SMIC reports a revenue rise but profit shortfall, facing trade tensions and equipment issues.

Semiconductor Manufacturing International Corporation (SMIC), China's leading chipmaker, reported a 28% rise in first-quarter revenue to $2.24 billion, but net profit of $188 million fell short of expectations. Shares dropped nearly 7% after the earnings missed forecasts. SMIC warns of a 4-6% drop in second-quarter revenue due to production yield issues and equipment testing. The company is navigating U.S.-China trade tensions and faces restrictions on advanced chip-making tools. Despite challenges, SMIC saw strong demand in the first quarter, partly due to customers stockpiling ahead of tariffs.