Inspur Posts 40.60% Revenue Growth Despite Temporary Chip Supply Suspension

Technology Author: Niko Yang, Ivan Platonov Editor: Luke Sheehan Sep 01, 2020 06:31 PM (GMT+8)

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Image credit: Unsplash/Paul Frenzel

On August 29, Inspur Electronic Information Industry (000977:SZ) rolled out its 1H 2020 results. The company generated CNY 30.29 billion revenue during the reporting period, jumping by 40.60% from a year ago. Net profit also leaped by 48.45%, reaching CNY 405.67 million. Besides, the company came out with a half-year diluted earning of 0.29 per share.

Inspur is the biggest server vendor in China based on shipment. It mainly provides data center and cloud computing solutions worldwide, leveraging its business to government and enterprise customers. Shandong Provincial State-owned Assets Supervision and Administration Commission currently controls the firm.

Recently, Inspur Cloud, another subsidiary of Inspur Group, is preparing its IPO process.

Due to the lockdown measurements in 2020, the demand for remote work, short video, online learning and gaming has surged. The shipment of data storage devices has been accelerating to growth. Meanwhile, China's new infrastructure push is igniting passion for the data center industry, committing massive investment in seven categories, including data centers.

Inspur stock traded 1.9% lower , to CNY 36.10 per share on its first trading day after the financial disclosure.