On May 9th, SICC(688234.SH) hosted the Investor Day in Jinan plant. Henceforth, the Investor Day will be held monthly and follow the epidemic prevention requirements strictly.
Mr. Yanmin Zong, Board Chairman of SICC, delivered a welcome speech and gave a detailed introduction to the investors from the company overview, product application, production management, technology research, future strategy, ESG social responsibility and other aspects.
Then the investors visited the newly built digital multimedia exhibition room and production line to understand the production and technical difficulties.
After the visit, Mr. Zong had an in-depth exchange with the investors on the questions which they concern.
Q: What is the gap between SICC and international leading companies, and what is the status of domestic technologies?
A: “We have achieved autonomous and controllable technology in SiC substrate. Our target is to become an international famous semiconductor company, so that we benchmark against the international leading companies in the terms of product specifications, yield and cost control. We also have increased investment in technical reserves in the direction of future development of the industry” said Mr. Zong.
Q: How will you predict the competition in the future since other Chinese companies in this industry are developing and expanding capacity rapidly now.
A: “Competition drives development. The number of company is increasing and the capacity is expanding, but the market demand is bigger,” said Mr. Zong. “We have seen the boom of semi-insulating type SiC substrate, and the application of n-type SiC will beyond imagination with the fast development of EV, energy storage and solar power. The applications have just started, and the future market will be a ‘blue ocean’.”
Q: What is the technical roadmap and product yield of SICC?
A：SiC substrate is a product with high technical barrier. Its technology iteration and updating requires continuous and large amount of innovative work, as well as the accumulation of massive technical data. Through more than ten years of accumulation, SICC has obtained our own core technology in material purification, crystal growth and wafering.
Q: What is the progress of 6-inch n-type substrate qualification and its future application in EV?
A: “The capacity building and customer qualification of 6-inch n-type substrate is one of the company's priorities in this year. At present, SICC has passed the certification of IATF16949, and is actively promoting the customer qualification. There are several domestic and foreign customers who are qualifying the product right now,” said Mr. Zong. “At the same time, considering the Lin-gang Project is affected by the epidemic in Shanghai, we transferred part of the capacity in Jinan plant from semi-insulating to n-type to ensure the customer qualification. We have started the small batch supply to some customers, and the bulk supply of 6-inch n-type substrate will be released after the Shanghai plant is put into operation.”
Q: Can you introduce the status and progress of the project in Lin-gang Shanghai?
The persistent epidemic has a great impact on the progress of project construction and production startup, but SICC is actively adjusting the operation to respond to it. And we believe the capacity will be released successively after the Shanghai plant is put into production.
The Investor Day ended in a relaxed and warm atmosphere.
"This event is an eye opener and let us know where the core technology and future of SICC are. We are more confident of SICC." said the investors. The Investor Day made the investors full of confidence and expectation on the development prospect of the company.
Mr. Zong expressed his gratitude to all investors for overcoming the difficulties caused by the epidemic and visiting SICC, and SICC will host the Investor Day in every month in the future. We welcome more investors to visit SICC and give valuable ideas and suggestions for the company development.
