ChangXin Memory Technologies estimates up to $19.8 billion nine-month profit

Chinese memory chip manufacturer ChangXin Memory Technologies estimated a nine-month net profit of $19.6 billion to $19.8 billion in an October 16 filing with the Shanghai Stock Exchange. The state-backed developer of dynamic random-access memory chips reported 131 billion to 132.5 billion yuan in estimated net income for the period from January through September 2026.

The estimated profit marks a major financial turnaround from the same nine-month period in 2025, when CXMT recorded a net loss of 5.3 billion yuan. Total revenue for the nine-month period reached between 265 billion and 270 billion yuan, up from 32.1 billion yuan in the prior year, according to the filing.

CXMT attributed the revenue surge to three main factors. Global demand for DRAM chips, which serve as the primary working memory in computers and servers, expanded due to artificial intelligence infrastructure needs starting in the second half of 2025. The company also expanded its manufacturing capacity and increased the number of usable chips produced from each silicon wafer.

The reported figures are preliminary and unaudited financial estimates that require full audit confirmation. The cash generated from the earnings provides capital for CXMT to expand its semiconductor manufacturing fabrication facilities.

In the filing, CXMT Chairman Zhu Yiming proposed a share buyback program of 1 billion to 2 billion yuan over 12 months. The filing noted that no shares have been purchased under the proposal so far.

CXMT listed its shares on the Shanghai Stock Exchange in July 2026, when the stock jumped 466 percent on its first day of trading. On October 16, CXMT shares rose 3.28 percent to close at 45.02 yuan, bringing the company's total market valuation to approximately 3.06 trillion yuan.

The filing came amid broader movements in global semiconductor trading. On October 16, shares of U.S. chipmaker Micron Technology fell 5.63 percent to $878.84 as part of a wider industry selloff, while SanDisk fell nearly 7 percent.

Micron reported $37.701 billion in net income during its fiscal fourth quarter alone, supported by annual revenue of $133.19 billion. While U.S. export controls restrict China's access to advanced equipment needed for stacked high-bandwidth memory chips, Micron executives confirmed the firm has already booked deals for most of its calendar 2027 high-bandwidth memory supply.