In the past year, the total market value of Zhuo Sheng Micro has evaporated by about 123.4 billion yuan (about 18 billion dollars) due to the impact of the COVID epidemic and the macroeconomy.

On July 13, Zhuo Sheng dropped more than 10% in the micro market and closed at 8.7%. The total market value was 58.1 billion yuan (approximately 8.5 billion dollars), while at the same time last year, the total market value was 181.5 billion yuan (equal to 26.8 billion dollars). 

Smartphones are the most important segment for Zhuo Sheng’s products. Therefore, the downfall of Chinese mobile phone market by the COVID epidemic, inflation, war, and prolonged user replacement cycles has dragged the performance of Zhuo Sheng Wei with it. 

The drop in mobile phone consumption disrupted the upstream supply chain. Over the past year, Zhuo Shengwei’s total market value has evaporated by about 123.4 billion yuan.

According to NetEase, in the first half of 2022, Zhuo Sheng Micro’s net profit attributable to its parent company was 713 to 764 million yuan (from 105 to 113 million dollars), down 29.72% to 24.69% year-on-year.

The market consultancy, GfK, forecasts that China’s smartphone sales will drop below 300 million this year, and this downward trend may continue in the near future.

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