Global Times | Tech boom lifts A-share firms' Q1 earnings, revenues
More than 5,500 companies listed on the domestic A-share market have disclosed their first-quarter results, with overall earnings and revenues having improved, mainly led by strong performances in artificial intelligence (AI) computing power, semiconductors, and new-energy materials, according to industry reports and media reports.
Overall, 4,042 companies posted profits in the first quarter, accounting for 73.4 percent of the total, while 2,846 companies reported year-on-year growth in net profit, or 51.68 percent. Combined revenue for the 5,507 firms reached 17.70 trillion yuan ($2.59 trillion), up 4.68 percent year-on-year, while total net profit rose 6.76 percent to 1.60 trillion yuan, the China Central Television (CCTV) Finance Channel reported.
Market analysts said that the expansion of A-share profits was primarily driven by factors including robust demand in the technology sector. The rapid development of AI applications significantly boosted demand and performance in related industrial chains, such as semiconductors and optical modules.
The CCTV Finance Channel report cited data from China's top securities regulator, which showed that in the first quarter, the ongoing AI wave continued to fuel demand for computing hardware, with the technology, media, and telecom sector maintaining net profit growth above 20 percent, while also lifting the upstream non-ferrous metals industry to a remarkable 113.0 percent year-on-year profit increase.
Analysts said that the results point to a faster pace of earnings growth among A-share listed firms and a clearer emergence of new growth drivers alongside the recovery of traditional industries.
Several A-share companies delivered standout results. According to Wind data, Cambricon Technologies, a leading AI chip producer, reported first-quarter net profit of 1.013 billion yuan, up 185.04 percent from a year earlier. Foxconn Industrial Internet, an AI server manufacturing giant, saw its first-quarter net profit more than double to a record high.
In the semiconductor and storage sector, Shannon Semi delivered standout results, generating 23.765 billion yuan in revenue, up 200.60 percent, and net profit of 1.327 billion yuan, soaring 7,835.06 percent. The company attributed the jump to booming demand for generative AI applications, a continued upswing in the global memory market, and a sharp rise in enterprise storage product prices.
Among exchange-traded boards, the Shanghai Stock Exchange Science and Technology Innovation Board posted the fastest profit growth. After net profit growth of more than 370 percent in the fourth quarter of 2025, the board's first-quarter net profit jumped 209.03 percent year-on-year, marking two consecutive quarters of rapid expansion.
Analysts noted that the market displayed pronounced structural characteristics, with technology-driven sectors leading the way through technological breakthroughs, surging demand, and policy support.
As China is doubling down on technological innovation to power its high-quality development, the strong performance was driven by rapid iteration in large-language AI models, rising demand for advanced semiconductor manufacturing equipment, and a continued recovery in new-energy materials, Yang Delong, chief economist at Shenzhen-based First Seafront Fund, told the Global Times on Tuesday.
Yang said that the companies with the strongest earnings growth were concentrated in hard-tech sectors such as technology and advanced manufacturing, aligning with the national push toward new quality productive forces.