During the second quarter of 2025, SMIC's revenue surged to US$2.209 billion, marking a 16.2% increase year-on-year, alongside a robust capacity utilization rate of 92.5%. The company strategically noted that to uphold the integrity of R&D and equipment verification processes, it will maintain its capacity utilization below 95%. Despite encountering higher depreciation costs, SMIC anticipates maintaining a gross margin within the range of 18% to 20% in the upcoming third quarter. The company has witnessed substantial order growth across the mobile phone, industrial, and automotive sectors, while demand in the memory supporting sector remains consistent. SMIC intends to sustain its expansion trajectory with annual investments estimated at approximately US$7 billion to US$8 billion. With an abundant order book for the second half of the year, production is poised to increase steadily.