Shanghai, Jan 26, 2026, 07:46 CST — Premarket
- VeriSilicon shares ended Friday at 206.60 yuan.
- The chip-design and semiconductor IP firm predicts revenue growth in 2025 alongside a smaller annual loss.
- With earnings season heating up, investors are focused on whether the bloated order backlog will start converting into actual profits.
VeriSilicon Microelectronics (Shanghai) Co., Ltd. Class A shares face a close watch when markets open Monday. The Shanghai-listed chip design and semiconductor IP firm forecast a notable surge in AI-driven demand for 2025. On Friday, the stock closed 1.35% higher at 206.60 yuan.
Timing is crucial. As China’s sci-tech board dives into annual earnings previews, traders are zeroing in on firms that deliver solid order flow—not just buzzwords—linked to data processing and AI computing.
The STAR 50 index, which tracks the board’s largest companies, ended Friday up 0.78%. It shows capital is still flowing into select tech stocks, despite investors preparing for mixed earnings reports.
VeriSilicon projects 2025 revenue around 3.15 billion yuan, marking a 35.81% increase from last year, the company revealed in its filing. It also anticipates a net loss to shareholders of roughly 449 million yuan, narrowing about 25% compared to the previous year. Excluding non-recurring items, expected losses stand near 627 million yuan — those one-off gains or losses that can skew comparisons.
The company flagged a skewed second half, expecting revenue to more than double compared to the first. Growth was fueled by its mass-production business and chip design services. Quarterly order intake hit new highs throughout the latter half, pushing full-year newly signed orders to 5.96 billion yuan. Meanwhile, backlog—orders booked but not yet recognised as revenue—stood at 5.08 billion yuan by end-2025, with over 80% anticipated to convert within 12 months. VeriSilicon revealed that AI-compute related orders accounted for more than 73% of new business, while data-processing revenue surged over 95%, making up about a third of total sales. It also flagged R&D expenses near 1.35 billion yuan, roughly 43% of revenue.
Analysts Yang Haiyan and Huang Zhonghuang from Shenwan Hongyuan said the revenue outlook was “in line,” but profits looked “better than expected,” maintaining their buy rating. In a note dated Jan. 25, they compared VeriSilicon’s valuation using the price-to-sales ratio, highlighting the global design-IP market is dominated by a few key players: Arm, Synopsys, Cadence, and Alphawave. nxny.com
That said, the near-term outlook remains uncertain. The forecast figures are unaudited and subject to change, and a larger backlog doesn’t necessarily translate to better margins—particularly for a company still burdened by hefty R&D and operating expenses.
The immediate catalyst hits Monday with the opening auction and early trading in Shanghai. Investors will test if VeriSilicon’s order numbers hold up strong enough to support the stock, or if they’ll wait for audited results and clearer profit signals before stepping in.
