue was up 22.2 per cent to US$333.1 million from US$272.5 million the previous year.
'Overall, revenue was in line with expectations for the fourth quarter,' SMIC president and chief executive David Wang said. He noted that Greater China sales continued to grow and accounted for 38 per cent of total revenue in the quarter.
After its results announcement, SMIC named Simon Yang its new chief operating officer and Gary Tseng as chief financial officer.
The change in top management followed the appointment of Wang in November last year as SMIC head, replacing founder and long-serving chief executive Richard Chang Rugin.