The two Shanghai -listed companies’ latest financial results reflect a broader trend across China’s public and private sectors to increase engagement with domestic technology suppliers, as artificial intelligence development projects in the country intensified.
Headquartered in Beijing , Hygon posted revenue of 14.4 billion yuan (US$2.1 billion) last year, a 56.9 per cent jump from 2024. Profit attributable to shareholders reached 2.54 billion yuan, up 32 per cent from a year earlier.
Hygon attributed the hefty sales growth to the “continued rise in demand for domestically produced high-end chips”. The company said its market share in high-end processors expanded amid cooperation with original equipment manufacturers and other partners in key industries and fields.
The firm expected even faster growth – between 62.9 per cent and 75.8 per cent – this first quarter, driven by increased investment in research and development due to “demand from the AI industry”.
Sugon, which makes high-performance computing systems and is the largest shareholder of Hygon, posted a 13.9 per cent year-on-year increase in revenue to 14.97 billion yuan last year. Its net profit rose 10.5 per cent to 2.11 billion yuan.