① Zhuang Zhiqing, chairman of Canxin Co., Ltd., said that the company has set up projects and carried out research and development for BLE+RF wireless microcontroller platforms, controller SoC platforms, and system-level automated test platform solutions; ② Zhuang Zhiqing said that the continued growth in chip customization demand has expanded the market space for the development of the chip design service industry.
“Science and Technology Innovation Board Daily”, November 13 (Reporter Chen Junqing) Today (November 13), Canxin Co., Ltd. held a performance briefing for the third quarter of 2024.
Canxin Co., Ltd. is a chip design service company that provides one-stop services from chip specification formulation, architecture design to finished chip products. In the first three quarters of this year, the company achieved revenue of 0.863 billion yuan, a year-on-year decrease of 14.16%; net profit to mother was 81.97 million yuan, a year-on-year decrease of 41.76%.
Among them, in the third quarter of this year, the company's main revenue was 0.269 billion yuan, down 20.51% year on year; net profit to mother was 1.5349 million yuan, down 95.22% year on year.
In response, at the results meeting, Zhuang Zhiqing, chairman of Canxin Co., Ltd., said that the decline in the company's revenue in the third quarter was mainly affected by fluctuations in downstream customer demand; on the one hand, the decline in profit was due to fluctuations in revenue, and on the other hand, due to an increase in R&D investment in the current period based on long-term development considerations.
According to financial reports, Canxin's R&D investment in the first three quarters reached 0.111 billion yuan, an increase of 47.56% over the previous year.
Zhuang Zhiqing said that the company has formed two core technology systems: large-scale SoC custom design technology and semiconductor IP development technology. “High-speed interface IP, high-performance analog IP and system-level chip platforms are currently the company's key R&D directions.”
The “Science and Technology Innovation Board Daily” reporter noticed that Canxin Co., Ltd. has made new business progress in the field of automotive electronics.
“In terms of system-level chip platform development, the company has now set up projects and carried out research and development for BLE+RF wireless microcontroller platforms, controller SoC platforms, and system-level automated test platform solutions for the automotive electronics field, and has implemented automated test plans for some subsystems.” Zhuang Zhiqing said.
In August of this year, Canxin Co., Ltd. passed the ISO 26262 functional safety management system certification. Zhuang Zhiqing told the “Science and Technology Innovation Board Daily” reporter that the company has established a process system for hardware design, software development and project management for automotive-grade integrated circuits in accordance with ISO 26262:2018 automotive functional safety requirements.
It should be noted that the company had positive cash flow at the end of each period from 2019 to 2023. However, in the first three quarters of this year, its cash flow was negative. At the results meeting, Peng Wei, financial director of Canxin Co., Ltd., said that the increase in employee remuneration and business-related taxes paid by the company was also another cause of cash outflow.
Regarding subsequent market development, Zhuang Zhiqing, chairman of Canxin Co., Ltd., said that the continued increase in demand for chip customization has expanded the market space for the development of the chip design service industry. With the gradual evolution of the process, chip design is becoming more difficult, the cost of flow film is increasing, the risk of flow film is increasing, and the design cycle is getting longer, and the market demand for the chip design service industry is also increasing.
“In the future, the company will seize the development opportunities of the industry, rely on its own technical capabilities and a stable and high-quality customer base to further increase the development of new technologies and the development of new projects.” That's what Zhuang Zhiqing said.