awinic integrates edge ai into new chip line
Shanghai, Thursday, 21 August 2025.
awinic (688798) is set to revolutionize its analog-digital chips by integrating edge AI technology. This strategic move aims to boost performance and strengthen its market position. New high-performance chips, including power management and signal chain chips, are slated for launch in the second half of 2025. The company will use dedicated hardware accelerators and multi-core collaboration. awinic will develop several edge AI chips. This positions awinic to compete with international players in the edge AI chip market.
Financial performance
Awinic reported a total operating income of ¥1.37 billion in the first half of 2025, a -13.291 or -13.4% decrease compared to the same period last year [1]. Net profit attributable to the parent company increased by approximately 70% year-on-year, reaching ¥157 million, with basic earnings per share at ¥0.67 [1]. The company attributed the revenue decline to discrepancies in downstream consumer electronics customer demand compared to the previous year [1]. Awinic mitigated this impact by strengthening its presence in industrial internet and automotive chip sectors [1].
Strategic initiatives and product development
Awinic’s management stated that high-performance analog-digital hybrid chips and power management chips will drive revenue growth in the second half of the year [1]. The company launched around 150 new products in the first half of 2025, targeting consumer electronics, industrial, and automotive clients [1]. Notably, its automotive-grade audio power amplifier chips are gaining recognition, with increasing adoption by downstream clients [1]. In June, Awinic launched an independently developed ultra-low power high-voltage 180Vpp piezoelectric micropump liquid cooling driver product [1].
Investment and capital projects
Awinic disclosed plans in July to issue convertible corporate bonds with a total fundraising amount not exceeding ¥1.901 billion [1]. These funds are earmarked for global R&D center construction, edge AI and supporting chip R&D and industrialization projects, automotive chip R&D and industrialization projects, and motion control chip R&D and industrialization projects [1]. The issuance of convertible bonds is proceeding as planned, with relevant project filings completed and land use rights secured for the global R&D center construction [1].
Signal chain chip revenue decline
Revenue from high-performance analog-digital hybrid chips, power management chips, and signal chain chips decreased year-on-year [1]. The signal chain chip business experienced a year-on-year decline of approximately 70% [1]. Awinic’s management explained that the high base from strong consumer electronics demand in the first half of 2024 contributed to this decline [1]. Increased market competition for certain signal chain products also played a role, as Awinic opted not to follow competitors’ low-price strategies for products with lower profit margins [1].
Future outlook and investor implications
Awinic intends to accelerate the launch of new, high-margin products and expand its industrial client base to boost signal chain product revenue [1]. The company’s focus on edge AI applications, combined with its investment in R&D and strategic projects, suggests a commitment to long-term growth [1]. Investors should monitor Awinic’s progress in penetrating the automotive and industrial markets, as well as its ability to maintain profitability amid competitive pressures [1]. The successful deployment of funds raised through convertible bonds will be crucial for realizing its strategic objectives [1].