AI Chip Concept Stocks Insight | HUA HONG GRACE (01347.HK) up 1.78%, Q3 revenue hits record high

NewTimeSpace News, on 6 November 2026, AI chip stocks pulled back, while HUA HONG GRACE (01347.HK) rose against the trend. As of 11:40, the company quoted HKD 68.500, up 1.78%.

On the news front, on 5 November 2026 HUA HONG GRACE reported third-quarter results, with revenue of USD 987.1 million, up 19.9% year on year and 9.9% quarter on quarter, a record high; a gross margin of 24.6%, up 7.6 percentage points year on year and 4.7 points quarter on quarter; and profit attributable to owners of USD 123.4 million, up 147.1% year on year and 77.7% quarter on quarter. Overall capacity utilisation reached 102.9% in the quarter, and the revenue share of 12-inch products rose to 70.7%.

In addition, the company guided fourth-quarter revenue to between USD 1.08 billion and USD 1.09 billion, with a gross margin of 25% to 26%. It said AI-related products continue to drive global semiconductor demand, industrial and automotive markets are gradually improving, and demand for microcontrollers, flash memory, power management and power devices keeps growing; even as capacity expands, supply in some segments remains tight, and the trend of rising volumes and prices is expected to persist for some time. The company completed the acquisition of Huali Microelectronics in the quarter, and its financial statements now include the unit.

CITIC SECURITIES believes revenue and gross margin both beat guidance, the consolidation of Huali Microelectronics lifted profit, and fourth-quarter revenue and margin guidance continues to move higher; depreciation and amortisation rose to USD 266 million in the third quarter, yet gross margin still gained 4.7 percentage points, showing that price increases and high utilisation covered the added depreciation, while minority interest narrowed to negative USD 3.38 million from negative USD 18.99 million on a restated basis in the second quarter.

HUA HONG GRACE (01347.HK) Specializes in specialty process wafer foundry, offering customized manufacturing of power discretes, embedded non-volatile memory, analog and power management ICs. Its 8-inch and 12-inch production lines serve automotive, industrial control and data center power management applications. The company holds multiple automotive-grade quality certifications and provides mass production foundry services to various domestic and international automotive clients. Its overall capacity utilization has remained high over an extended period.