JCET Group Co Ltd

JCET announced that its wholly-owned subsidiary, JCET Management Co., Ltd., paid the fourth installment of 37.44 million US dollars, tax inclusive, to the seller on September 28, 2026, using its own funds, for the acquisition of an 80% stake in SanDisk Semiconductor (Shanghai) Co., Ltd. The transaction has been completed, and the target company has become an indirectly controlled subsidiary of the company.

Huatian Technology disclosed its 2026 semi-annual report. In the first half of the year, it achieved operating revenue of 10.511 billion yuan, up 35.09% year on year, and net profit attributable to shareholders of the listed company of 813 million yuan, a sharp year-on-year increase of 259.15%. Second-quarter operating revenue was 5.711 billion yuan, a record high for a single quarter, with net profit of 727 million yuan. The company said the performance growth was mainly due to a recovery in semiconductor industry sentiment, rising demand in the packaging and testing market, and expanded scale of automotive electronics and memory packaging businesses. However, net profit after deducting non-recurring items was only 250 million yuan, with total non-recurring gains and losses of 563 million yuan. Among them, fair value changes and gains or losses from disposal of securities investments amounted to 487 million yuan, accounting for nearly half of total profit, mainly from investment income on holdings in stocks such as Huahai Chengke, Youxun, Huizhiwei, and JCET. The total number of shareholders increased from 402,658 at the end of the first quarter to 862,569, a rise of 114.22%. Overseas funds increased their positions overall, while two ETF products and the second phase of the National Integrated Circuit Industry Investment Fund reduced their holdings by more than 65.87 million shares in total.

JCET has released its 2026 interim report, with net profit attributable to the parent company of 845 million yuan, up 79.41% from the same period last year. Total operating revenue was 19.527 billion yuan, up 4.96% year on year, marking a third consecutive year of growth. Net cash inflow from operating activities was 2.964 billion yuan, up 26.75% year on year. The company's latest gross margin was 15.15%, rising for five consecutive quarters. Diluted earnings per share were 0.47 yuan, up 80.77% year on year.

The advanced packaging concept sector in China's A-share market continued to strengthen in the afternoon session. JCET, which fell over 6 percent yesterday, rebounded to hit limit up, with its market capitalisation reaching 185.2 billion yuan. Shenzhen Keda recorded a 20 percent limit up, while more than ten stocks including Xingye Co., Ltd., Langdi Group, Huatian Technology, and Xuguang Electronics were firmly locked at limit up. On the news front, a Huawei semiconductor executive released version two of the Tao Law, identifying five key implementation technologies including LogicFolding unit-level 3D stacking. In addition, ASE Technology Holding, a leading global OSAT supplier, has once again adjusted its packaging quotes, with price increases of up to over 20 percent, covering advanced packaging technologies such as CoWoS and FoCoS. The market expects other packaging and testing firms may follow suit. TSMC has also initiated price adjustments for advanced nodes, covering 3-nanometer, 7-nanometer and more advanced process nodes, with overall adjustments ranging from 5 to 10 percent. Wanlian Securities believes that ASE's price hike indicates strong industry sentiment in advanced packaging, and Huawei's new paper may help drive breakthroughs in domestic high-end chip technology. Yole expects the global advanced packaging market to grow from 54 billion US dollars in 2025 to 109 billion US dollars in 2031, with 2.5D and 3D packaging becoming the main growth driver.