According to the company's third quarterly report in 2022, revenue in the first three quarters of 2022 was 599 million yuan, an increase of 2.18 percent over the same period last year, and net profit was 97.07 million yuan, down 6.46 percent from the same period last year. Non-net profit was deducted from 89.01 million yuan, down 9.01 percent from the same period last year. The corresponding company's 2022Q3 achieved revenue of 174 million yuan in a single quarter, down 13.27% from the same period last year, realized net profit of 29.57 million yuan, up 2.75% from the same period last year, and deducted 24.75 million yuan from non-net profit, down 13.68% from the same period last year. It is mainly due to the short-term increase of management fees due to the payment of shares during the period of the company.
The industry leader in the field of light guide structures and modules, focusing on the development of automotive MiniLED backlight products.
The company's light guide structure and components mainly include light guide film, backlight module and other products. The company's input backlight module is mainly used in notebook computers and other consumer electronics field, the end customers include Lenovo, Hewlett-Packard, Dell, Asustek and other global leading brands, with the continuous improvement of consumption level, the company's market share of notebook keyboard backlight module is increasing year by year. In the field of display equipment backlight module, the company has set up a professional technical development team to broaden the application of MiniLED backlight products, focusing on the development of automotive related MiniLED backlight products. With the continuous improvement of automobile intelligent penetration, the intelligent cockpit interaction system based on MiniLED technology can provide consumers with immersive sensory experience.
Deep ploughing precision button switch, continue to broaden the application of products. The ultra-small waterproof light touch switch developed and produced by the company has successfully broken through overseas technical barriers and realized import substitution. At present, the products are mainly used in smart phones, smart wearable, game handle buttons and so on. With the popularity of smart phones, the field of emerging smart products represented by smart wear shows a continuous growth trend, and the requirements for miniaturization and reliability of key switches continue to improve. At the same time, the company is actively expanding household appliances, mechanical equipment and medical equipment and other fields.
The proposed issue of shares M & A letter is happy, strategic coordination is further, to cultivate a new business growth point.
The company disclosed in December 2021 that the company plans to issue shares and pay cash to purchase 100% equity interest in Dongguan Xinweixing Electronics Co., Ltd. Xin Weixing is mainly engaged in the research and development, design and manufacture of precision connectors, with downstream areas covering consumer electronics, automotive electronics, etc., with net profits of 4000, 4400 and 48 million yuan respectively during the commitment period from 2022 to 2024. Through the integration of Xin Weixing Electronics, the company can form a better expansion in the market and customer resources, and also help to meet the diversified product needs of customers and enhance the company's platform integration ability. In the procurement of raw materials, the company and Xin Weixing have a certain synergistic effect on the procurement of raw materials for some electronic components, which helps to form a stronger bargaining power for suppliers and effectively reduce procurement costs. In the field of new energy vehicles, Xin Weixing's main products are high-voltage connectors, which are suitable for new energy vehicle battery packs, distribution boxes, motor controllers, etc., which will help the company to expand and cultivate new growth points.
[investment advice]
The company has been deeply engaged in the field of light guide structure and module and precision key switch for many years, and has become the leader of consumer electronics subdivision industry, and continues to expand the application of vehicle MiniLED and other new industries and fields. In addition, the company intends to issue shares M & A letter for Xing, through the integration of the main connector for Xing, strategic synergy is obvious, is expected to train new business growth points. We expect the company's revenue from 2022 to 2024 to be 9.40,15.77 and 2.542 billion yuan respectively. In 2023-2024, we consider that the profit contribution from the merger and acquisition of Xin Weixing will be 4400 yuan and 48 million yuan respectively, so we expect the company's 2022-2024 net profit to be 1.60,2.80 and 395 million yuan respectively, the corresponding EPS is 1.06,1.85,2.61 yuan per share respectively, and the corresponding PE is 28,16,11 times respectively. Give a rating of "overweight".
[risk Tip]
Downstream demand is much lower than expected
The promotion progress of the new project is not as expected.
